Many owners of investment properties want to manage their own property after first deciding to get into the rental business. After seeing how much time and energy is exerted into the process of being a landlord, those same owners frequently decide that it would be less stressful and time consuming to hire a property management company to do the job for them. 

Once this decision has been made, the next question is “How do I find a good property management company?” While it may seem like a simple task, finding the right company to manage your investment for you, can be a little more challenging than anticipated. It is important to protect your assets and to choose wisely. You want to make sure to find a company with a track record of high client satisfaction levels, reasonable fees, good communication and solid occupancy rates. If they have proven methods of operation, these factors will ensure that your unit is quickly occupied and that it stays that way.

As you start the hunt for a good property management company, here are some guidelines to consider. 

 

The best kind of referral is often going to be a referral from someone you know and trust. Family members, friends, and those you work with are a great starting point to begin gathering information about property management companies. These people who are well acquainted with you, will know the level of expectations you have and will want to be sure to provide a reliable suggestion. 

Always be an active listener, as many other opportunities to gain information may occur when you are least expecting it. In line at the grocery store, while you’re waiting at the dentist office, or even in conversation with someone who mentions they love where they rent. A satisfied and happy tenant often equates to a property manager doing a good job to ensure tenants want to re-sign their lease when the time comes.

After you have gathered a list of potential businesses to consider, start reaching out to them to gain an understanding of their business model and how they operate. Find out their management fees and what all those fees include, and get a sense of who they are. Consider if this is someone you will want to have a long-standing business relationship with. Is this someone you feel you can trust to properly manage your investment?

If people you are acquainted with are not familiar with any management companies, or only give you a select few choices, then the internet will be the next best resource to further your search. Using Google or another similar search engine will inform you of what businesses are available in the market area where you are looking. Using this information, you can look up company websites, read reviews and cross reference with reputable sources for what type of reputation the business has and if they have any complaints.

Use all of the information you have gathered and contact the property manager to ask questions, find out in depth fees and services offered, and to get an overall feel for the general way the particular company is managed.

Another opportunity to find a good property management company is to look at the marketing information linked to ads on popular housing websites such as Zumper, Apartments.com, and LiveLovely.com. Look for ads with quality pictures, detailed descriptions and clear contact information. These types of ads point you towards the higher level of management company whom you would want to manage your own property. Contact them and see if a management agreement between both parties would be beneficial to your long term goals.

 

After narrowing down your search to the final potential management company you are considering, be sure to have all of your questions answered. As you enter into a legally binding contract, confirm all of the fees you will be charged, how often you will be paid, the length of your contract, and how the maintenance fees will accrue. Don’t forget to inquire about tenant screening requirements and the approval process.

For your own peace of mind, ask any questions you can think of now, to ensure that once you have signed the paperwork, you know exactly where you and your investment stands.

Finding a good property management company doesn’t have to be overwhelming. Taking the process step by step, and being thorough in your research, can lead to a satisfying and profitable business partnership for years to come.