Suppose you are a real estate investor or rental property owner working with a property management company or considering hiring a property manager. In that case, you’ll want to understand the common problems rental property owners encounter with using a property manager or professional rental management company.
At The Listing Real Estate Management, we’ve encountered rental property investors and owners that explain their pain points of owning a rental property and working with property management companies.
We understand that each rental property owner has their wants and needs, so we thought it would be helpful to compile a list of property owners’ top 5 most common issues when working with a property management company.
1. Rental Property Changes
We’ve seen self-managing landlords do not like change. Heck, people don’t like change in general. But if you’ve been managing your rental property for years, change will be difficult.
Working with a property manager may be very different from doing everything yourself. You must first understand what you are trying to achieve by hiring an Orlando property management company. Are you unable to manage your rental because of work, or would you like more free time?
As a property management company in Orlando, Florida, we sometimes come across owners that allow us to manage their rental property. When we start managing, they have a significant issue with changes or loss of control.
Here at The Listing Real Estate Management, we believe in passive income. If you are managing your property manager or very involved in the day-to-day operations, you may be better off self-managing.
The truth is – if you hire the right property management company, you should be able to trust they are looking out for your best interest and properly managing your investment property.
2. Communication Problems
A prevalent issue in many property management complaints is communication issues or the inability to contact and talk with the property managers.
If your property management company is well established and has been in business for years, they may get a large number of inbound calls, making it difficult for your call to get through to your property manager.
For example, here at The Listing Real Estate Management, we sometimes get 600+ inbound calls from tenants, prospective renters, vendors, owners, etc. So property management is an industry that has a massive number of inbound and outbound calls.
But, this is no excuse. We completely understand as a rental property owner, you need to have good communication that is readily available and consistent. You should be able to reach your property management company when you need them.
3. Rental Property Maintenance
If you own a rental property, then you understand that property maintenance is necessary to keep your tenant happy and to protect your investment. Although, excessive maintenance is usually an issue property owners encounter with a property management company.
You’ll want to understand how your property management company conducts routine or emergency maintenance on your rental property.
- In-house maintenance
If your Orlando property management company has its maintenance crew and charges astronomical fees, they may not be a good fit for you or your rental property. Typically, property management companies that have their maintenance will double-dip, which in our opinion, can be a conflict of interest.
- Local vendor network
We use our local vendor network for all of our rental property maintenance. However, we find it more beneficial to use quality vendors that can offer us the best price for conducting routine maintenance for our homeowners.
A property management company that uses local vendors receives no incentive for rental property repairs. Typically, estimates and invoices are charged at or under the market rate.
4. Rental Property Not Renting
If you have a rental property that is not renting, you are losing out on thousands of lost rental income. Before hiring your property management company, we suggest asking how they price their rental homes.
Make sure your rental property management company looks at similar rental comps and analyzes them using the Local Central Florida MLS. Also, ensure they have experience with providing you with a rental analysis.
To accurately price your investment property, your property manager should be:
- Providing rent-ready suggestions
- Scheduling property repairs if needed
- Rental marketing with professional photos & video tour
- Accurately price your rental property
- Screen and pre-screen prospective tenants
5. Property Management Fees
One of the most common complaints we receive from owners with other property management companies is that they charge multiple property management fees and unauthorized fees. First, you’ll want to understand what fees your property management company charges and why they charge them.
Sometimes rental property owners choose a discount or cheap property management company and realize after a few months that they are being charged for every little thing. Some standard property management fees include:
- Property management startup fee
- Property inspection fees
- Leasing fees
- Monthly property management fee
- Lease renewal fees
- Maintenance coordination fees
- Cancellation fees
If you are seeking an expert property management company, ask about their fees and why they charge them.
Property Management Summary
Owning a rental investment property should be fun and exciting, not stressful and costly. Understanding the common issues with rental property management companies will help you find the best property management company in Orlando for you and your rental property.
If you have any questions or want to learn more about our property management services, please don’t hesitate to contact us here at The Listing Real Estate Management.
At The Listing, we pride ourselves on being your best-in-class boutique property management company.