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3 Reasons You Should Work with a Property Management Company

3 Reasons You Should Work with a Property Management Company| Reserve Management
3 Reasons You Should Work with a Property Management Company

3 Reasons You Should Work with a Property Management Company

There is a lot of conflicting advice about owning a rental property, but the one thing most often agreed on by tenants and landlords alike is the difference a great property management company makes. Owning a rental property is a rewarding venture, but that is only true when both parties involved are upholding their ends of the bargain. All it takes is one bad tenant, a destroyed unit, or months of late rent for the experience to turn into a time-consuming nightmare.

On the other side of things, tenants have certain expectations from their landlords that can cause conflict too. For example, if there is an emergency or an appliance breaks down, tenants expect these issues to be dealt with quickly and efficiently. This is less than ideal if the landlord is otherwise occupied, out of town, or has another business or job that requires full attention. A property management company offers numerous benefits to landlords and maintains a smooth landlord and tenant relationship.

1. Time is Money

One of the most significant reasons to work with a property management company is the time you will save on essential tasks. The tenant screening process alone is often daunting for many landlords due to the time it takes to carry out. There are credit checks and background checks, and references that need to be called and vetted.
Some landlords don’t run background checks at all because they have a good feeling about the tenant or don’t have the time to do so, but skipping these steps is a sure-fire way to end up with problematic tenants.

With a property management company, there are rules and standards in place to ensure the tenant who ends up moving in is vetted and likely to pay their rent on time while respecting and maintaining the unit.

2. Help With Legal Aspects

If a problematic tenant does slip past the cracks of a property management companies vetting process, the company will handle all of the legal aspects associated with the situation. They are also responsible for ensuring the property is compliant with property codes and safety laws in addition to handling the legal avenues of regularly managing tenants and the property.

Landlord and Tenant laws vary depending on the state and municipality. For example, a Royal Oak, MI property management company would specialize in knowing all of Michigan’s tenancy laws and all municipal varients. It’s the job of a property management company to know the letter of the law where your home is located. Property managers handle evictions, property inspections, lease terminations, negotiations, and all other legal aspects of maintaining a property.

3. On-Time Rent Collection

Collecting rent on time every month is essential for ensuring that property taxes, the mortgage if applicable and other expenses are kept up to date. Unfortunately, it can be easy for landlords to make exceptions on a personal level and accept late payments, or even have the misfortunate of accepting bad checks.

With a property management company, the stress of rent collection is eliminated. Not only will the property management company handle the collection of rent, but they will also appropriately escalate the situation if the rent is late. If necessary, the property manager will also be the one to start the legal eviction process if the rent is not paid.
Conclusion

Ultimately a property management company will save you time, assist with any legal matters, and take care of the day-to-day operations, all while streamlining your rental property.

January 6, 2021