Did you know that 32% of property investors are currently or planning to rent out their properties on a short-term basis? Property owners, especially new ones, don’t know exactly how to rent their properties out.
A cost-effective way to continue making profits on your investments is by hiring a DC property management company. To ensure you find someone with experience and knowledge of the industry, you need to know a few things.
Keep reading to learn the top tips for choosing a DC property management company.
1. Check Reputation
When looking for a DC property management company, you’ll want to learn about reputation before anything else. What is their success rate in the industry?
To figure this out, you’ll need to research how many properties a company manages and if they manage all of them well. Property managers should be honest about their successes.
If a company is hesitant about its past, it might be trying to hide something. Ask detailed questions to get a good idea of their history.
View more about property management experience now.
2. Read Reviews
A property manager is bound to get reviews about their service. However, when reading online reviews, take some of them with a grain of salt.
The internet makes it easy for anyone to write a review about anything they want. Reviews can be sincere, but negative reviews are inevitable.
Check the ratio with good and bad reviews. Good reviews are helpful, but similar negative reviews can help you make a decision as well. Note how a property management team responds to negative reviews.
With this step of research, you’ll be able to learn some of the biggest advantages and disadvantages of working with a certain property manager.
3. Check Vacancy Rates
When you manage real estate, your profit is going to depend on vacancy rates. Larger property management firms often place vacancy information and fill rates on their website.
If you can get access to this information, use it to help you make a decision. A company that struggles filling vacancies is one you don’t want to work with.
4. Compare Fees
Chances are, you’ll find a few property management firms in the real estate area you are in. To cut down your pool of options, compare the fees of each of them.
Standard fees include the following:
- Leasing fees
- Setup fees
- Advertising fees
- Vacancy fees
Before signing a contract with a property management company, understand all fees involved. Certain property managers will charge additional fees for services not included in the above standard list.
5. Check Services Offered
Perhaps the most important factor in your decision is the services offered by a property management company. A property manager can handle a variety of services, but make sure the services align with your needs.
Some businesses allow you to choose one or two services that they offer while others only offer a comprehensive management solution.
Choosing the Right DC Property Management Company
Choosing the right DC property management company is all about considering your needs. When you know what services you require, you’ll have an easier time picking the right business.
After learning your needs, refer back to this guide to narrow down your search. When you use the tips in this guide, you’ll find the best property management company to work with.
For more real estate advice, check out the other posts on our blog.