When choosing a property management company, it's very important to understand all points like free, service and agreement. Some of Property Management Company charge management fees every month. Although it might be tempting to hire the company offering the lowest leasing fees and management fees, but in actuality all property management companies must make a profit or else they will go out to business. These low cost companies are trying to trick you by making you think they are the cheapest but their management agreement has additional charges that most people overlook.
UNDERSTAND ALL THE FEES IN ANY PROPERTY MANAGEMENT SERVICE:
The company offering the lowest leasing fees or no leasing fees for that matter, will more than likely let anyone move into your property so that the property manager can start earning a monthly management fee. Not all tenants are created equal and bad tenants will cost you more money than hiring a more expense company. A bad tenant will cause more damage to your property than what the security deposit will cover, they will not honor the full term of your lease and you might have to evict the tenant for not paying rent.
How they manage your properties. Ask some questions are as follows:
Tenants should be responsible for damage to the property and not the landlord.
If the tenant has damaged the property, how do you make sure they make the repair or pay for the damage?
How do you collect the monthly lease payments? Mail, direct deposit, delivery.
If the tenant does not pay rent, how do you handle the eviction process?
How often do you inspect the property for damage and upkeep?
These are all very important questions to ask the property management company you are considering hiring to manage your properties. The wrong way to handle these aspects of property management could cost your hundreds or thousands of dollars.