Real estate investors cannot operate on their own. Putting up a building, or buying one, is one thing, but managing that building is something completely different. Anyone who owns residential, retail or commercial real estate needs to hire a competent property manager to help them manage the day to day running of the real estate business. Property management companies Sydney residents should know, offer the following important services;
i) Advertising Vacant Units
For a property to be considered an investment, it must generate revenue. The only way to do this is for tenants to rent those units and pay rent in a timely manner. A property manager can advertise vacant units to attract potential tenants.
ii) Vetting Tenants
A person may be interested in a rental unit, but they may not have the financial resources needed to pay rent on time. They may also have a tainted background that makes them a bad tenant to have. It is the property manager’s job to vet potential tenants to identify the most suitable tenants for the available units.
iii) Drafting Tenancy Agreements
While there are standard tenancy agreements that tenants can sign, together with the property manager, every property has different needs. Therefore, a customized tenancy agreement may be required. A property manager can work with a real estate lawyer to draft a legally binding tenancy agreement to be signed by tenants before they move in.
iv) Rent Collection
This is the most important service offered by property managers. These agents collect rent from tenants on a monthly, quarterly or annual basis. They also hold the rental deposits paid by tenants and refund the same when tenants move out.
v) Evicting Defaulting Tenants
There are some tenants who may refuse or may be unable to pay rent on time. There are laid down rules on how these tenants can be evicted. Since investors do not want to be exposed to lawsuits, the property manager is responsible for evicting defaulting tenants in a legal way.
vi) Property Maintenance
Problems can occur in a building. For instance, the plumbing, heating or air conditioning system may fail. It is the responsibility of the property management company to hire an HVAC contractor, electrician or plumber for fix whatever problem might have developed. It is also their duty to paint the internal and external walls of the building on a regular basis. The property manager is also responsible for mowing lawns, mending fences, repairing broken windows and carry out any other type of maintenance works to ensure the property appreciates in value.