Purchasing properties for the purpose of renting them out has become a good source of income for some individuals. This article takes a look at the basics of rental management for those who are interested in entering this venture.
What is property management?
Property or rental management, as the name suggests, is the process of taking charge of real estate, be it for residential, commercial, or industrial purposes.
Managers are either the owners of the properties being offered for rental or third-party individuals who are tasked with overseeing the care and maintenance of the rental properties in behalf of the owners.
What do property managers do?
Property and rental managers are given several tasks, which can include:
• Maintenance of the property. No tenant will want to stay at a ramshackle residence or place, so it is the manager's responsibility to make sure that the properties that are being offered for rental are well-maintained.
• Getting tenants. One of the main responsibilities of property or rental managers is to make sure that the rental properties are occupied by tenants, which is why they are also responsible for finding good tenants who will not only occupy these properties, but take care of these well.
• Collecting rent. Not only do managers need to make sure that the right amount of rental fees are being paid by the tenants, they will also need to ensure that they are paying these regularly. Property managers should always be on the lookout for tenants who make delayed payments.
• Handling any issues that may be experienced by the tenants about the property. There are several issues that may be experienced by tenants during the course of their lease, such as busted pipes, peeling paint, and other such maintenance problems. The manager is responsible for seeing that these issues are resolved quickly and effectively.
Is it better to do property management yourself or hire someone to manage the property for you?
It depends on where you are, since there are some states that have imposed regulations on who can work as property managers. In most states, only those who are licensed real estate brokers can work as property managers. Alternatively, those who aren't real estate brokers can work under these professionals in order to continue practicing.
Practicality-wise, it's better for those who already have experience in management of property to maintain the property and take care of all of the necessary tasks in managing it instead of someone who doesn't have that much knowledge in it. This is because someone who has already managed properties in the past will already know what possible issues or problems may be experienced by the tenants, and will thus be able to come up with remedies to fix these.
Property management can be very profitable, but this isn't necessarily the best career path for you. If you're interested in entering this industry, be sure to check what your options are and do some research about this so you can better prepare yourself for the work awaiting you.