Property Managers can be the best thing to happen to investors, as they take away much of the stress of personally handling your investment property. If they’re not up to task, they can also be your worst nightmare.
We see many investors get into real estate initially because they are excited about the potential to grow their wealth. They study the market, do their due diligence or engage professionals to assist. In the process, some discover that it is not as easy. Everyone wants the dream tenant who is conscientious and responsible, pays the rent on time and treats the property as if it’s their own. That is not always what you get. Sometimes a tenant is placed who damages the property, doesn’t pay rent on time and will only alert you to a leaky faucet weeks or months after the issue began.
These sorts of issues make an investor think twice if owning an investment property is actually worth it, and this is where a great Property Manager and their associated agency comes in. A great Property Manager can do much of the heavy lifting for you. They will be the one who takes those late night complaints and deals with flaky renters on your behalf. They will also be the one screening potential tenants to minimise the chance of renting your property to irresponsible tenants in the first place. With the experience that a Property Manager should have, they should generally maintain an excellent database of resources for repairs and are familiar with landlord tenant regulations. If you are concerned that your Property Manager might be causing more harm to your property than good, maybe its time then to re-evaluate your contract with a view of replacing them with someone with more experience and expertise.
Here are some signs that you may need to replace your current Property Manager.
When your Property Manager is MIA
To have a Property Manager not reply to one or two text messages is not a cause for concern yet, however when your call log and text log consists only of your Property Manager and you still have not heard a response well then it may be time to question ‘What is going on?’. Your Property Manager may have taken on to much responsibility and is feeling overwhelmed, regardless it would be wise to find out what is happening.
When your tenants are harassing you
Getting enquiries from tenants about problems your Property Manager is supposed to be handling, is a great indicator that they may not be doing their job properly. One of the major reasons why you hire a Property Manager is so that renters don’t (and should not even need to) know who the property owner is. When your tenant actually looks you up, this suggest that your Property Manager may be ignoring their complaints.
When your Property Manager fails to address problems
Has your Property Manager been maintaining the property regularly? Are broken fixtures and malfunctioning appliances being repaired? If the answer to these questions is a big fat no, then you may have a lazy and unprofessional Property Manager. Your Property Manager should be providing you with regular reports so if you haven’t heard from them in a while consider giving them a call.
When your Property Manager doesn’t update you
If your Property Manager isn’t giving you regular reports on your tenants, their intentions to stay/move, maintenance requests or any other information then they’re doing something wrong. Your Property Manager is there to act as a conduit between you and your property, so they need to be on the ball about everything at all times.
When you have compliance issues
Regulatory changes can impact your investment, and its your Property Managers role to ensure that you are abreast of the latest changes while also keeping your property above the law. As the owner of the property, the buck ultimately stops with you, however you should be able to rely on your property manager for advice and guidance along the way.
When your cashflow is poor
Is your property staying vacant for months on end with no prospects of gaining a tenant in the near future, thereby causing you major cash flow issues? This may be a sign that your Property Manager is doing a terrible job at marketing if effectively to potential clients. Even in the slowest markets, an effective Property Manager or leasing agent can guide you towards a tenant – even if it means reducing your asking rent.
If any of the above red flags ring true for you, then don’t wait to boot out a bad Property Manager. When finding a new Property Manager be clear about your expectations. It would not hurt to schedule an on-site inspection to you can get to know one another a bit more.
At E-Fishient Property Solutions we pride ourselves on the level of care and integrity we bring to both our landlords and tenants. Being a family run company, our promise to you is that we will look after your property as if it were our own. Get in touch with us today to organise your 1 month Free ‘love us or leave us’ Property Management service.
We look forward to working with you in the future.
The team at E-Fishient Property Solutions.