Important questions to ask your property manager
A good property manager should be able to provide you with insight, support and advice on your investment property portfolio. Having a sound understanding of the property market will help ensure your investment is performing at the best of it’s ability, for both the short and long term.
Here are some questions to ask your property manager to make sure they are the right fit for managing your investments.
1) What marketing initiatives do you undertake to attract tenants?
Your property manager should be able to offer the following as a minimum to attract prospective tenants:
- Online listings on key websites with current up-to-date photos
- A ‘for lease’ sign out the front of the property
- Email marketing to database
- Promotional posts via social media
If your property becomes untenanted, it’s important that your property manager acts quickly to lessen the potential loss of rental income. Being able to reach prospective tenants quickly is key. A good property manager will be flexible and organise viewings at a time convenient for tenants. Its imperative that the property manager attend the open house, and not simply hand out the keys to ensure they are present for feedback, questions and security.
2) What is your process for screening tenants? Does it include credit history checks and previous tenancy ledgers?
As an investor, it is crucial to have quality tenants in your property. This means tenants who
- Pay rent in full and on time
- Look after the property
- Abide by the lease
- Act as good neighbours
The Tenant Application Form should be as detailed as possible to illustrate the likelihood that the applicant will be a quality tenant.
A property manager should carry out significant employment, character and financial checks on a prospective tenant. The more thorough the check, the less likely you are to experience any conflict or issues with the tenant throughout the course of the lease.
3) How many tenants do you have in arrears? What is the process should a tenant fall behind in rent?
The agent should provide a copy of the company policy and procedures should a tenant fall in arrears during their lease. As a landlord, it is wise to understand tenant rights and responsibilities. The more knowledge you have, the less likely you are to fall foul of the law and end up with unwanted court fines.
4) What is the process should my property need urgent repairs or maintenance?
Eventually your property will need maintenance or repairs – it’s inevitable. The beauty of hiring a property manager is that they take the burden off you as a landlord to organise these repairs. An agency should have quality tradesman contacts who offer quick and reliable service in the event of an emergency – for example, a leaking pipe.
Your property manager should be able to provide advice on whether or not you should undertake urgent repairs or maintenance on your investment. This will keep your property in top condition and you will be less likely to lose or disrupt your tenants.
5) How can you ensure the best returns for my property?
Making the most of your investment property is about capitalising the short and long term long opportunities it presents. A quality property manager should be able to provide recommendations on how to achieve your goals and objectives by understanding trends, the economy and maximising your rental returns.
6) How many other properties do you manage?
A dedicated team member is going to offer you better results than someone who is stretched too thin. As a general rule of thumb, a property manager can effectively look after about 100-120 properties. Any more than this and their level of quality of service may be compromised.
7) Do you have adequate qualifications as a property manager?
The legal requirements for a property manager may differ depending on which state you are in. A property manager who has completed the relevant qualifications in real estate will have the right education to help you make informed investment decisions.
Contact CPS Property today to discuss securing a great property manager. For more information on how to find the right property manager, click here.
