The decision on whether or not to hire a property manager is one of the biggest choices for landlords to make.
You may have a basic understanding of what is expected of you as a landlord, or maybe you are just starting out and don’t know anything about renting your property. Or perhaps you are an experienced landlord, but you find that the day-to-day operations take up too much of your time and prohibit you from being able to sit down and make a game plan for expanding your portfolio with more investments.
In this article, North County Property Group will take you through the pros and cons of rental property management in order for you to make the right decision for your investment needs!
Pros of Hiring a Property Management Company
Pro #1: Property Managers Come with Industry Experience
A good San Diego property management company will have many years of experience managing rental properties. Expect a company’s strategies and processes to be more refined the longer that have been in operation.
An established property management company will have a tried-and-tested tenant screening process, excellent marketing skills, and the ability to handle maintenance and repairs quickly and efficiently.
An established property management company like North County Property Group has seen it all. We put our industry experience to work for you and can smoothly handle situations that would be overwhelming to a self-managing landlord.
Pro #2: Property Managers are Backed by Education
Under the law, all property managers in San Diego are licensed real estate agents.
Some property managers have other certifications as well, which go to show that they are reputable, trusted and committed to education. Look for certifications such as the RMP, MPM and CRMC.
North County Property Group believes that continued education is essential for property management companies in San Diego and CEO Bob Preston provides valuable educational resources through the Property Management Brainstorm podcast.
Backed by education and experience, property managers are suited to help you with things like:
How much rent to charge tenants
The local tenancy laws to abide by
How to conduct rental marketing for maximum exposure
Pro #3: Property Managers Understand the Law
This is a big one! Being a landlord isn’t as simple as just finding a tenant and collecting rent. There’s a lot more involved, and learning the laws can be overwhelming when you’re just starting out.
As a landlord, you have an obligation to follow certain laws when renting out your property. For example, the Fair Housing Act obligates landlords to treat their tenants respectfully and fairly regardless of certain protected characteristics.
Unfortunately, it’s quite easy for beginner landlords to inadvertently discriminate against a tenant. Luckily, you will never have to worry about laws when you work with an experienced property manager. They know what they are doing!
Pro #4: You Will Save a Lot of Time
Managing a rental property isn’t a simple thing. It’s exhausting and time-consuming. You’ll be on call 24 hours a day, 7 days a week, and 365 days a year when it comes to maintenance issues or tenant demands.
If you hire a property management company though, you’ll have all the time to go about your life without any worries! Responding to your tenant’s maintenance issues at 2 am will no longer be your job.
Pro #5: Property Management Companies Have Quick Response Times
Whether it’s a maintenance issue or an emergency, property managers have proven systems to ensure problems are addressed right away.
When it comes to maintenance issues, they will usually have multiple vendors and contractors at the beck and call. These vendors have also been fully-vetted, so you can trust the quality of their work rather than risking a choice that may not be properly researched. North County Property Group is unique because of our sister company MaintenanceSync, a licensed General Contractor.
Pro #6: Property Managers Excel at Marketing and Tenant Retention
When starting out, you may think that the difficult part is over once you find a tenant. However, that only solves half of the equation. To solve the other half, you’ll need to know how to retain one.
Experienced property managers have strategies in place to ensure they find great tenants and retain them for as long as possible for maximum profits.
Cons of Hiring a Property Management Company
Con #1: Hiring a Property Management Company Comes at a Cost
The cost is perhaps the biggest obstacle for people considering hiring a property manager. However, when you review the cost and consider your own time, you will be surprised to find that the fees a property manager charges are often quite reasonable.
Look for a property manager with a clear and transparent fee structure. Make sure you know exactly what you are paying for and what to expect. Experienced property managers will be pleased to sit down with you and break down their services and costs in detail.
Con #2: A Property Management Company Means Less Involvement for You
This is a potential disadvantage of hiring a property management company if you struggle with feeling like you will lose control of your property, or if you want to stay heavily involved in the day-to-day operations.
If you’re the sort of person that likes to be hands-on at all times, then self-management might be the best option for you. However, a good property management company should be able to put you at ease when it comes to taking a step back from your property. A company like North County Property Group will always keep you updated on the performance of your property, so even though you become hands-off, you are kept in the loop.
Con #3: Property Management Companies Are Not Created Equally
Just like everything else in life, you’ll need to do your research prior to hiring a property manager. You’ll want to hire a property manager you can trust and one who will work hard to fill vacancies and manage your money honestly. If you make the wrong hire, the opposite could be true.
Bottom Line
North County Property Group has over 20 years of property management experience. You can trust us to deliver high-quality services that have been designed to exceed our clients’ expectations.
We have three primary goals when it comes to managing our client’s rental property: one, to be your trusted advisor when it comes to protecting your rental property investment. Two, to help you achieve your real estate financial goals. And three, to free up your time so that you can do other important things!
Should we also add that we are the only San Diego property management company awarded with the Certified Residential Management Company designation? Yes, we are that good! Get in touch to learn more about how we may help you reach your investment goals.
