According to the American Housing Survey in 2015, there are 48.5 million rental units in the United States and 4.6 million of them are unoccupied! That's a lot of units that are losing money.
Are you a real estate investor who is suffering from tenant turnover and lack of revenue? Then you need to consider getting a property management firm, who can solve these issues for you and alleviate your burden. It's stressful enough being a real estate investor in today's market. Don't add to your load.
Read on for 5 benefits of property management that you cannot afford to ignore.
1. Reduce Tenant Turnover
What's the most important thing for real estate investors? Besides ensuring that they are in the green every month, that their tenants are happy and staying long-term.
It's hard to find a good tenant and even harder to keep them. That's why if you have a property manager in place, you can ensure that your tenants have someone to talk to, complain to, whine to, vent to, and more.
Whenever they need anything, they will have one point of contact in the form of your property management company. And the better the customer service, the faster the turnaround, the happier your tenants will be.
Happy tenants stay in an apartment or house longer. If they are unhappy, they are more likely to go searching for greener pastures.
Don't want to spend all your free time dealing with high-maintenance tenants? Hire a property management company to do that for you.
2. Reduce Your Contractor Expenses
Another huge nightmare for real estate investors is spending an inordinate amount of time searching for, hiring, and following up with contractors to make minor or major repairs to their units. Another way you can keep your tenant happy is by ensuring quick follow-up and follow-through on any repairs that might be necessary.
If your tenant comes home to an AC unit that doesn't work or a heater that refuses to heat their apartment, you will want to ensure you can get someone to fix it asap! Otherwise, your tenant will be grumpy and unhappy. You might even have to put them up in a hotel for a night or two until the problem is fixed.
Property management companies have a long list of reliable contractors that they deal with regularly. When any repairs are necessary, they can call upon their network of contractors and get the work done fast. In the time that you find a contractor, get them to come in to do the work, they've already gotten the contractor to complete the job.
And because they have so many units that they are usually working with, contractors will give them a discount on each repair conducted. That means more money in your pocket, and less going towards repairs and other unexpected expenses.
3. Reduce the Time Your Units Stay Empty
There's no point having the swankiest of rental units in your portfolio if they are all sitting empty waiting for a tenant to come in. You might be able to keep your tenant happy, but they are still going to move out someday as they buy their own place or find a job in another city.
You want to reduce the amount of time your unit stays empty at all costs. But it's not so easy. You might end up giving discounts to new tenants or other advantages, just to entice them to stay in your rental unit.
That's where a property manager comes in handy. They have a huge network of real estate agents and other professional resources to market your property without it costing a fortune. This is what they do for a living.
In addition, a property manager is an adept salesperson and can entice prospective tenants to your unit easily. Stop wasting time, money, resources, and mental power on such things. Hire a property manager and live your life worry-free.
4. Reduce Lawyer Fees and Legal Disputes
Does legalese make your eyes go crossed and stop all coherent thoughts in your head? Legal terms and legal forms can be confusing, and scary, even more so because any mistake you make in dealing with legal issues can result in thousands of dollars being drained from your fortune.
Don't do that to yourself. Hire a property manager who deals with legal documents, forms, and terms all day long. They can deal with all legal issues with ease and with experience. They have been there and done that, many times before. They know how to deal with any legal disputes with a minimum of effort, cash, and time.
5. Reduce Late Payments
Do you have that one problem tenant that is always asking for leeway in their rent payments? They pay their rent 10-15 days late every single month, causing you a huge headache. Stop spending time worrying over such problem tenants.
The more properties you have, the more likely it is that you have such problem tenants. If you don't want to deal with this every single month, consider hiring a property management company that can put a system in place so that rent is collected on time every month.
Of course, this doesn't mean that you will never give concessions to your beloved tenants. Sometimes emergencies do happen, but that's something a property manager can deal with and worry about. No need for you to drain your mental powers over it.
The Benefits of Property Management Are Many
You must be convinced already of the benefits of property management. If you wish to save time, money, and reduce your gray hairs, then hire a property management company today.
In the Charlotte, North Carolina area? Maximize your rental potential in the Charlotte area by calling upon the services of Wilkinson Property Management. They have been in business since 1999 and are here to make your real estate investment life easier.