When you own commercial property, you might try managing the property on your own. If you are going into property management as a full time job, you will have the time to keep your property profitable. If you are employed in another capacity, you will quickly be overwhelmed with the tasks of managing your own property. Screening tenants carefully, maintaining the property, and collecting rent each month are all part of the job. Solid property management can make the difference between a property that makes you money every month, and one that loses money on a consistent basis.
Careful Tenant Screening
While it may seem tempting to simply fill up your empty apartments with tenants, careful tenant screening is necessary to find quality tenants who are going to pay their rent every month. With a screening process in place, you are more likely to find tenants who have the capacity to pay their rent. When you don't screen tenants carefully, you can end up with apartments that are occupied with tenants that you have to go through the eviction process with. This is an expensive process, and it is heavily weighted towards tenants. You will lose months of rent when you have a tenant who decides to no longer pay rent for living in your property and you will have very little recourse to collect the rent.
Routine and Emergency Maintenance
With good routine maintenance on your property, there will be less emergencies for to deal with. When your property systems are kept in good working order, you will spend less money on calls for quick repairs or replacement costs. A property that looks nice and is well maintained will also attract the type of tenants you want living in your investment. If the property looks great, you will be able to rent your apartments out for a competitive rate. If your apartments aren't kept up, you will attract tenants who are willing to sacrifice comfort for lower rental payments.
Rental Collection and Lease Signing
Collecting rent every month doesn't have to be difficult. With a property management company in place, rent will be collected in a timely manner. The process for evicting a non-paying tenant is streamlined and outlined in the lease the tenant signed when getting the apartment. A good lease is going to go a long way for a property owner if you need to enforce the lease when a tenant is moving out.