When it comes to leasing, managing, and maintaining your Philadelphia rental property, you may be considering whether or not to hire a professional property manager. For experienced real estate investors, this question does not require a lot of thought. Investors know that property managers save them time and money. They understand the value.
If you’re new to rental property ownership, however, you might hesitate. There’s a property management fee that may seem unpleasant. It may seem easy enough to manage the property on your own.
You need to know, however, that there’s a lot of responsibility that comes with owning rental property. As a self-managing landlord, you’ll need to make sure the rent is collected on time. You’ll have to keep up with emergency, routine, and preventative repairs. There are likely to be tenant issues that need your attention.
It’s easy to imagine doing it yourself. However, you want to consider the time and effort it will take for you to manage your property effectively. A property manager could save you hours of work, while still ensuring that all aspects of your rental property are taken care of.
And, it’s not just the time. Property management will also save you money in a number of ways.
Attracting, Placing, and Retaining High Quality Tenants
Property managers can help rental property owners save money by attracting and placing great residents for your rental property. We have access to a wide range of marketing and advertising resources, which we leverage to attract residents. You won’t have to spend a lot of time and money taking marketing photos, writing up a listing, and sharing that listing across multiple rental websites and marketing channels.
We have the process in place already, and our property management technology allows us to quickly syndicate your listing and showcase it on multiple platforms.
Tenant screening needs to be rigorous, fair, and consistent. It needs to be legally compliant. If you violate a fair housing law accidentally, you can find yourself facing a fine that starts at $16,000. That’s a pretty expensive mistake to make. Property managers protect you from that risk.
We also save you money by protecting you from bad tenants. We understand what to look for in terms of:
- Eviction history
- Income and employment
- Criminal history
- Rental history and landlord references
- Credit
Once a high quality tenant is approved, we put together a rental agreement that will minimize rental expenses and maximize rental income. We enforce the lease agreement, saving you money on property damage, pet damage, and late or missing rental payments.
Retaining tenants is just as important as placing them. Property managers develop positive and professional tenant relationships. We approach this from a place of providing customer service. When your residents have a good rental experience, you avoid turnover costs and vacancy.
Saving Money on Rental Property Maintenance
Property managers will also save you money when it comes to maintenance.
There’s not much we can do about costs going up. This is happening to everyone. But, we can minimize those costs and negotiate the best possible rates with our list of preferred vendors. Property managers provide a large volume of work to plumbers, electricians, cleaners, and landscapers. This gives us more purchasing power and negotiating flex.
When your property takes on deferred or unreported maintenance, your repair costs go up. Property managers prevent that. We avoid deferred maintenance and we’re responsive to the needs of your residents and your investment property. Hiring a property manager can be an effective way for rental property owners to save money on maintenance in the long run. The condition of your property is better preserved and it’s worth more.
Philadelphia Property Managers Increase What You Earn
Finally, property managers can also help rental owners save money by helping them take advantage of tax deductions and other financial incentives that may be available to them. Our ability to track your income and expenses will give you a clear accounting of what you’re earning and spending. This will be invaluable at tax time when you’re making deductions and reducing your tax exposure.
A good property manager will also introduce you to tax-friendly options when you’re looking to grow your portfolio or make some changes. A 1031 exchange, for example, can deliver tax benefits and provide an opportunity for you to sell a property that no longer serves you and buy something else.
Accessing resources – financial and otherwise – will help you earn more on your property. We can help you earn more by offering:
- Accurate rental values. It’s important to know what your rental property is worth and to price it accordingly. Otherwise, you can lose money on longer vacancies and rents that are too low.
- Limited vacancy and turnovers. Vacancy is expensive and a lot of landlords have trouble finding tenants quickly. We reduce the number of days your property is unoccupied.
- Relationships. Save money by working with our recommended insurance agents, vendors, and other service providers.
- Risk management. Renting out a home comes with a lot of liability. We reduce your risk and protect both you and your investment. We’ll help you avoid evictions, lawsuits, and claims.
With the help of a local property manager who knows the market and understands the best practices in our industry, owners like you can ensure that your investment properties are well-maintained and profitable.
Why not maximize rental income while minimizing rental expenses? Property managers are an invaluable resource for rental property owners who want to make sure their rental properties are well-maintained, profitable and cost-effective.
We would be happy to talk with you more about how we can help you save money on your investment property and earn more income.
If you’d like some help with this or anything pertaining to rental properties, please contact us at Innovate Realty. We work with investors of all experience levels in the greater Philadelphia metro area as well as surrounding suburban areas in Montgomery, Chester, Burlington, and Delaware County, to the Delaware River.
