Many savvy investors spend a large amount of time and effort in researching the market for the perfect investment property. However, an important part that some landlords seem to ignore is someone to actually look after your investment property. This is why a property manager plays an important role in preserving your property’s capital value and maximising your income. Choosing the right property manager is an important task as you will be in a long and ongoing professional relationship with them. After all, they will be looking after one of your biggest assets.
To cut through all the clutter and assist you in making an important decision, here’s a list of questions you should ask your potential property manager:
1. How much experience do you have?
There’s nothing like experience when it comes to the management of your property. Ask them: how long have they worked as a property manager and how long have they been a property manager at their current real estate agency? You should aim to learn more about their experience and qualifications. Preferably, they should have at least 3-4 years of experience.
2. How many properties do you currently manage?
To put it quite simply, a good property manager will typically be managing about 120 properties. It is important to make sure that they’re not handling too many because this means they won’t be able to devote the attention to yours.
3. How often do you communicate with the landlord?
It is important that you make it clear to your manager what they are allowed to do without referring back to you. A good property manager will be in regular communication with you and keep you updated on things such as monthly statements, property inspections, maintenance issues, rent reviews and any movements locally in the rental returns or capital growth.
4. What strategies do you use to attract good tenants?
A good manager should consider which demographic will be attracted to your property and focus on marketing it accordingly. They should have a database of quality tenants who are looking for rental accommodation and screen prospective ones.
5. What if my tenants do something wrong?
If your tenants don’t pay rent on time, damage the property or receive too many complaints from neighbours, your property manager may need to take them to a tribunal.
6. How will the financial aspects be managed?
A good PM will explain to you how and when the rent is collected, when you will have the money in your account, the management fee and everything that is included in it.
7. How regularly will you inspect the property?
It is important to make sure that the manager conducts routine inspections as per legislation. A good PM will ensure that your property is being kept in good condition and be aware of what’s happening.
8. How will you help me maximise the annual yield?
A good PM will look out for opportunities to responsibly increase your rent, give you recommendations and improvements you could make to your property to make it more appealing to tenants. They will go out of their way to make sure your property is doing the best it can.
Thinking of hiring a property manager? Little Real Estate has everything covered to help you manage your rental property! Find out how to get 3 months free!
The team at iBuildNew can help you find the perfect investment property! Get in touch with us on 1800 184 284 or book a call for free, expert advice.