When you own rental property, you may wonder if it's time to hire a property management company. While there are a number of factors to consider, these are the top questions you should ask yourself before making the decision.
1. Do you have more than one rental property?
While you may be able to handle the management duties of one property, once you own more than one building, you should hire a management company. With multiple units, the job can quickly become overwhelming, and it is worth investing in a management company.
2. Do you live close to your properties?
If you don't live near your property, you will need a property management company that can respond locally to any emergencies. It is not possible to handle every problem from far away, and it is necessary to have a company that is near your property.
3. Do you want to be a property manager?
While it may be fun in the beginning to find quality tenants for your property, this challenge can get stale quickly. If you see your properties as an investment and not as a career, it's time to find a property management company to do the work for you.
4. Do you find yourself running out of time?
Property management requires a lot of time. If you aren't a landlord full time, you probably don't have the time you need to manage your property and look for new properties to purchase. If this is an investment, you need to work on growing your investments, not on the day-to-day work.
5. Have you been overwhelmed with property management tasks lately?
If you find yourself needing a lot of help to get the management tasks done for your properties, it's time to work with a management company. This will streamline the process and free up your time to look for other investments.
6. Is your property providing apartments for low income tenants?
There are a lot of rules to follow when you own a property that caters to low income tenants. Staying in compliance with these regulations requires organization. In order to get paid from grants, or receive tax credits, it's important to work with a property management company that knows how to work with the housing program you are working with. It is worth the investment to hire a management company that knows how to comply with all of the regulations set by a housing program.