Property Management Services are only for those owners who don’t reside in the same city where their property is located….what ??? is this true ?? …. Let me bust this Myth for you !
A lot of effort goes into managing a property and you don't need any excuse to avail the services of a Property Management Company.
Let me tell you how a Property Management Company can benefit you as a local owner
Marketing your property
Gone are the days when To-let boards attracted eyeballs.
We live in a new age where everything happens on the World Wide Web, which means someone could be looking for a house in Bangalore sitting right across the globe.
In such circumstances, marketing your property to get suitable tenants could be a task.
Why put the effort to get a Masters Degree in marketing for a single property when you can reach out to Property Managers to do it for you ?
Expertise of Property Managers enables them to judge the right place to attract the highest potential tenants. They can also market your property in multiple platforms to boost your tenant leads
Imagine receiving multiple calls from potential tenants -you won't want to miss them ...but you definitely do get tired of reciting the same details again and again to each caller.
Property Management companies reduce this burden for you. They attend unlimited calls and shortlist tenants as per your specifications.
They also verify your tenants to ensure that your property is in safe hands.
We sometimes might set the rent of our property too high or Sometimes we might set the rents too low ….In both cases we lose out, either our property is mostly vacant as in the 1st case or we are constantly under paid as in the 2nd case.
Rent varies just like the stock market. Multiple conditions affect them, such as: location , access to amenities, connectivity, development in the surrounding are and not the forget our economic conditions
Property Managers have the expertise to arrive at the most optimum rent to maximize on our income and also ensure that your property is tenanted.
Most of the property owners are busy with a day job. Coordinating with potential tenants for inspection and scheduling a convenient time that suits both is a hassle.
Property Management companies have personnel who can take tenants for inspections.
We don't need to travel from corner to corner, taking an excuse from work to show tenants the house for inspection.
Maintenance of Property
As a homeowner we might face maintenance issues especially when the property is vacant.
Be it pest or seepage - it’s the responsibility of owners to maintain the property in a livable condition.
This task can be handed over to Property Management companies who can get all your maintenance work done and ensure your property is always in its best conditions.
They find the best vendors and supervise the work, keeping you tension free.
A property owner is not tension free once the property is rented out, we must also ensure that the property is inspected on regular intervals to ensure that the property is in good condition.
Property Management companies schedule regular inspections so you can take a back seat and enjoy your rent and take the inspection burden off your shoulders.
You are lucky if you have a tenant that pays you on time !
But most of us are blessed with kind tenants who need a nudge to pay their monthly rent.
Keeping a track of these payments could be a bit annoying and at some point it might put you in an embarrassing situation.
Don’t want to nag your tenant ? … simply pass on the duty to the Property Management Company.
They take up the responsibility to collect your rent and ensure it's in your bank, Ready for you to spend it !
We all should realise that a property is always a burden when it is unoccupied. The ‘n’ number of maintenance issues and the safety of the property is an ongoing issue.
In the current market many homeowners have bought properties for investment on bank loans and the pressure of EMI can only be mitigated if the property is tenanted.
Every owner can only enjoy the benefits of their property when it generates some income.
When the need of the hour is to wisely manage your investments, then who best can ensure maximum return on your investment than the experts in the area of properties -- Property Management Companies.
Now all of you might be thinking if the benefits outweigh the costs ….
It is here that we should realise that in performing all the above duties as a property owner we shell out cash more often than we realise - small amounts over a period of time may go unnoticed but they sure do impact our pockets.
As the old saying goes - Penny wise, Pound foolish - it’s better to acknowledge an expense than have no control and have unnoticed expenses.
The benefits definitely weigh more than the costs and it's best to take aid from a professional to manage your property.
PropertyAngel is a Property Management Company with Strong SLAs to measure performance
As a new age property-tech company with 860+ verified properties under our wing,we are deeply driven by Customer Happiness & Customer Transparency
Few service which may please you as an owner of your property:
Our goal is to maximize your rental income and to minimize your stresses.
To know more about us please visit our website: https://www.propertyangel.in/
Reach out to us on: 91-80-47095974 / 91-7406484455 OR
We all wish for a Genie to magically find us a comfortable house without wanting to go house hunting surrounded by middle men and paperwork.
Finding a suitable property owner in a peaceful neighborhood especially without a judgemental next door aunty is our goal for this century
Property Managers are the Genies we are looking for ...How you may ask ? Continue reading to know how Property Management Companies make our life so much easier ...
Most of us know Property Managers as end to end service providers to property owners. They provide a wide range of services from maintenance to tenant management, So don’t you think it's a good place to find a suitable house ?
1. Wide Range of Properties
Property Management Companies have a wide range of properties under their ambit.
Whether you have a large extended family or just planning to move in with your buddy there is a high chance you will find a suitable abode.
2. Condition of the property
Most of us might have come across properties which are not well maintained, and the effort that goes into it to make it livable ...Ufff! I don't even need to start talking about that ...
But property managers on a regular basis ensure that the property is in good shape, hence you can always walk into a welcoming home.
3. Verified Owners
Isn’t it biased that only tenants have to be verified ? It’s a concern for every tenant to have a verified property owner as well ...
Recent instances of tenants being duped by fraudulent property owners is an issue to be addressed.
Property Management companies verify owners and ensure they possess correct title deeds to the property before signing them up
4. Tenant Support
As tenants we need to reach out to our owners on a regular basis for different queries be it relating to maintenance requests or any documentation work such as name/ address change.
Property Managers come to our rescue, it's much easier to reach out to them. The turnaround time is considerable less keeping in mind their professional expertise in solving our queries
5. Security of Deposits
Security deposits are given to property owners as a measure of security and are used to pay for any damages or loss of property.
Though it safe guards the owner’s interest, the tenant's position is in a bit of a dilemma - whether he will be able to recover this big sum !
Property Management companies put this dilemma to rest. As they are the point of communication between tenants and owners they ensure that Security deposits are given back to tenants on time and ensure that unreasonable deductions are not made.
6. Offers and Free Services
Property management companies often put up offers or provide free services such as maintenance requests, sanitisation and many more.
It not only makes it light on the pocket but it also adds joy in enjoying free services.
7. Rent Receipt
Many of us may not know that rent can be claimed as a deduction from income while filing for our Income Tax Returns, but there is a small catch to it …. It requires a rent receipt.
Asking owners to provide a rent receipt is far fetched, but Property Management companies as part of their process provide rent receipts.
8. Single point of contact
Renting a house isn't easy business, we need to communicate to multiple stakeholders, be it brokers to find a house or an agent to complete the legal paperwork and not to forget the owner.
Property Management companies cut down all this hassle. We need to only contact one person for all our services from start to end.
Property Management companies have a reputation to maintain in the market and they take this very very seriously.
And that is good for tenants as we can be rest assured that they won't go back on their word …. But can we trust an individual owner the same??
10. No Judgment
Handling prejudice owners is an agonising situation and everyone hopes to not find themselves in such situations.
There is constant hesitation in the minds of tenants about the misconceptions some owners may have be it regarding their profession or lifestyle.
But gone are the days when we need to worry about being judged.
Any reputed Property Management Company will have 0% tolerance
11. Realistic Rents
It’s the owners right to ask for appropriate rent for their property, however many times they do not reflect the market rates.
Even after some serious time consuming negotiations deals fall through
Property Management companies actively keep tabs on the market trends. Their rent analysis gives them a cutting edge to ensure that properties are let out at win-win rents
Property Managers keep in mind the paying capabilities of tenants and the intention to provide maximum return on investment to the owner. Hence they always arrive at an equilibrium figure.
Is it possible to avail all these benefits for absolutely free ? YES ! and it only happens @ PropertyAngel
We are your one stop shop for all your rental needs - from looking for a suitable property to fulfilling all legal requirements.
To know more visit https://www.propertyangel.in or call us at 91-80-47095974 / 91-7406484455
In this blog, we will talk about the different Property Rental models and types of Rental agreements. The idea is to educate the tenant and londlord about what options are available and what to be wary of.
Now, before we speak of legal agreement formats, lets see what are the rental models in India today:
Monthly Rental: In this model, wherein the tenants pay the homeowners a fixed amount every month. In the case of leave and license and rental agreements, homeowners have the freedom to change their rental rate. When it comes to leasing agreements, the rental rate is fixed for a particular period. However, in all these cases, the homeowners receive a monthly rental income.
One-pay lease: A single-payment lease is when tenants pay the entire leasing amount upfront, to get rid of monthly payments. At the end of the lease period, which is typically 5-10 years, the parties can choose to do the same once again, or break off their relationship. At the termination, the entire upfront lease amount is returned to the tenant, without interest. Landlords who are business owners usually use this option if they can use the funds in their business, without having to sell the property. Tenants use this option when they need stability.
Rental Agreement Formats
Now, there are 2 widely known standard rental agreement formats - Leave & License agreement and a Lease Agreement. While the One-time lease can be signed using the Lease agreement, there are 2 options for those use in the Monthly Rental Model:
In the lease, the landlord and the tenant mutually agree to fixed terms and conditions, such as the rent, rules regarding pets, and duration of the agreement. Neither party can change the agreement without written consents from others.
Likewise, the landlord can’t arbitrarily force the tenant to move or raise the rent since it would be violating their contract. Hence, he or she has to wait for the expiration of the lease agreement to negotiate. So the lease offers more long term security to both parties. Such contracts last for a fixed period of time, usually between six to twelve months, and it binds both parties to the lease. These contracts also clearly define the expectations of both parties, helping to protect the best interests of both.
As per Section 105 of the Transfer of Property Act, lease agreements serve as contracts between the lessee and the lessor regarding the right to possession of a property. They tend to be both transferable and heritable. Also, they are not affected by the sale of the property and lasts until the date of termination.
Leave and License Agreements
A Leave and licence agreement grants an individual a right to do something within a property for a set duration, activities which in the absence of a license might be considered unlawful. However, this does NOT give the party an interest in the property, as they only have the right to use or occupy the premises. Such licenses come under the Indian Easement Act. The main difference being exclusivity of possession. In case an agreement gives an individual exclusive right to possession, it is a lease. If it only gives the party a right to use the property for a certain purpose or in a certain manner, then it is a License.
A Leave and License helps solve both eviction and rent-pricing problems and take place between a licensor and licensee. Also, as they do not lead to any transfer of duties, responsibilities and obligations, changing these agreements is very easy. Unlike lease agreements, they do not give the tenant any inheritance or trader right. Also, these come to an end if a property is sold to someone else. Furthermore, it does not require the sending of any notice period, but most licensors end up doing so to make the process fairer.
At PropertyAngel, we use only the Leave & License agreement for all our tenants, as that is most hassle-free.
When it comes to any investment, the general rule is that they perform better when left under the care of professionals. Real estate investments are no different, and that is why hiring the right property management company is so important. Real estate investments are usually high-value, capital-intensive investments worth lakhs or even crores of rupees. Therefore, it makes perfect sense to be very careful when hiring a team to look after such an asset. Here’s a quick look at the various points you need to consider before handing over the keys of your property to a management company.
How Do You Know If You Can Trust Your Property Management Company?
Here’s a quick look at some of the factors you need to consider before choosing a company to manage your property
Some companies will promise to get you a guaranteed rent every month. However, it would help if you accounted for the fact that in certain circumstances, that might not be possible. For instance, the COVID-19 has brought out so much uncertainty, the best way to protect yourself is to minimize risk and maximize control over your property. The purpose of this guideline is to safeguard your interests and help you understand how you can keep your property safe as well. We recommend you go through these guidelines before choosing a property management company and reduce the chances of issues cropping up.
To someone starting in the real estate investment sector, the terms associated with it can sound like jargon. They might seem like an unlikely combination of letters to people not used to such investing terms. Starting out in the real estate sector is extremely intimidating, and it can be even more difficult if you don’t understand the complex-sounding terminology that people throw around. However, do not worry, because terminologies and acronyms are not too complicated, and can be understood with ease. Therefore, to help real-estate beginners and property investors out, here’s a look at some of the top real estate terms and definitions you need to be aware of.
Terms Used in the Decision Process
Terms Used While Negotiating A Deal
Terms Used in the Purchase Process
Other general Real Estate terms we should know
Property or real estate investment might be capital intensive, but when done right, it can do wonders for your financial position. The first step towards making the right investment decisions is to understand the market. Using this guide, you will be able to understand the key metrics and terms related to real estate investing. Being able to navigate the market with confidence, will help you make the right decisions and score big. We at PropertyAngel can help you along the way with any query or doubt that you may have. In case you need any help with anything related to real estate in India, reach out to us at PropertyAngel.
Authored by: Dhivya Naresh
The past few months had seen the rapid and aggressive spread of the novel coronavirus around the world. The global pandemic has forced people into their homes and away from their businesses. More than half the world's population comes under travel bans, curfews, and restrictions. Most companies have had to shut their doors and ask employees to work from home. In the US alone, over 6.6 million people have filed for unemployment within a week. During such times, most companies are trying to cut their costs, and one way to do that is by renegotiating the lease on your company's commercial space. Here's a look at how the current situation has forced people to negotiate the rental contracts for their commercial and retail spaces.
Why Renegotiate Your Lease
The COVID-19 pandemic isn't the only reason you should renegotiate your lease. Knowing how to do so is an essential skill that will benefit you quite a bit. The last few years have witnessed an economic recession of sorts, and several industries have fallen prey to it. During such difficult times, being able to cut your costs is the best way to save your business. Re-evaluating your rental agreement is also required when you renew your lease, if the market undergoes changes or if your business is struggling. One common question that everyone has is, "Why should my landlord let me stay for less money?"
Remember that such difficult times affect everyone. Therefore, it isn't just you, but also your landlord and family too, who are worried as a result of this issue. Therefore, ensuring they have a loyal and good tenant for longer periods is in their best interest. In the end, getting less money for more extended periods at least ensures financial security.
What Renegotiation Options Do You Have?
In case your lease agreement is about to expire, you can try to ask for negotiation for cheaper monthly rent. This is especially true if you know you can get that price somewhere else due to changes in the market. In case you are battling financial struggles, you could also ask for a temporary rent reduction as a means to help you through the crisis.
In case the pandemic or some other reason has hit your business very badly, you could ask for a rent abatement. In this case, you tell your landlords that you will not be paying rent for a specified period. However, after this stretch, you will pay the full amount, and sometimes even a small interest. If you expect your business to pick up soon enough, you could also ask for partial rent abatement, wherein you pay only 50% of the full rent.
Subleasing your commercial space means you open up your building for some other company to set up shop. This is an excellent option if you do not occupy the space for a few months or have some extra space you are not utilizing efficiently. Most landlords are okay with this as long as the new tenants are okay with the terms of the rental agreement.
In some cases, retailers who do not want to pay a very high rent can choose instead to opt for paying a percentage of their revenues as rent. This model is extremely popular in the US, and in Europe, as it helps in easing the pressure on the retailers. It helps in minimizing risk, as there is no flat lease rate or monthly rental payment. In some ways, it makes the developer themselves a retailer as they have a share of the revenue generated by the retailer. Landlords can ask for a percentage of sales, a stake in the company, or a combination of rent and sales as their payment.
Other changes you can request include;
How to Renegotiate a Rental Contract for a Commercial Space
Tips on How to Renegotiate Your Commercial Lease
In a perfect world, everyone would understand someone else's position without having to say anything. However, since that is not the case, we all need to negotiate when hard times befall us. But that isn't always a bad thing as it might prove to be what helps us out the most. At the end of the day, we are all humans. People understand that national and global economic situations change at unprecedented speeds. Everything from economic slowdowns to personal crises can affect a tenants' fortunes. However, you can get out of such tight spots by being smart, doing your research, and renegotiating your lease.
Authored by: Dhivya Naresh
The novel coronavirus wasn’t something that any of us saw coming. However, it has had a profound impact on almost all spheres of our lives. Nearly half the world’s population now has some travel ban and curfew, restricting their movement and activities. This, coupled with unrest around the world, the threat of war and natural disasters is setting the wheels in motion for significant shifts in power. The US is now witnessing a large civil rights movement in the form of #BlackLivesMatter.
Similarly, the Gulf and UAE, Europe as a whole, and Southeast Asian countries are reeling under the global pandemic. All of these are countries favoured by NRIs. However, the recent turn of events has made them rethink where they want to settle down finally. This, along with the falling rupee valuation and better RERA laws, allows NRIs to invest in Indian real estate. So, how will this impact our country, and what does this mean for NRIs? Here’s a look at everything you need to know about the impact of COVID-19 on the Indian real-estate sector.
Rupee Takes A Hit
In recent months, the rupee has been witnessing a fall against the dollar due to various reasons. This has helped non-resident Indians scout for properties in their homeland to settle down, and use as an investment. The past few years had been quite sedentary for the residential real estate market in India. However, all of that will soon change due to NRIs from around the world, considering India as a haven for themselves. Lack of transparency, fear of corruption, and safety issues were holding NRIs back in the past when it came to Indian real-estate. Studies show that those trends are now changing.
RERA Improves Credibility
The enactment and implementation of the RERA have helped the real-estate industry better its reputation. The RERA ushered in a new era of transparency, credibility, assurance, and consolidation. All of these have helped the market look more lucrative to NRIs from around the world. The weakening of the rupee has turned India into a substantial market for overseas real-estate investments. Studies show that over 30 % of NRIs want to invest in properties, and that percentage is increasing year-on-year.
Why NRIs Should Consider Real-Estate as an Investment
The COVID-19 Impact
The COVID-19 has led to the disruption of life in almost every country in the world. It has also led to the rupee falling and the rise in the form of the Indian real estate market. Due to the COVID-19, NRIs are coming into the Indian Real Estate scene due to its emergence as a risk-averse investment option. This global pandemic has renewed interest in residential properties in Bangalore, Hyderabad, Pune, Noida, and Gurugram.
Furthermore, due to the chance for good capital appreciation, NRIs are also buying commercial spaces now. The COVID-19 has also allowed NRIs to negotiate good deals and even land ready-to-move-in propositions. If that wasn’t enough, banks are low handing out home loans for as low as 7.15% interest rates. Real-estate experts also believe that the COVID-inspired lockdown has led to the rise in the popularity of technology-driven home buying in India. Virtual real-estate sites are now successfully doing virtual tours, closing deals, and negotiating terms like never before. This added with the fact that most States are trying to bring in e-registration of property documents will make it possible for NRIs to buy their dream homes at least hassle.
However, while buying homes has become easier than ever before, maintaining them is of the utmost importance. NRIs tend to face difficulty in the maintenance and upkeep of their property, as they live far away. However, the presence and collaboration with good Property Management Companies will change all that. Clients will no longer have to worry about issues like;
People who have large real-estate portfolios find it challenging to manage all those properties when they live so far away. That is where PropertyAngel comes into the picture. These companies leverage their knowledge of the industry and local areas to maintain and manage your property to ensure you get the highest returns. It is difficult to handle all the compliances, paperwork, legal issues, and tenant search when NRIs come home for a month in a year. Therefore, PropertyAngel takes that burden off NRIs by doing it most efficiently and effectively.
These PropertyAngel professionals will take care of the property, resolve tenant issues, and supervise the property. This ensures that your property investment remains secure and generates the required income for you. Constant supervision also eliminates the risk of encroachment and illegal occupancy, both of which are serious threats now. So, join hands with us to bypass the cumbersome task of managing your property and ensure you receive the return on investment you always needed! We simplify the tiresome process of managing your property to focus on the more important things in life.
Authored by: Dhivya Naresh
From the very start, the year 2020 has brought with it one of the most challenging issues the world has faced in recent years. For the past few months, the world has been facing numerous adverse effects of the coronavirus pandemic, which has had a devastating effect on the Indian economy as well. India has been under a nationwide lockdown since March 25th, 2020. Now, as India moves to its fifth stage of the lockdown, the number of people infected by the virus continues to rise at a rate higher than ever before. As of June 4th 2020, there are over 220,000 COVID-19 cases and over 6300 death in India (World O Meters). The regular lives of the majority of Indians have been completely disrupted.
The population demographic of the country that has the most significant influence on these changing trends are the millennials and youngsters. This population includes students and young working professionals. They not only comprise one of the most prominent sections of the population, but they are also the trendsetters of the nation. They influence the way we eat, shop, commute, and live. Most of these people leave their homes and go to cities for their work or education. This trend had given a rise to the “Co-living” industry, which largely comprise of dedicated apartment communities for single professionals, with are fully serviced with housekeeping, social infrastructure and is largely a hospitality solution. However the covid-19 pandemic has created havoc in this space, and many of these communities are now empty.
Here are a few key factors that are contributing to this:
Industry experts believe that once these young professionals start returning to their work cities, they will not return to these PG buildings and co-living communities, and instead will move to more organized apartment complexes, with independent units which they can share with their own friends and family, such as those offered by PropertyAngel, Nestaway and other such property management providers.
In the times of such crisis, flexibility is the key. PropertyAngel offers the perfect solution for people who want to live in clean, safe and well-maintained homes with their friends and colleagues. We believe that post the coronavirus crisis, a new trend will emerge in the real estate market, and we are here to make it easier for you to transition into this trend smoothly.
The impact of the coronavirus (COVID-19) is being felt by numerous businesses around the globe. Business owners are navigating a broad range of pertinent issues such as keeping their employees and customers safe, shoring-up cash and liquidity, reorienting operations, and navigating complicated government support programs.
This disruption in business cycles is bound to influence the demand of commercial as well as residential spaces in India’s real estate market. However, at PropertyAngel, we believe that this ripple in the real estate market can be very beneficial to the rental property market of India. To understand that, let’s first discuss the repercussions of the ongoing circumstances on the real estate market and the major reasons responsible for it.
IMPACT ON THE REAL ESTATE MARKET
The festive season which was expected to see a surge in demand owing to Gudi Padwa and Akshaya which are considered to be auspicious occasions for launching new projects and also buying new properties, was evidently not the same this year. It also clear that the Navratri season and other major festive seasons are not going to be the same. The housing market did notice some positive traction over the past few quarters. However, owing to the global pandemic and other influential factors like the slow economy and immense pressure on liquidity, this trend is slowly but surely about to change.
Many property developers are dubious and are rightfully reserved about the launch of new real estate projects considering the current plight of the nation. Developers would rather focus on the completing and sales of their stalled projects instead. Thus, new project launches are expected to see a fall by a margin of almost 15 to 20 per cent this upcoming festive season. With that said, there are surely a few exceptions. Especially the projects that are already in the soft-launch stages and have already seen a fair amount of expenditure on a marketing campaign.
Most of the homebuyers in India belong to the working class category. The pandemic and the possibility of a recession has left many potential buyers unsure of their jobs. This is bound to negatively affect their property buying decisions. Many may not be able to decide to take the responsibility of an added liability and the burden of EMIs after buying a new property with such high levels of uncertainty around their livelihood.
In the meantime, we can expect to see some spike in developers opting for launches digitally. This will allow customers to book site visits online where they will be able to choose specific time slots to avoid crowding and maintain the necessary social distancing. The government advisory to avoid any kind of social gathering is certainly going to impact the number of site visits and thus overall housing sales as well.
However, there is a silver lining for rental property owners in this entire situation. This is especially true in major metropolitan cities like Bengaluru and Mumbai where PropertyAngel primarily operates.
THE SILVER LINING FOR RENTAL PROPERTY OWNERS
The rental apartment industry is now preparing to deal with tenants who may lose their jobs and may be unable to make the current and coming month’s rent. A large number of tenants have already asked for forbearance in April and May, and more will in June. Landlords will seek to emphasize retention, which will mean giving tenants some leniency in the near term. There will be downward pressure on effective rents in the next few months, and property owners will be asking their lenders for forbearance as well.
Although the rental apartment industry is now dealing with tenants who have lost their jobs and may be unable to make the coming month’s rent, the long-term outlook for rentals is still very bright, however, in light of demographic shifts that are still unfolding. This is especially evident because of the aforementioned points. Given the fact that the potential buyers have no choice postponed their purchasing decisions; rental property owners will not see a decrease in the number of tenants in the foreseeable future. In fact, there is a good chance that rental property owners will see an increase in the number of tenants. One of the main reasons for this is that the people that have bought a property still do not have the possession, and probably will not be receiving it any time soon. One of the major reasons for this is because of the mass relocation of construction labourers in the past two months back to their villages and homes. Project completion has become a problematic endeavour and seems impossible at the moment.
The single-family-built-for-rent business might be a long-term beneficiary as well as we may possibly see a shift toward larger units that better accommodate working from home getting rented by families allowing more space for a home office or office nook. This is especially true for families that have members that work in the IT industry in cities like Bangalore, Mumbai, Pune, etc. List your property at PropertyAngel to help you choose the tenant you want to rent the property to.
With the number of enquiries slowing down, share market being impacted and generally slow economy due to the global pandemic, a massive impact across all the housing segments in the real estate industry is inevitable. The outcome of this pandemic on the real estate industry, while loosely predictable, is still largely very uncertain. While the world is yet to know the outcome of the pandemic and how well the country would emerge from the current situation; taking care of your rental properties with PropertyAngel is never a bad idea. List your property on PropertyAngel to find the most suitable tenant.
Mumbai, similar to Bangalore, has a significant number of NRI investments. These increased drastically as the city expanded. With properties belonging to absentee owners, arose the need for professional property management, and a few players sprung up. Besides PropertyAngel, the others to note who are serving this market are PropertyProctor, Azuro, Simplelease among others.
Here is a lowdown on the way most management companies in the city operate:
Some management companies, like us - PropertyAngel - provide pure management services. We do not do sales or other commission based services. However, several companies in the city provide regular brokerage services alongside. Understanding this difference will help you gauge the level of professionalism in management, as well as focus that you can expect.
Scope of Property Management:
The general scope of property management includes:
Some of the companies provide the entire gamut of services, where as several others provide primarily tenant placement services. It is important to understand what scope of services the company will provide before you shortlist one, and ensure that it matches with your expectations.
Most property management companies charge a management fee which is usually 30 days of rent per year, with the following difference
Responsibility & Ownership:
You should be able to gauge the level of responsibility when understanding the charges. If the company charges primarily for tenant placement, then they act as brokers and the level of professional management you will get will be less compared to a focused provider. However, if the company charges for an ongoing management, and you are looking for more than just a tenant, then this might be your best bet. For example, a good question to ask is who is responsible for collecting rent? If the company collects the rent, then they undertake the additional responsibility of following up with the tenant to ensure payment of the same. However, if they simply collect rent cheques and deposit the same in the owner's account, then who takes responsibility in case of a bounce? These are important questions to ask upfront.
Who is the customer?
You would think and expect that for a property management service, the owner is the primary customer. In this case, a good question to ask is whether the company charges the tenant? If they do, then there is a conflict of interest. You want to work with a company that will protect your interest against all odds.