Today, property management is one of the fastest-growing fields globally, with one report showing the property management market is expected to nearly double its 2018 value of $14.47 billion to $22.04 billion by 2023. While the number of individuals entering the field has risen in recent years, experts state we can see a exponential increase in new property managers in upcoming years.
Since its foundation in 2018, Mastino Management has set itself apart from other competitors through its focus on transparency, communication, and support. Today, Mastino Management specializes in managing not only private rentals but mixed-use properties, metro districts, new construction, and HOA’s. Through their impressive background and experienced team, Mastino Management is uniquely qualified to discuss property management best practices and share their knowledge with the upcoming influx of property managers. Below, Mastino Management reviews tips for new property managers.
Recognize the Importance of Thorough Tenant Selection within
While most property managers believe that finding a tenant is the most straightforward aspect of managing a property, in truth, it should take a significant amount of time and effort. By making the process of finding a perfect tenant a priority, property managers can save themselves a significant amount of time and money in the future by avoiding legal fees and loss of rent.
A responsible tenant can be a major financial benefit to property managers. This type of tenant will pay their rent on time, be communicative with the landlord for different property repairs, and often renew their lease. However, if a property manager finds themself with a bad tenant, they can spend a large amount of money on repairing a property that has been damaged, evicting the tenant over a long period of time, and possibly losing months of income if a new occupant is not found immediately after an eviction. For this reason, finding a responsible and reliable tenant should be the top priority for every landlord during property management.
When looking for the right kind of tenants, Mastino Management says that landlords and property must first know how to target this demographic. If a property manager uses an informal listing site like Craigslist or Facebook, they will most likely find students and young families. However, using a paid site like Zillow or Realtor.com will allow property managers to target high-income individuals and, more likely, a better quality tenant. While many landlords may believe that Craigslist or Facebook is a more cost-effective option, in the long run, they can save themselves thousands of dollars by avoiding future evictions and legal fees.
Be Responsive When Tenants Raise Concerns Regarding the Property
It is a landlord/ property manager’s legal duty to ensure that the property is safe to live in, which means that it must be up to code and in a safe and sanitary condition. While each state will have its own laws regarding the legal responsibilities of landlords/ property managers, it is a good business practice to keep the property in excellent condition and tenants happy. As such, landlords must be responsive to any concerns raised by the tenant. This will ensure that the property does not fall into disrepair during the tenant’s occupancy and show the tenant that the property manager is willing to uphold their part of the lease.
One of the most common mistakes property managers make is hiring the first repair service to return their call when a tenant reports a problem at the property. Most experienced property managers have built a strong relationship with different tradespeople over the years and recognize the time and costs they have saved from cultivating these relationships. However, if a property manager has just entered the industry and has not yet developed these professional relationships, it is important they call around and get multiple quotes before hiring a repair service. Additionally, Mastino Management recommends that property managers have an emergency fund ready in the event of an urgent repair so that they can uphold their legal responsibilities to their tenants and not be left without proper funds.
Understand Real Estate Law - Eviction Process
Although it is not a requirement for landlords and property managers to know real estate law, it is highly recommended that they at minimum educate themselves on the eviction process. Unfortunately, evictions are a significant aspect of owning and managing a rental property and can be quite draining financially when not conducted properly. As a landlord, it is crucial to follow all the regulations and laws pertaining to evictions in their state for the eviction process to go along smoothly and so that the tenant can be removed as quickly as possible.
Mastino Management recommends that landlords/property managers conduct thorough research into the eviction policies of their state and find the answers to key eviction questions such as:
- Is your state eviction friendly?
- What costs are involved with evictions?
- How long does the average eviction in your state take?
- What steps must be accomplished before an eviction can go through?
- What are laws pertaining to squatters in your state?
