When you have spent practically all your life savings to buy an investment property, you’d want to make sure it will be professionally managed to maximise returns and minimise stress. You have the choice of managing your rental property yourself, but a lot of investors choose to hire a professional property manager.
How do you find the right property manager? Here are some important things to keep in mind during your search.
- Search locally
Local knowledge is essential in the property market. Hiring a local property manager gives you numerous advantages, including knowing how to attract tenants, setting the rent at the right price, and having contacts with reliable tradespeople.
- Find information
The worldwide web can give you plenty of information about local property managers. Check out online customer reviews of property managers to get honest opinions from other investors. You can do your research using these resources: Google, real estate websites, productreview.com.au and rent.com.au.
- Trust word of mouth
The best way to find the right property manager is by word of mouth and feedback from past customers instead of through marketing or ad campaigns.
- Make enquiries
You may find a property management company to be excellent on brochures or on their website, but you still have to ask some questions to see the company beyond the PR spin. Here are some of the questions you can ask your prospective property manager:
- What are your qualifications?
- How many properties does your company manage at present?
- How many properties are assigned to every manager within the company?
- What is your commitment to best practice?
- Ask what services they offer
Each property manager is different, and not all will offer similar services, so you need to know what services you will be getting from the company.
- Compare communication
Your property manager should communicate with you at all times, whether to tell you of necessary repairs, provide you with a shortlist of prospective tenants, or simply to touch base with you. The property manager you should choose is one whom you can easily reach and keeps you updated all the time.
- Consider the expenses
Any cost related to an investment is always going to be a major factor, but it should not be the only thing you should consider. The old saying “you get what you pay for” is relevant when it comes to property management, so don’t prioritise cost too much over other considerations.
Make sure you’re getting your money’s worth
The calculations for the overall success of your investment should include how much you’re paying in property management fees. Depending on the state or territory where your property is located, a property manager’s fee is typically a percentage of the rent, such as 8% or 10%.
It will benefit you to regularly check your property management services to make sure your investment property is receiving the care and attention it deserves. Getting in touch with your property manager regularly for updates will help you determine whether your investment is being prioritised or not and ensure that your property manager remains focused on helping you make the most of your property.
If you’re looking for a professional to look after your property, do your research and shop around. Your investment could fail if you choose the wrong property manager. But if you make the effort to find a good property manager, you can watch your wealth grow without lifting a finger.