One of the first and most important decisions that any landlord will have to make is whether or not they are going to employ a property management company to manage their rental properties. While some landlords will decide against hiring a property management company, the majority of landlords decide that hiring a property management company is the right course of action for them.
The reasons why landlords make this decision may be very different depending upon the specific circumstances which the landlord is experiencing however, there are many common reasons why landlords choose to turn to a property management company rather than managing their own rental properties. Today, I would like to share some of these common reasons with you.
1. Limited Available Time
Managing a rental property can easily become a full time job. This is especially true in cases where landlords own several different rental properties. For landlords who already have a full time job or are attempting to enjoy their retirement, the idea of taking on another full time job can often become very overwhelming. After all, there are already so many demands being placed on their time that they often simply do not have the available time required to manage their own properties. In fact, a lack of available time is one of the number one reasons that landlords choose to turn to a property management company.
2. Save Money
Often times, when people think about being a landlord they tend to overlook all of the expenses that come with that position. In fact, many landlords do not realize how expensive rental properties can become until after they have already committed themselves to the investment. This is especially true for landlords who find themselves making frequent repairs either due to a poor choice in tenants or to the age of their rental property. Choosing to have a property management company manage your rental properties can help to save money on these repair costs. This is because, most property management companies are able to secure reduced rates from contractors due to the volume of business which they do with that contractor.
3. Wider Investment Opportunities
When a landlord is required to manage their own properties, it is essential that the landlord is able to physically visit each of their properties on a regular basis. This requirement will limit the area in which a landlord can choose to invest in rental properties. Having a property management company handle the day to day responsibility of the property effectively widens the area in which the landlord is able to invest. This is also an important aspect for landlords to consider if they are thinking of moving away from the area in which they purchased properties.
4. Better Tenants
Perhaps the most important factor which will determine whether a landlord is successful or not is the quality of the tenants which they rent to. Irresponsible tenants can cause expensive damage to the property, fail to pay rent on time, and cost thousands in legal fees. Property management companies have what it takes to properly screen tenants to ensure landlords rent to a higher caliber of tenants.
5. No Empty Units
The only way for a landlord to earn a profit from their rental units is for the renal units to be rented by responsible tenants at all times. Unfortunately, from time to time tenants will choose to move for a variety of reasons. This is when a Seattle property management company can be extremely useful. The companies have proven that they are able to rent units far quicker than any landlord who is working on their own.
