Landlords often turn to property managers to help them handle their rental properties. Property managers have experience dealing with rent, tenants, maintenance, and more, so they are great assets for landlords that are in over their heads. If you’re new to real estate, you may wonder what a property manager actually does.
Property Manager Duties
One of the most basic duties for property managers is handling rent. It is their duty to set a fair rent, based on the local market and similar properties in the area. Rent may also need to be adjusted year-by-year based on inflation, home value, and the real estate market.
Aside from setting rent prices, property managers typically collect rent each month. Today, most property management companies have online portals for paying rent, although some may operate by physical checks still. Property managers set clear due dates for rent and enforce late fees to ensure timely payments.
It is also the duty of the property manager to find, screen, and handle tenants. Property management companies help to market their properties and fill vacancies. They have the right experience and know how to screen tenants, from criminal background checks to credit and income checks. A property manager can handle leases, collect security deposits, and deal with tenant move-in and move-out dates and procedures.
Property managers also handle tenants when it comes to their maintenance requests and other complaints. It is their duty to receive and respond to maintenance issues in a timely manner, handling any repairs. Most property management companies have maintenance staff for upkeep of their various properties, although they may also outsource maintenance to contractors.
A good property manager should be well-versed in state and federal landlord-tenant law. They must ensure that properties comply with rental and housing laws and regulations. Their legal role also comes into play when executing leases. Property managers take on evictions and landlord-tenant disputes over termination of a lease. They also often help landlords understand and file taxes on their investment property.
Finally, property managers keep detailed and thorough records for the properties they are in charge of. They manage budgets for their services as well as for any repairs or costs to the building itself. Property management companies should keep records of income and expenses, inspections, repairs, insurance, all legal documents including leases, and rent payments. Keeping all of this information together is important for both the landlord, tenants, and the property manager themselves in case any issues arise with the property.
What Else Does a Property Manager Do?
Some property managers take on more responsibilities, like clearing sidewalks or offering preventative maintenance. The details of their duties should be spelled out in a contract with their landlords or investors, as well as in the lease for tenants to understand their services.