A rental property in Petoskey might be a terrific way to supplement your income. However, it also comes with property management obligations, such as upkeep, repairs, and marketing. If you’re wondering whether or not you need a property manager, consider these eight advantages of hiring one in Petoskey. A property manager is responsible for the following:
1. Eliminate problematic tenants
One of the most significant advantages of property management is that it includes tenant screening. When evaluating an applicant’s papers, experienced property managers who have seen hundreds (or thousands) of applications are more likely to identify red flags. They can rapidly recognize positive tenant characteristics such as timely rent payment, property maintenance, etc. Allowing them to handle the tenant screening procedure will increase your chances of finding a trustworthy tenant. (Click here to see all Petoskey, Michigan Homes for Sale)
2. Serve as a point of contact for tenants’ issues
Driving to the unit to inspect it yourself can be challenging or practicable if something breaks at your property (especially in another town or state). A property manager can respond to issues at any time of day or night and arrange for a service provider to repair or replace the item. Alternatively, if you have a renter who always has a complaint — about noisy neighbors or a dog that pees on the front lawn — you can rest comfortably knowing that the property manager is the point of contact for such calls.
3. Promote your rental property
Property managers are knowledgeable in rental marketing, including how to write rental ads, take high-quality images, and conduct open houses. They also know the local real estate market and can assist you in setting a competitive rent price. Hiring a property manager with marketing knowledge might help you fill your unoccupied property faster and save money. If you want to market your rental, Zillow Rental Manager makes it easy to post on various high-traffic websites. According to the Zillow Group Consumer Housing Trends Report 2019, 84 percent of renters utilize online resources when researching a house, so it’s wise to post your rental on suitable sites to attract those possible tenants.
4. Reduce the number of vacancies.
Property management companies who do their job well know how to keep their tenants pleased. They are responsive and accessible and deal with issues as they arise. Happy renters are also less inclined to move and more willing to accept modest rent increases. Fifty percent of tenants in their existing lease believe their house is a good value for the money, and 40% say they enjoy their rental.
5. Make that the rent is paid on time.
Property management companies are encouraged to keep payments coming in since their fees are deducted from the monthly rent. Receiving rent payments on time requires consistent rent collection, and utilizing a property management company will assist in enforcing lease terms if payments aren’t accepted. If renters fail to pay their rent on time (or at all), the property manager will know how to handle the problem, which may include issuing an eviction notice. Payment collection can be problematic – the average renter spends 29 percent of their income on rent, and a considerable percentage of renting homes is one significant expense away from defaulting.
6. Avoid any legal ramifications
If you need more confidence handling evictions, signing and terminating leases, or taking rent and security deposits, you may need the help of a property management business. Property managers are familiar with landlord-tenant rules and fair housing legislation, saving you time, money, and effort in the long run. They will usually cover any legal fees incurred due to evictions or property damage.
7. You will save money on maintenance and repairs.
If the property managers work with a regular service provider or employ an in-house maintenance crew, using a property management business may reduce maintenance service. They can do routine inspections and identify faults before they become more significant concerns, reducing the frequency of emergency repair bills.
8. Lessen your rental stress
You’ll have fewer hassles and responsibilities if someone manages your rental property and renters daily. If having more time and less stress is important, hiring a property management company can help.
Property management has these advantages. Investing in a rental property can boost your monthly cash flow and help you develop long-term wealth, but only some are cut out for day-to-day property management. Consider all the property management perks you’ll receive for a portion of your rental income if you want an extra income from rent and want to avoid being responsible for the intricacies of your rental investment.
Q. How much does hiring a property management company in Petoskey cost?
A. The cost of hiring a property management company in Petoskey varies depending on the size of your property, the services you require, and the company’s experience. Typically, property management companies charge a percentage of the monthly rent, ranging from 8% to 12%.
Q. Can I still be involved in managing my property if I hire a property management company?
A. Yes, you can still be involved in managing your property if you hire a property management company. However, you can be as involved or hands-off as you like. A property management company will work with you to develop a management plan that suits your needs and preferences.
Hiring a property management company in Petoskey can provide numerous benefits, from saving time and money to improving your property’s value. By outsourcing your property management tasks to professionals, you can focus on other aspects of your life while ensuring your property is well-maintained and generating a steady income.
If you’re a property owner in Petoskey looking for a reliable and experienced property management company, contact Northern Michigan Escapes today. Our team of experts will provide you with the best property management services to help you maximize your rental income and improve your property’s value. Please feel free to contact us now to learn more.