Do you want to try your hand at real estate management and renting? Are you ready to help out a community that needs fair housing, but you have concerns about making sure your investment pays out efficiently? There are a lot of legal and ethical concerns that work together within property management, but an overview of how things should work can help you make sure that you're on the right side of the housing market while still getting an efficient financial yield.
Managing Tenant Complaints
Leaking faucets, air conditioning and heating problems, broken windows, uneven doors, and pest problems: all of these issues are common issues that any homeowner has to deal with, and renters unfortunately have to wait on action from the property management to resolve many of the issues.
The problem isn't necessarily that the tenants can't handle some issues on their own. Many problems are handled at the lowest level, but there are two major problems standing between low repair costs and you:
- People are paying not just for shelter, but a shelter in good repair.
- Tenants don't want to be fined for making mistakes during repairs.
These two issues will create demand from people who think that the property management must do everything for them and people who just want to handle problems on their own. Thankfully, a skilled property management program can handle the problems.
It's more than just allowing tenants to make complaints. A good property manager needs a system for accepting written complaints and keeping a record of those complaints along with their repairs. A great property manager will track the costs and investigate the situation for trends that follow a specific tenant--or may be related to multiple properties in the area. Administration and investigation have to go together to keep your maintenance and management efficient.
Late And Partial Payment Management
When times are hard, they're not always hard for everyone. If you want to allow a type of rolling debt or late forgiveness program, you need to make your property managers aware and hire professionals who can work with the style.
Such management policies are not a given and can be rife with lost intention and poor implementation if you're not careful. Your planning should include either a maximum debt balance or a timely payoff system that applies to all tenants or that can be activated for specific tenants when certain documented conditions are met.
At the end of the day, you need your money. There are laws to protect property owners and management teams who want to get payments as soon as possible, but if you want any kind of flexible payment program, make sure to hire property management professionals who have experience with payment systems and account customization.
Contact a property manager professional to discuss scenarios that could be a bit more effort than simply handling applications and payments.