How To Hire a Property Management Company

It’s a well known fact, that a wide variety of property management companies in Phoenix, Arizona make a small amount of effort when it comes to managing their client’s property. As such, it comes as no surprise why many property owners, prefer to manage their properties themselves. However, time is money and as one successful business man once said” Never do something, that you can pay someone else to do.” Fortunately however, there are a few signs to look out for, when it comes to finding competent letting agents in Chandler. Use this overview as a guide when it comes to filtering competent property management companies, from the latter.

1) Referrals From A Realtor Or Friends

One of the best ways to find out how competent a management company is, by asking your friend or family members about their experiences with any companies that may have previously utilized. If this is not possible, another alternative route you can take, is to evaluate if the property management companies within your area, have a social network profile. “You can use this profile to see the reviews and comments of their previous clients.” says Scottsdale property management expert Stephen Hayes. Last but not least, many professional realtors, will keep a list of reputable companies that they can refer you to.

2) Interview Potential Property Management Companies

Even though a company may have acquired an abundance of positive reviews, it doesn’t necessarily mean that they may be a perfect fit for you. As such, another route you can take is to conduct a personal one and one interview with an authoritative figure within the company’s establishment. By doing this, you can determine if the company is a right fit for your particular circumstance, after you have evaluated their responses to all of your concerns.

3) Investigate The Property Management Company’s Current Rentals

According to Red Hawk PM “Another sign to look our for that indicates competence is the condition of the rentals they currently manage. Most if not all reputable property managers will be more than willing to demonstrate how competent they are at providing their services, by giving you a list of the properties that they manage.” Once you have gotten the address of 3-4 rentals that they manage, some of the things you should look out for are:

  • Condition of the landscape that surrounds the property.
  • Signs of vandalism.
  • Overall condition of the property such as the painting on the property and structural integrity for example.

4) Find Out About Their Licensing

Even though a company may proclaim that they have the necessary license and certification to operate within the state, this may not be the case in all actuality. As such, one of the most important things you need to do, is to check your state’s guidelines pertaining to the requirements that a management company has to uphold and to check to see, if the potential company is within full compliance of the laws and guidelines of your state.

5) Review The Management Agreement

Even though, no one really takes the time to read the terms and agreement portions of a contract, such as making a purchase online, you need to ensure that you check to verify that the information within the agreement is accurate. As such, ensure that:

  • The agreement, details all aspects of the agreement, such as the responsibilities you will still have to maintain and the responsibilities that they will be held accountable for.
  • You have the right to terminate the agreement, if you are not satisfied, with the company’s service as well as the penalties or fees that are associated with an early termination of the agreement.
  • Consult a real estate attorney about any portions of the agreement that may be unclear.
  • Ensure that there is a section that specifically states that they abide, by the federal and state Fair Housing Laws.

6) Eviction Rate

Last but not least, the single most important aspect that determines a company’s competence, is their eviction rate. High eviction rates, indicate that the manager, is not doing a thorough job of screening the tenant’s applications. It’s also worth noting that you should inquire about their tenant screening procedure as well. For example, most Phoenix property management companies, require that a tenant needs to provide proof of income, submit to a credit check as well as give references from previous landlords.