Property managers are hired by owners to handle the operations, maintenance, and administration of their rental properties. Among many other tasks, property management Bangalore must market rentals and find renters, make sure rental rates are competitive while covering taxes and overhead, collect rent, and comply with rental laws.
Their responsibilities will differ depending on the property type, the money they are paid, and the management contract terms. A property manager can play many important roles to help rental property owners.
What Is a Property Manager?
Property managers specialize in running a rental according to the owner's instructions. The goals can be financial, based on providing attractive living conditions, or both.
Corporate property owners may issue mission and vision statements, whereas individual owners may provide verbal guidance on their property's goals.
Property management Bangalore ensures that responsible tenants occupy the property, that payments are received on time, that budgets are followed, and that the rental is properly maintained.
Below, we'll take you through what a property manager does:
Show and Lease Available Properties
It is common for property managers to charge a percentage of the rent each month as the property management fee. However, many contracts are set up based on the amount of rent collected, which makes filling vacant properties a high priority for property managers.
To achieve this, property management Bangalore first develops marketing strategies and advertises vacant properties. When people are interested in the properties, they schedule tours and show the properties to these prospective tenants.
Screen Potential Tenants
A lease agreement goes both ways: potential tenants want to make sure that a property meets their needs, and property managers want to make sure that the tenant will take good care of the property and pay their rent on time. Thus, property managers screen out tenants who are more likely to cause problems in the future by contacting references, checking credit scores, and running criminal background checks. Some property management contracts include a separate tenant placement fee that is refundable if the tenant vacates the house or breaks the lease. This gives managers additional incentive to screen out tenants who might be a problem.
Set, Collect, and Deposit Rent
Generating rental income is a top priority for property managers. They make sure that rent is collected and deposited into the appropriate accounts on time.
Also, property management Bangalore is in charge of setting the rental rates for the property. They analyze the local rental market to determine the prices that will allow them to earn the most profit while remaining competitive.
General wear and tear are inevitable on any property. Appliances will sometimes break, pipes will get clogged or start leaking, walls will eventually need a fresh coat of paint, etc. Landscaping jobs like trimming shrubs, mowing grass, and removing leaves also need to be performed regularly. Keeping up with all of this maintenance is certainly one of the most demanding responsibilities of a property manager.
Thus, property managers inspect properties at least every six months to identify and fix maintenance issues before they become bigger problems. This is especially important for vacant units.
Property managers respond to maintenance requests when tenants occupy a unit as soon as possible. Although some issues do not need immediate attention, others (major leaks, pest infestations, broken air conditioning systems in the summer, etc.) can be a nightmare for the tenant until they are fixed.
Property management Bangalore usually uses in-house maintenance crews to collect trash and clean public spaces. For more complicated jobs like electrical or plumbing work, property managers have an established network of trusted vendors in the area. This is one of the most valuable services that a property manager provides for the property owner.
Manage the Budget Set by Property Owners
Budgeting for an investment property can be difficult, with marketing, staffing, and many other expenses to consider.
Regarding budgeting for repairs, the property owner usually puts the money needed for maintenance into a repair service fund. The property manager may withdraw funds from this account at their discretion, or they will notify the owner when repairs exceed a certain limit. A repair service fund's minimum account balance typically equals one month's rent for each unit.
Represent Property Owners as Second Landlords
Property managers are particularly useful to property owners who do not live in the same neighborhood as their real estate investments. Property management Bangalore with these responsibilities, will often work on-site, which means they will be on-site during business hours to deal with any issues that arise. In fact, if the property manager works at an apartment complex, the landlord may include lodging as part of the compensation package. When the owner requests an update, the manager can provide firsthand knowledge of what is happening with their real estate investments.
At PropertyAngel, we become your second landlord. We are one of the leading O2O (online-to-offline) property management companies in Bangalore. When you hire PropertyAngel, you won't have to deal with any property management issues whether you stay nearby or far away from your real estate investments.
Ensure Compliance with Local Laws and Regulations
Finally, property managers make sure that the property owner's investments are managed following all local laws. Local laws for landlords and tenants can be complicated and vary by location. It's difficult to navigate all these rules and regulations, especially if you're a first-time landlord. This is where property management Bangalore comes in handy. They are well-versed in landlord-tenant laws and can help you avoid legal issues.
Doing business with PropertyAngel will make sure you have a qualified and professional team of property managers whose sole focus is to maximize the profits of your real estate investments. Call us at (91-80-47095974) or (91-7406484455) right away.
When you consider everything a property manager Bangalore does for your rental properties - finding and placing tenants, collecting rent, and dealing with maintenance and repair issues - it's easy to see how important it is to choose the right one. It truly makes a difference: a good property manager can increase your profits and give you peace of mind, whereas a bad property manager can reduce your returns and drive you crazy.
In this article, we'll go over how to choose a property manager after you've decided on an investment market. We will break down the process into five major steps:
Step 1: Generate a List of Property Managers
The first step is to create a list of property managers (PMs) who work in your market. The Google machine, as with so many other things, is a valuable ally here; just Google "property manager Bangalore" to start your list.
In your online research, you may also come across others who have done some preliminary legwork for you and published lists of property managers in Bangalore. These lists can be useful not only for brainstorming options but also for narrowing the field in Step 2.
Finally, you can ask for property manager Bangalore on online forums (such as Facebook groups devoted to real estate investing).
Step 2: Narrow the Field
Your next step is to narrow your list down to three finalists, though you could choose up to five. Remember that you'll be doing a 30-60 minute phone call with each finalist, so don't go overboard.
When narrowing your list, look for the "market leaders" in your investment area. This generally refers to the leading companies with the most properties under management. You could say, "Shouldn't I be looking for a property manager who will provide the best personal service to me and my tenants and truly care about us?" A large property manager sounds very impersonal, and I'm afraid they won't care about me or my property."
This may seem odd, but you don't want personalized service; you want established and reliable systems and processes. For example, think about Amazon: despite providing zero personal services, they consistently rank near the top of customer satisfaction surveys. This is because they provide a consistent and user-friendly shopping experience that customers can rely on.
To narrow your list, you must identify the big players and eliminate the smaller ones. You'll know who the big players are because:
They will have the most properties under their management. If you can't figure out how many doors they manage from online sources, just call or email them and ask.
They will have a professional website. Professional property manager Bangalore will have a strong online presence. If a PM doesn't have a website, or if it's amateurish, it's a sign they're one of the "little guys."
They will have links to Owner Portal and Tenant Portal log-ins. This is a sign that they're using legitimate property management software, which is important to achieving process automation.
They will have listings of available rental properties on their site. While not all property managers will have this, most will. It's also an easy way for you to see how well they market their properties by looking at the photos, descriptions, etc.
Step 3: Interview the Finalists
Email each of your finalists, introduce yourself as an investor looking to buy properties in Bangalore, and request a phone call to clarify any doubts. Here are the five main topics you should definitely ask, along with a sample of questions for each:
Company Info: how long have they been in business; how many employees do they have; how many properties they manage; etc.
Fees: what is their leasing fee; what percent of rent do they charge; what fees do they charge tenants; etc.
Maintenance & Repairs: how do tenants report issues; whom do they contract with for repairs; do they perform regular home inspections; etc.
Collections: how do tenants pay rent, do they have a dedicated Collections team; what is their end-of-month collections rate; etc.
Leasing: what is their current occupancy rate; how do they screen tenants; how do they market vacant properties; etc.
Step 4: Choose a Property Manager
Based on all the information you've collected in Step 3, making an informed decision will be much easier for you. So go ahead and do it!
A PMA, or Property Management Agreement, will be sent to you by your chosen property manager. You should double-check this document to ensure it matches what you were told over the phone, especially regarding fees.
After you sign the PMA, your property manager will create an online account and log in for you, assign someone your primary point of contact, and you'll be ready to start adding properties to your portfolio!
Step 5: Validate Your Choice
As you progress through the first few months of your relationship with your PM, analyze whether they are delivering the results you expected. Are they keeping their promises? Is your point of contact able to provide timely and accurate responses? Are the monthly statements clear? Are there any red flags popping up?
You should address any issues head-on. Use specific examples to inform your property manager Bangalore that you are not receiving what you expected. Allow them the opportunity to improve and make things right.
You may have to do this more than once, especially at the beginning as you get to know each other. Don't be alarmed by this. Things may not go perfectly initially, but open communication and setting clear expectations are important for improvement. Your ultimate goal is to get into a good rhythm with your PM, have faith in their actions, and spend as little time as possible looking over their shoulder.
However, if there are TOO many red flags and/or the same issues keep repeating, you may need to consider hiring a different property manager.
Your property manager Bangalore (literally) holds the keys to your portfolio. Selecting a competent, professional PM can make all the difference to your bottom line and your state of mind. You can also visit our website to learn more about PropertyAngel.