Property management is all about keeping properties that people own as well as those who are leasing. This also entails keeping track of tenants, repairing damage to the property, and other responsibilities. Property Management is a critical part of any business. The proper functioning of property management professionals allows business owners to have greater control over their business.
Property management consists of both property maintenance and tenant services. The two categories work hand-in-hand together to ensure that tenants are satisfied and property maintenance stays on schedule. Managing property can be a stressful task for landlords and property management companies. Certain factors must be considered to work the situation appropriately.
Property maintenance involves the overall upkeep of the property and its surroundings. This includes repairs, renovations, and any other necessary maintenance that must be done regularly. Property managers need to evaluate how property maintenance is being routinely handled constantly. When this occurs, property managers can determine what repairs need to be made and when they should be made.
Managing tenant services deals with answering the questions that tenants have about leasing rental properties. These queries range from basic questions such as what kinds of appliances are included in a rental package to more personal ones such as whether or not a rental property management firm will inspect the building before tenants move in. Property managers are charged with protecting the landlord and tenant’s interest by making sure that all legal requirements such as insurance are in place. They also maintain a record of tenants’ payments and property repairs.
Property maintenance requires a great deal of communication between the property owner and the property manager. Property owners and managers will have different perspectives about how the property should be managed daily. For example, a property owner may want to make repairs to the landscaping. In contrast, a property manager may want to focus on vacant units or perhaps vacant apartment units in the complex. The property owner will hire property management company professionals to handle these chores, which can cost the property owner money in the long run because it may mean additional costs for repairers to come to the unit after hours or sometimes not at all.
The majority of tenants are excellent communicators and can follow instructions readily. However, there are times when you, as a property manager, may need to enforce your rent collection agreement to ensure the tenant does follow the deal. Property managers must make sure that the tenant understands the consequences of ignoring the rent collection agreement. Failure to pay the rent promptly may result in additional late fees, additional fines, and eviction notices. On the other hand, a tenant who can pay the rent promptly may end up having their rent raised substantially above their base rent.
All property management plans include a security deposit or cushion. This deposit is designed to cover any potential losses from damages to the property or any acts of vandalism. In some cases, the tenant may be able to deduct this cost from their taxes on their income taxes. Property managers should only take these deductions if they were required by law. By not including this money in the security deposit, a property manager can be sued for not providing adequate tenant services.
All property managers must also take into consideration any legal ramifications of their decisions regarding tenants. Some states have rules and regulations regarding tenants filing lawsuits against property managers. You must discuss with the tenants any concerns they may have with regards to their leasing agreements. If possible, consult the legal ramifications of your decisions and procedures with your leasing attorney before taking any action.