subject: Choosing A Property Management Company To Fill Vacancies [print this page] Property management companies are a vital resource for every real estate investor, whether their business model focuses on commercial or residential properties. Vacant units, after all, defeat the purpose of making the investment.
By establishing a solid relationship with a company or firm that specializes in managing properties, real estate investors can ensure that every effort is being made to fill available units. Not only will tenants be sought for units that are currently available, but also when there is a reputable support company managing a given residential or commercial unit. As soon as there is word that current tenants are not planning to renew their lease, efforts will be made to find a replacement who can move into the space as soon as any necessary repairs or upgrades are made.
Of course, anyone who has been in the investment business for a while knows that it is not a good idea to have just anyone manage their properties. A bad fit with a property managing contractor is, in many cases, as bad as not having anyone contracted.
How can a real estate investor be sure to choose a company that will help to maximize the return on their investment?
1. Choose a management company that specializes in the type of property that is owned. Operating and managing an apartment complex is different than ensuring that everything is running smoothly in an office building or an industrial complex.
2. Select a company that has experience with various circumstances. When you have trouble finding tenants who are credit-worthy, have a high vacancy rate, or regularly experience maintenance issues, focus on finding a property management company that can meet your needs.
3. Research the reputation of various firms before making the commitment to work with a company to manage property. Ask peers about their experiences with a given firm. Look for indications of each company's reputation for professionalism, experience, financial stability and relationships with its own staff.
4. Look into the company's accreditation if it is necessary in the state in which the commercial or residential units are owned. Also check on insurance coverage. Investors should want a property management company that is committed to protecting its partners and the owner's clients.
After taking these steps to ensure that the selected property managing firm that is legitimate and reputable, focus on the specifics. Are their procedures documents? Do they have a written policy for tenant relations that you are comfortable with? An investor or real estate owner should be sure to compare all options before making a decision.
