Renting your property is a good way to earn some money and have an added source of income. However, owning property comes with added responsibilities as well and managing your property can turn out to be more than you bargained for. This is why there are companies out there who you can hire to take this burden off your hands and manage your property for you. However, many people are still hesitant about having a company manage their property and may be wondering whether there are real worthwhile benefits! To alleviate any of these concerns, here is a list of the 4 important perks to having a company manage your property.
Hiring a company to manage your property results in having better tenants who pay on time, do little to no property damage and who are less likely to cause problems. A company will also increase the chances of getting long-term tenants. This is because companies usually have tenants go through an application process and do tenant screening to weed out potentially bad tenants. Due to their specialisation in that area, it is undeniable that their experience will make them better detectors of good tenants that you will be yourself! Having a good tenant is invaluable and something that should never be underestimated.
Reduction in your vacancies
Property management companies carry out exercises that you may be unable to do yourself that will greatly reduce your vacancy cycles. This includes using their marketing experience to adequately market your property with ads that are usually more effective and cheaper. They also make suggestions for property improvements that increase its marketability. Additionally, they have the expertise to determine the appropriate rental rate, because while you don’t want low rates, rates that are too high often result in vacancy!
Legal and tax-related matters
Because property management companies are in the rental business they stay abreast with all the laws that affect the landlord-tenant relationship and can thus save you a lot of money by helping you avoid legal battles with tenants. Furthermore, they can help with understanding and organising tax forms for reductions. And an added benefit is that the fees you pay for the property management service are tax deductible!
Less time and energy, less stress
This may be the most obvious benefit, but it’s one whose value many may overlook. Managing your property takes a lot of effort and you end up investing a lot of time and energy. It can also just be really stressful in and of itself. Having a company manage your property means you aren’t the one dealing with collecting rent or getting rid of tenants who don’t pay or who damage your property, in addition to the several other issues and emergencies that come up! In addition to not having to deal with these stressful occurrences, you will also have more time to spend on more productive things.
Hopefully, after taking a look at this list, you have a full appreciation of the benefits of having a company manage your property and can make a more informed decision on whether to hire one or not!