If you own rental property, you know that managing this investment can be extremely time-consuming and expensive. For this reason, it is becoming common for property owners to hire rental property management services to help with everything from maintenance to accounting. However, some people are hesitant to trust a property management company with their affairs, and may be suffering the consequences. Below are five of the most common property management mistakes and how property management companies can help provide better alternatives.
Hiring Different Vendors Every Time You Need Maintenance or Repairs
On one hand, it makes sense to change contractors if you weren’t happy with a previous vendor’s work, or because you want to make sure you receive the best possible price. However, by shopping around every time there is a problem, you waste a considerable amount of time and risk upsetting your tenants. By working with a good property management company, you have access to a professional property manager’s established vendor relationships, staffing efficiencies, and tried and true preventative maintenance programs, which can help get work done quickly and minimize costs.
Letting Renters Perform Maintenance Work
Many landlords allow their tenants to take care of basic maintenance work in return for a lower rent payment. However, even if your tenant swears they have plumbing experience or has a real knack for fixing wiring, this is often better to avoid: if your tenant injures themselves in the process, you may be liable for damages, and if they cause a larger maintenance problem in the process, you’ll likely have to pay even more money than you originally expected. By hiring a property manager, you’ll be able to outsource this issue and let a trained professional handle it in a timely, efficient manner.
Paying Little Attention to a Building’s Energy Usage
Have you ever received an energy bill from your rental property and felt your jaw drop? Simply keeping common areas properly lit can be extremely expensive, but minor changes can reduce your energy usage considerably. By hiring rental property management companies, you’ll have access to services that can analyze your building’s power needs and provide easy, low-cost upgrades that can reduce your energy bill by as much as 50%.
Skipping the Regular Property Inspection
Working out a time to check over the property and identifying potential problems may seem like a huge inconvenience, but if you skip regular property inspections, you risk letting easy maintenance problems and necessary repairs worsen, which can cost you more money in the long run and leave your tenants grumbling. By delegating this task to a property manager, you can be sure that any problems will be found and fixed, and your tenants will feel confident that their living space is secure.
Trying to Manage Taxes Without Professional Help
Owning a rental property means handling complicated tax reporting and other accounting responsibilities, which can end disastrously if you make even the smallest mistake. By hiring a property management company, however, a property manager will be able to help you manage the tax reporting and other financial matters, keeping your property financially secure.
Hiring a property management company may seem like a risk, but with the number of problems your property is likely to face and the ability of many professional property managers to help solve them, the benefits often outweigh any potential consequences. Contact a property management company today to see how they may be able to help you improve your property.
