Real estate and property management are two industries that are intimately linked. If you’re wondering whether a Realtor can be a successful property manager, the answer of course depends on who that Realtor is and what kind of property is being managed.
In general, we tend to believe that real estate agents and brokers should not manage properties. It’s a different skill set entirely which is required to lease, manage, and maintain investment and rental homes. There are also the legal complexities and regulations that need strict attention. Realtors don’t spend the same amount of time on training and continuing education around things like fair housing during the marketing process, tenant screening, security deposits, and habitability standards.
Today, we’re talking to real estate investors who wonder whether they should hire a real estate agent to manage their property. We’re also talking to Realtors and real estate brokers who may be wondering whether their company should branch out into property management. It may be better to partner with a professional Dayton property management company.
Can You Provide Dayton Property Management as a Realtor?
It’s always smart to grow your business and look for new ways to increase your revenue, whether it’s by selling more homes or seeking new lines of business.
But, should it be property management?
A lot of real estate agents offer property management and they enter the industry with the best of intentions. But, you know what you do best. It’s facilitating the sale of real estate, whether you’re representing the buyer or the seller. Even with those good intentions, it’s always very easy to keep the property management part of things on the back burner. We have talked to many investors who asked real estate agents to manage their homes, and then had a hard time getting in touch. That’s understandable. As a Realtor, you’re inundated with existing and new business. You have to follow the latest leads and close the most important deals.
Outside of the time requirements, here’s what you’d have to manage:
- Rental Laws in Dayton
Will you know how to handle security deposit disputes, and what to do if a tenant does not pay rent? There are strict requirements during the tenant screening process, a lease agreement will be needed, and you’ll have to enforce that lease. It’s easy to make a legal mistake, and if you have not been training on all the state, federal, and local laws, you could find yourself in legal hot water, putting yourself and your clients at risk.
- Maintenance and Repairs
You’ll need to respond right away to any emergency maintenance requests. This could mean you’re getting calls all weekend and overnight from tenants who are reporting leaks, fires, and broken windows. You’ll also need a plan for routine maintenance and preventative services. Do you have relationships in place with plumbers, electricians, cleaners, landscapers, roofers, and pest control providers?
- Turnovers and Vacancy
Vacancy is expensive for a Dayton property owner, and turnover costs are even more pricey. You’ll have to know how to keep those periods between tenancies managed, and how to focus on tenant retention, and where to turn when you need to prepare a property for a new tenant quickly.
- Property Management Technology
You likely have your own software platforms and automated systems for buying and selling homes as a real estate agent. Sometimes, the tools we use as property managers don’t quite translate. It’s important that you’re able to collect rent online, using a space where tenants feel secure storing payment information and scheduling payments in advance. Your clients will want to see income and expense statements, which property managers provide automatically. Other things we use technology for include showings, maintenance, lease renewals, and the collection of market data and insights.
Why a Dayton Property Management Partnership is Better
It benefits everyone a lot more when real estate professionals partner with a local Dayton property management company to lease, manage, and maintain homes for their clients.
There are a number of reasons that you may want to work with a property manager. Perhaps one of your clients cannot sell their home at the price they want, so they’re planning to rent it out until they can get the asking price they desire. Maybe a client has just inherited a home and is trying to decide what to do with it, but they don’t want to sell it right now or live in it. Or, perhaps you’re working with investors who ask you to help them buy a property and then need someone to rent it out. When you partner with someone dedicated to property management, you can count on:
- Effective, efficient property management systems that are already in place for pricing, marketing, showings, screenings, rent collection, pets, maintenance, inspections, and renewals.
- Detailed and transparent accounting that demonstrates and documents rental income and expenses.
- Risk management, through a careful understanding of the laws and a commitment to protecting property condition and value.
- Complete tenant management, from relationships to retention.
When your client indicates that they’re ready to sell the property we’ve been managing, we hand them back to you for that transaction. The scope of our role and relationship is limited to leasing, managing, and maintaining your client’s property.
This makes you look good. When you partner with a team like ours, your clients are happy because they’re earning consistent and stable rental income, their investment is being well-cared for, and they can focus on other things. You’ll be happy, too, because you can focus on doing what you do best while knowing that your client’s property is in professional, expert hands.
Don’t put yourself through the stress of trying to include property management as one of your service areas if it’s not your passion and the career path you’ve been pursuing. Focus on the real estate work you already do so well, and we’ll be happy to take on the management of any single-family homes or multi-family units.
If it’s a property managed by ManCo, life just got better. Let’s talk more about this. Contact us at ManCo Property Services.
