You might be aware that property managers exist, but you may not know what exactly they do. A property manager is a third party who is employed to take care of the daily operations of a real estate investment. They can manage all the kinds or types of property, from a single family home to huge apartment developments.
The responsibilities of property managers may differ based on their salary and the set terms of their management contract, but will generally include the following:
#1. Responsibility for tenants
This is one of the main duties of the property manager: managing tenants. They are included in all capacities, from searching for tenants and dealing with complaints to dealing with evictions.
- Searches for tenants: Property managers are accountable for marketing the property. They know where and what to advertise and the things that should be included. They also know what entices tenants, so they can propose making enhancements that aid in redesigning the property.
- Handling Leases: They are responsible for setting the extension of the lease and making all necessary provisions to shield the owner. This includes deciding the amount of security deposit needed.
- Handling complaints or emergencies: They are paid to respond to requests and complaints, and have the necessary contacts to take care of emergency situations.
- Dealing With Evictions: When a tenant refuses to pay rent or otherwise breaks the terms of a lease, a property manager will be tasked with filing and moving forward with an eviction.
#2. Responsible for rent
A property manager is responsible for setting up the first rent level, collecting rent from tenants and increasing the rental fee when appropriate.
- Setting Rent: The property manager knows how to charge the right rent level to entice tenants to your property. They understand how the market works, and the factors that influence market value.
- Collecting Rent: Property managers play the role of the enforcer. They make sure that cash flow is at expected levels, by setting a date to collect rent each month and applying late fees.
- Adjusting rent: They can increase the rent by a stable percentage yearly, according to municipal law. They can also decrease the rent if necessary.
#3. Responsibility for maintenance and repairs
They are accountable for physical management of the property, emergency repairs and constant maintenance.
- Maintenance: They are responsible for maintenance and keeping the property in good shape. For example, they will need to check for leaks, shovel snow and remove garbage. This is done to keeps current tenants happy, and attract new ones.
- Repairs: When issues arises, the property manager must attend to them with immediate attention. They sometimes have a large network of reliable electricians, carpenters, plumbers and other contractors.
#4. Responsible for taxes
The property manager can help educate the property owner on tax laws and how to file taxes for the property.
Knowing the responsibilities and duties of a property manager will help you find the right one with the right experience for the job.