Flat Fee Property Management

Being the owner of multiple properties is wonderful. It makes you financially secure, and the value of the property is always meant to go up.

The process of renting is quite cumbersome. You need to find potential renters, show them the house, do legal formalities and plenty of other things.

This process can overwhelm you. It can get lengthy, time-consuming and painful.

But here’s the kicker… You do not have to do all this stuff. You delegate this tasks to more skillful people who are masters at doing this every single day.

There are property management companies who do all this on your behalf. It helps you invest your time in other productive tasks.

Now, there are lots of property management service providers available in the market. Not all are great or budget friendly.

3 Steps to find best property management service:

Step 1: Decide whether to go Flat fee management or percentage based management.

There are two types of property management companies on the market.

Flat fee property management
Percentage based property
management.

Deciding on what kind of company you want to choose is up to you.

However here are some points to remember:

Flat fee management will cost you a fixed
amount per month. Their prices do not depend on rent you receive.

For example, if flat fee management company charges $100 per month then it does not matter if your house gets $1000 or $5000 in rent. They will only charge $100 per month.

Percentage based management will charge you based on the rental you earn from your house. Their percentage can vary from 8%
to 10% typically.

In the same example described above, if you are receiving rental income of $1000 then and the company charges a 10% fee then it would cost you $100. However, if you get rent income of $5000, then you will pay the company 10% of $5000, or $500.

Depending on your locality your choice may vary.

Step 2: Sort out the list of companies and go through each one of them.

Now after step 1 you know what companies to look out. Sort the list of companies based on the type you chose in step 1.

Here are some of the must-have services:

● Lower vacancy period guarantee.

● Go through detailed screening process of tenants

● Obtain best value rent for your house as per market.

● Always available.

● The company understands laws of both landlords and tenant.

● Handles legal problems like breaching of contract, HOA requirements etc

Step 3: Check out reviews of each company

Step 3 is the most crucial step of all. You need to check out the property management company’s reviews and client experiences.