Dear Property Manager:
My friend has mentioned needing an investment property manager for a property he is buying in Boone. Is an investment property manager different than any other time of property manager? What are the responsibilities of an investment property manager?
Jeremy, Charlotte, NC
While there are variations on the types of property management, and what in included in a property management contract, it is important to remember that most commercial properties are "investments" and the reason you hire a property management company is to protect your investment.
Investment property management companies manage properties that serve as sources of income for the owner. An Investment property management company may be hired to provide a comprehensive and professional service, such as tenant vetting, collecting rent, handling complaints and evictions, and maintenance.
The primary task of an investment property management company is to find tenants which involves marketing the property. A good property manager will understanding where and how to advertise the property--knowledge gained from experience.
When renting an unoccupied or vacant space, the investment property manager also involves meeting with and giving a tour to prospective tenants, going over all terms and conditions, providing information on deposits and application fees, and explain the differentiating features of the unit or surrounding land.
Once a unit/building is rented, the investment property manager will often handle all financial issues, including collecting the security deposit, fees and the monthly rent. If the tenant is late in the payment, it is the responsibility of the property manager, to manage the situation which may include beginning the process of eviction--an unpleasant situation that may end up involving the owner and/or an attorney.
The investment property manager is also tasked with handling maintenance issues, including routine landscaping and handling repairs. The property manager may utilize the maintenance staff, or contract with an outside company depending on the company and the complexity of the repair.
I hope this answers your questions and if you or your friend need any more information about investment property management - feel free to give us a call at our Boone office at 803.578.7725.