It’s not easy to be a property manager. You have to handle everything from maintenance and repairs to tenant relations and collections. That means you’re constantly managing people, property, and money–and that can lead to costly mistakes if you’re not careful. There are some common mistakes that many new property owners unknowingly make. Learn what these mistakes are so you can avoid them and keep your property management business profitable.
Guard Your Time
Time is a precious commodity. In the world of renting, it’s even more important to guard your time carefully. If you’re not careful, your property can own you – instead of you owning the property.
Some steps you can take to streamline your property management is:
1) Set up automatic payments for rent – this will ensure that no matter what happens, the money gets paid on time without any effort or worry from you at all!
2) Don’t take calls during work hours unless they’re emergencies—this means turning off notifications and alerts when you get home too so there won’t be anything distracting you.
3) Set up email alerts for all property management activities—for example, if your tenants want to talk about repairs or other maintenance issues. This way, you’ll get the message while you’re at work and you can discuss it with them later when it’s more convenient.
4) Consider hiring property managers –while property managers are not free, they are definitely worthwhile. If your property is too far away for you to keep an eye on it yourself or if you can’t do it because of work demands, property managers are great at keeping the property maintained and looking great and handling many of the day-to-day tasks.
Don’t Get Too Friendly
Rule #1 of property management – do not rent to family or friends. This is one of the most difficult decisions a property owner can make, but it will avoid so many problems for you in the future. Renting to family members can lead to more disputes than with other tenants because of the emotional ties that bind them together. If family members or friends don’t pay their rent on time or behave inappropriately then it may be harder for you as an owner to evict them than if they were just another tenant. It could create confusion about ownership and possession rights of the property in question if there is ever any dispute between two relatives about who owns what parts of the house or yard space. Family and friends often expect “favors” such as extra service, lower rent, not paying their rent on time etc.
If your property and money is important to you, it’s best not to rent to family members or friends because this is one of the most common reasons property disputes arise.
Leave the Repairs & Maintenance to the Experts
If you are not a licensed contractor, it’s best to leave home repairs and maintenance to the pros. You may think that doing your own repairs is the most cost-effective way to handle maintenance. However, if your knowledge of plumbing only consists of using a plunger to pull out a minor clog, you need to have a professional on call. Trying to make repairs you don’t know how to do is going to frustrate your tenants and cost you more in the long run.
Connect with professionals who can handle basic apartment maintenance before you rent your first unit. It will be necessary to hire people who can fix basic appliances, do plumbing, drywall, and minor roof damage repairs. You will look professional in the eyes of your tenants if you have people who can finish work quickly. This will convince them that they made the right decision to rent their housing from you.
Another option is to simply leave rental property repair and maintenance issues up to our Newport Beach, CA property management team. With our convenient “Tennant Portal,” your tenants can log in, and report the required repair. Once you approve the repair, we handle everything else from that point.
Don’t Chase Checks
If you want to make money as a property owner – and you do – don’t chase rent checks! Set up a system to collect and receive your rents on time. A couple of mistakes to avoid in this area is:
1) Get your security deposit upfront – Never let a tenant move in without paying the first month’s rent and security deposit first.
2) Let your tenants know the payments options when they sign the lease.
3) Give your tenants a written copy of your lease and payment policy.
4) Charge late fees
Get Rid of the Headaches
Being a property owner certainly comes with its own unique set of headaches. We can take care of everything from A-Z without any headaches for you! We’ll handle all aspects of managing your property including collecting rent payments, maintaining accurate records, screening potential renters, completing an extensive background check process on each tenant applicant as well as performing monthly inspections on each unit after every lease expires or when there are early terminations due for any reason whatsoever. Call us today at 866-957-6677 and talk to one of our Newport Beach property management experts.