I will receive a monthly statement from most of my property managers outlining the gross profits, expenses incurred, their fee, and the net sum deposited into my bank account. This makes accounting a breeze. Property managers usually charge between 4 and 15% of the rental income to manage the assets. The larger your portfolio is, the lower the commission rate they will accept. Another benefit in using property managers is that the unpleasant tasks of evictions, notices of rental rises, and notices requiring tenants to correct deficiencies in keeping the property clean and tidy are no longer your responsibility.Do you want to learn more? Visit Polaris Property Management, LLC
It’s a numbers game, just as when choosing a home to purchase, a real estate agent to deal with, or a tradesman to work on your homes. Interview potential managers, ask them if they have dealt with specific issues in the past, and then try them out based on advice from friends or other landlords. If you don’t agree with them, you can always change them later. Changing agents, on the other hand, might not always be easy, particularly if you purchased the property with tenants already in it.
Let me tell you about an encounter I had with a UK agent. I purchased a house with tenants in it, and as a result, I’m stuck with the agent who rented it to them in the first place. Since it was my first investment property, I didn’t want to entrust it to an agent; instead, I wanted to handle it myself. But it wasn’t as easy as that. The agent retained their security deposit because he had located the tenants, and despite the fact that it was my home, he insisted that they pay the rent to him, which he did, and then withheld the rent from me. I didn’t have any legal options unless I evicted the tenants, which I eventually had to do. It was all quite pleasant because the tenants were aware of what was going on.