Is it Time to Change Property Management Companies? – Alamo Property Management
Finding a good property management company is important to a successful investment experience. If you’re not happy with your current management company, it might be a matter of expectations that are misaligned. Talk to your management company about what you want and need, and see if they can deliver. If they can’t, it’s okay to begin looking around for a better property management team.
If you’re dealing with a lack of communication, financial issues, or expensive mistakes, we’d definitely recommend that you find a better and more experienced company to work with.
Property Management Communication
Your property manager is busy. We’re all busy. But, it’s not acceptable to have your phone calls and messages left unanswered. If you can’t get a hold of your property manager, there’s a good chance that your tenants can’t get in touch with your manager either. That can create a lot of problems for you, your tenants, and your property. A good management company will be responsive, accessible, and available.
Pay attention to response times. If you’re not getting answers, start interviewing new management companies. Take note of the speed with which they respond to you. If a property manager returns a call or gets in touch right away before you’re a client, you can probably count on them to continue communicating well once you are working together.
Inconsistent Rent Payments and Confusing Statements
You are trusting your property managers will a lot of your personal and financial information. It’s important that they are transparent, detailed, and accurate when it comes to the income and expenses associated with your property. You should receive rental payments at around the same time every month. If you have to follow up with them month after month to ask where your rent is – that’s not a great sign. Either the tenants are paying late or the property managers are slow to process the payments. You should expect direct deposits and monthly accounting statements that don’t have any surprise expenses. At the end of the year, you should receive a 1099 so you’ll be prepared to file your taxes.
Financial irregularities should make you very nervous. If you cannot see real-time information about the financial performance of your property and you cannot count on regular and consistent rental deposits, it’s time to find another property manager. You also want to be sure your managers are careful with your money. Don’t tolerate inflated maintenance costs, and question any expenses that don’t make sense.
Expensive Mistakes that Affect your Property
Experienced property managers will have systems and processes in place to ensure your property is being managed professionally and properly. If there are a lot of mistakes and missed opportunities, those are going to cost you money. Some of the problems and issues that can be especially problematic include:
- Higher vacancy rates or long turnover times.
- Tenants who need to be evicted.
- Excessive property damage after move-out.
- Improper handling of the security deposit.
- Unauthorized pets or people living at the house.
- Improper rental values and property pricing.
You hire a property manager to access their tools, resources, and expertise. If mistakes are being made that you wouldn’t make yourself, you need better management.
We’d be happy to talk to you further about the importance of an experienced, capable property management company. If you’re unhappy with the services you’re currently receiving or you’re not sure where to find good management, please contact us at Stowers Real Estate.