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3 Signs That You Need a New Property Manager

[fa icon="calendar"] 08.11.2016 / by Rory Williams

 

A good property manager should provide you with professional-quality service and excellent communication. Since they will be actively involved with your tenants, it is important that your property manager is able to communicate and interact with lots of different types of people while proactively dealing with complaints and requests. If you notice that you are having consistent problems with the level of service you are being provided, or if communication is lacking, it may be time to begin looking for a new property manager.

These three signs should help you decide if your current property manager is a keeper or a dud:

1. There are Financial Discrepancies

All accounting paperwork should be clear, easy to understand and on-time. If you notice that something seems off, or you don’t understand what something means, your property manager should be able to clear things up. If they can’t answer your questions or account for any discrepancies, this should be taken as a red flag and you may want to think about changing management companies immediately.

2. Cash Flow is Not Consistent

It is the job of your property manager to keep all vacancies filled so that cash flow remains consistent. If your properties do not look kept up or are in poor condition, nobody will want to rent space from you. Your property manager needs to make sure that your properties are in compliance and attract tenants. If a building inspector comes by and sees compliance issues on several different occasions, this is a sign that your property manager is slacking.

Your property manager also needs to market your properties effectively and sign the right tenants. This means thoroughly screening each applicant to ensure you are getting the highest quality tenants. If your property manager is not doing this, you will notice issues such as high turnover and inconsistent cash flow.

3. Lack of Communication

Effective communication is probably the most important skill a property manager needs to have. They are in charge of your properties, finances, and tenants and should provide you with monthly reports that are on time every month. Your property manager should also respond to any of your emails or phone calls before leaving the office for the day.

In addition to communicating with you, your property manager needs to communicate with your tenants as well. If tenant requests regularly go unanswered, your tenants will leave and cash flow will slow down. Furthermore, tenants should not be contacting you, the property owner. If a tenant is contacting you with complaints or requests because the property manager cannot be reached, this is a serious violation of your agreement and you should begin looking for a new management company.

Hiring a New Property Manager

If you are experiencing any of these problems on a consistent basis, it is recommended that you begin looking for a new property manager. Bad managers can cost you a lot of money and should be replaced immediately. Look for one with a good track record and be sure to ask how many properties they are currently managing so you can ensure that yours will not be forgotten.

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Topics: Property Management

Rory Williams

Written by Rory Williams

Rory is the managing partner of Demetree Real Estate Services, a diversified real estate organization focused on investment, development and real estate services. He has experience running the operations of a private real estate portfolio with 5MM square feet and operations in 8 states.