In New Zealand, owning real estate has proven to be a great investment. But managing your properties can become a drain, both financially and emotionally. Making a decision on how to manage your rental properties is one of the most important decisions.
If you are a landlord and you are not sure whether you should hire a property manager, this article will help you.
1. Finding The Right Tenants
Finding good tenants can be challenging. However, tenant screening is critical to prevent future problems. A good property manager has extensive vetting systems to select reliable and trustworthy tenants.
2. Rental Rates
Auckland rental rates vary across different areas. Your property manager should have extensive local knowledge. This means they are best suited to negotiate the highest rental rates for you.
3. Collecting Payment
Most property management companies have reliable methods to collect rent and systems to check payments are made on time. This factor can make all the difference. No one likes to call or email their tenants about late or missed payments.
4. Managing Tenants
Managing tenants is more complex and time consuming than most people think.
These are a few examples of things that your property manager will be able to fix for you:
- Lost keys
- Electricity, plumbing or general maintenance problems
- Non payments
When you don’t have to worry about these nitty-gritty things, you can free your time to do more useful things.
Finding the best tenants is not just about screening and getting rid of the bad candidates. It is also about marketing your property so your ideal tenants find out about your property.
Rental marketing is time sensitive because tenants are in the market only for a short period of time. It’s important to get this right.
6. Managing Other Parties
Managing your property and keeping it in good shape is no easy task. You’ll need good and reliable tradesmen that will do what’s needed at reasonable rates.
In this market, keeping good long-term relationships with contractors is key. A good property manager will be able to get work done and get the best quotes from reliable vendors.
7. Keeping Up With Regulations
Your professional manager will make sure you are running your investment by the book. This will avoid any unnecessary headaches in the future.
8. Location Independent
Having a property manager means that you don’t need to live close to your property investment. You can decide on the best location for your investment, and they will take care of everything for you.
This makes it a true passive investment.
9. The Value Of Your Time
As an investor, you know the value of your time. Hiring a property manager frees you from the concerns of the daily issues of managing your rental property.
10. Best Use Of Your Money
It may be tempting to save some money on property management fees. But in the long term, when you consider all factors, hiring a property manager will save you money and is 100% tax deductible.
To actually enjoy these benefits you’ll need to work with an experienced property manager. One of the best ways to find them is to look at their websites and look for testimonials. You should pay special attention to the time they have spent in the industry, the number of properties they manage and the support systems they have available to them.