So You Are Thinking It Is Time To Own Some Rental Property

We hear the naysayers all the time. Not a great return, too much hassle, I don’t know what to do, etc... The fact is, that rental property is a stable and great investment. Let’s break it down for you…

Owning rental property can be a great source of steady income if handled properly, or it can be serious profit when looking for a long-term real estate investment. Going about both is a bit different though – so you have to be honest with yourself about your short-term and long-term goals. Deciding which way you want to go depends on several things.

Rental property is much like your own personal property…Well, you own it just like you own the home you live in! The owners/renters - you - have all of the standard legal obligations of owning property, including taxes, the mortgage, insurance and any other expenses. You also need to be aware of the condition of the property at all times and maintain a safe living environment for your tenants. There is also the investment of time in managing the property. Who is going to do repairs, mow the lawns, shovel the sidewalks, follow up with tenants if rent isn't paid, see that all rules are being followed, settle disputes...the list is a long one. Even if you can’t do it – a good property management agency can do it for you.

If you decide you want to keep your rental property as a long term investment – and not a short term windfall – take some extra thought. Be sure you protect yourself financially and legally. Owning rental real estate means knowing how to handle tenant effectively, fairly and legally all the while making sure you are covered.

Investing in commercial property can be a lucrative venture. However, you can capitalize on your return by boosting your commercial property's value by adding some investment friendly features. These improvements can run the gamut from a substantial initial payment to a mere investment of your time and sales skills. You can take a piece of undeveloped land and increase its value exponentially by using a few techniques to give it more selling power and you a higher profit.

If you find inexpensive and high-end property, consider this: Property that is on or near golf courses, lakes or beachfront is usually always a safe bet. Plenty of people have made a mint from rental shore homes. Sea or lakeside property is a rare commodity and should be jumped at quick! Ocean front condos in Myrtle Beach for example are great for increasing your profits from commercial property!

Kuester Property Management

Property Management: Keeping the Tenants Happy

Most people who have rental properties don’t lease them out for the joy of meeting new people. Rental properties are typically an important source of income and/or a solid investment. As long as they stay rented, your investment remains healthy and your income will remain steady. Solid and reliable property managers are crucial to keeping your tenants happy. Happy tenants are tenants who will not only renew their leases, but also recommend your properties to friends. Quality property managers also know how to deal with problem tenants, ensuring that rent is paid in a timely fashion and that your property will not sustain any costly damage.

No matter the reason why you turn to a property management agency, an attentive and responsible property manager will keep things humming along. Property mangers are the guys who shovel the snow, trim back the trees, and keep Mother Nature at bay (or, they know who to hire to make all this happen!) You have to remember that all of the upkeep that is needed to ensure your house runs smoothly – well, that kind of upkeep and more is needed to keep your rental property running. A property manager or management agency is the best bet to ensure you don’t spend your life keeping your rental properties running smooth.

Occasionally something will break or fail at even the most carefully maintained residence. Experienced property management agencies know what contractors to call when there is a problem and what contractors to avoid so not to get over-billed. Many property managers have preferred relationships with plumbers and other repairmen, and can also negotiate the best terms with other service providers like landscaping, pool cleaning, painters, snow removal and general contractors. Depending on your property and business relationship, your property manger can probably run things so efficiently that you might totally forget about the unit (well, at least until the checks come in!)

Property owners tend to choose an outside management agency to run their assets for many of the reasons above. Qualified property mangers will pay for themselves, by saving you on headaches and money--and keep your tenants happy!

Property Manager

http://www.kuester.com

Charlotte area property management www.kuester.com Fort Mill, Boone, Charlotte, Myrtle Beach & Concord

Investing in Property

When considering an investment in property, location is at the top of the list, however there are several other factor to consider.

Location will be the key to attracting retail clients to your property and customers to their businesses-- so choose carefully.If looking at the a possible commercial property, look for one with convenient access to major transportation, including roads, trains, bus routes and airports. You should also give strong consideration to the building and facilities. Choose a space that is comfortable, functional and an aesthetically pleasing--so that you have an attractive workplace for tenants. Consider space that can be flexible and easily adapted for office space or retail so that you can attract a variety of tenants.

Commercial property is a valuable investment. Choosing the best commercial property can mean the difference between profit and loss--so take your time, do your research, and work with a quality commercial property realty company.

-Property Manager
www.Kuester.com

Tips for Choosing a Property Management Company

Dear Property Manager,



I would like to buy a residential rental property in the Charlotte area. Can you give me some tips for choosing a property manager to take care of these rental units?



Thanks and Happy Holidays,

Francis K. Fort Mill, SC



Dear Francis:

With property prices at all time lows, residential rental properties continue to make for great investment in the Charlotte area. However, as with all investments, it is important to create efficiencies and good management practices to create return on the investment, and this means hiring the right property management company for you and your property.

The following tips will ensure you choose the best property manager for you.

Choose a company that is knowledgeable of the local market
The property management company that you choose needs to know the local rental market and what renters are looking for. A great property management company will make smart decisions and and cost-conscious recommendations to keep the property competitive, increase profit--and make updates to improve the property making it more desirable, increase rental rates, lower turnover and decrease vacancy.

Ask for, and check on your property manager's references
A property manager's current customers will be the best judge of the kind of service you can expect--so request the references, and then make those calls! Request references from property owners with properties and situations most like yours.

Require great customer service.
Choosing a property management company that makes offering great customer service a priority. You should be able to expect good customer service, the ability to reach someone in an emergency and good and consistent communication about the property.

Choose a company that manages the money well
In addition to being able to collect the rent, it is important that the property management company is able to manage the money so that it stays in the bank and earns as much interest as possible each month. This is a careful balancing act, but a good professional company will be able to do this and maximize profits and cash flow in your favor.

Find a property management company that knows how to do the accounting
Accounting for revenues and expenses with investment property can be the thing that makes or breaks the investment. Choose a property management company that is organized and has accounting skills so that at when tax season comes up, all of your income and cash flows should be easily accessible and in the correct order to make your tax paying easy.

Find a property management company that prioritizes relationships
A good property management company will prioritize good relationships with their tenants. Just as you as the owner is a client, the tenants are also customers and should be treated like it. Tenants who feel they have a good relationship with the property management company are more likely to stay longer, and decrease turn-over and all the expenses that come with it!

So you are looking for a property management company who knows the area, is personable, good with money and numbers, has great references and puts you first! Sound impossible? Not at all--that is just the way we do business. Call Kuester at 704.973.9019 to learn more.

--Property Manager
Kuester.com

Property Management Services for the Builder or Developer

Dear Property Manager:

I am a custom home builder with a development just outside Charlotte, NC. We had to stall our building process because of the recession, but things seem to picking up and we have several houses currently under contract.

In this whole process, we have decided to change vendors and are looking for strong Charlotte-based firms with whom to partner. Can you tell me a little about the services that you specifically offer for builder or developer.

Thank you,

Curtis - Charlotte, NC

Dear Curtis,

We have see a significent turn-around in just the last couple month and I am glad that you are experiencing an upturn in your business as well.

For the developer or builder, the Kuester Companies does offer specific services, and most importantly, we provide consulting that can benefit the neighborhood Association long before it comes into existence!

Pre-contractual management services include:

-->Preliminary and build-out budget preparation
-->Annual assessment, capital contribution and builder dues recommendations
-->CC&R modifications and recommendations
-->Legal consultation through a third party specialist
-->Obtaining quotes for insurance and other contractual expenses
-->Master Planned Community and Sub-Association set-up and planning

And then Kuester can take over the homeowners association management responsibilities, assuring a smooth transition.

For more information about our builder and developer services, go to the association page of our website.

Property Manager
Kuester Companies

The Role of a Property Manager

Dear Property Manager:

I has been suggested that we contract with a property manager, or property management firm to handle an uptown Charlotte building that we have renovated for commercial use. Can you tell me: what is the role of a property manager, and how are they paid?

Heather and Mike W.

Dear Heather and Mike:


Great question. Essentially a property manager handles the day-to-day needs of your property, minimizing vacancies and maximizing your bottom line -- in fact the property manager does this by filling many roles, the most important of which is that of liaison between the landlord, and the tenant.

Other duties of the property manager include collecting rent, handling maintenance issues, advertising and marketing the property, and screening prospective tenants. The property manager gives the tenants an accessible person to work with, while providing a buffer for those landlords who wish to distance themselves from the day-to-day dealings with, and management of the tenants.

Property managers have the experience and expertise to help the customer optimize their investment.

Property management companies charge landlords a percentage of the gross rent collected each month. Contracts vary from company to company, but can be negotiated to provide both the tenant and landlord the best fit.

Please let us know if you have any other questions, or would like more information about how Kuester may be able to assist you.

Kuester Property Manager
704.973.9019
http://www.kuester.com/

Property Manager: Marketing Your Property

Dear Property Manager:

What should a property management company do in order to market my property? Should I trust them to determin the price and how the marketing budget is spent, or should I be involved in this decision?

Kyle W. Charlotte, NC

Dear Kyle:

The property management company should be familiar with the local market and be able to price the units correctly so that it rents relatively quickly and at the right price. You should be able to trust the property management company to do this correctly. It is important to advertise well, and price well. It is never a good idea to price too high, as this generally only leads to vacancies--although pricing too low will deprive you of income that you could have had.

You should always ask a prospective property management company how much leasing experience they have, what they have done in your area, and how long their average property, similar to yours, is on the market. They should be able to explain how to they come to their pricing strategies and how they intend to market your property--as well as what additional costs will be involved.

Bottom line, if you are not comfortable with the property management company you are working with, you should look for ways to make the relationship better - perhaps a strategy meeting or brainstorming session, or find a way to end your contractual agreement.

Property Manager
Kuester Property Management

Commercial Real Estate Property Management

Dear Property Manager:

I own a small commercial property in Boone and need to hire a property management company to handle the daily upkeep and maintenance, as this quite a distance from my Charlotte home. What are the main responsibilities of a property manager, or management company? And is it appropriate to ask for references?

Alex K

Dear Alex:

In commercial real estate property management, the property manager (or the management company) is responsible for the marketing of the property, the tenant's satisfaction and occupancy (keeping it filled), administration and the facilities, and managing the financials.

The goal of a commercial property is ultimately to make money and the property manager, or property management company is the owner’s partner in making this happen. You should choose a company that can show strength in finances, as well as success in marketing, and references from current and past clients. Look at references especially from properties similar to the size and location of yours.

After completely looking into references and capabilities you should choose a property management company with whom you will work well, and whom you trust to represent you.

Choosing to hire a professional property management company is a benefit, and good financial decision for many commercial property owners.

Please give Kuester in Boone a call today at 803.578.7725 to learn more about our services in your area.

Property Manager
Kuester Property Management
Boone, NC

Can I Get Out of a Commercial Lease?

Dear Property Manager:

I and leasing a commercial property in Boone and business has slowed down quite a bit in the last year. I am looking at cutting costs, and my lease in my biggest expense. I do not think that I need as much space as I needed a year ago, and by moving into a smaller space, I will be able to save money.

Is there a way that I can get out of my commercial lease?

Rob K. Boone, NC

Dear Rob,

The answer is "it depends." Your lease may allow you to sub-lease. If this is the case, it is usually the easiest and best way to get yourself out of that space. You will still be obligated to pay the rent, but your tenant will hopefully be paying the full cost. If you are able to do this, you will probably have to get your landlord to approve the subtenant, so check with them before you go down this road.

The other two options require that you directly negotiate with the landlord. The first is a "buy-out" option where you offer to pay a negotiated lump-sum payment to the landlord, less than your remaining payments, but still more than just the next month's rent. This option may work depending on how flexible the landlord is and whether they feel they will be able to fill the vacancy quickly.

You can also work with the commercial property landlord, letting know that the payments have become a hardship. Given the current economic situation, your landlord may choose to work with you to get you into another smaller space, or even let you stay in the current one, at a reduced price, instead of risk you defaulting on the lease and then not being able to find a new tenant right away. The key is being honest about your situation and being willing to negotiate, perhaps increasing the term of the contract.

We wish you the best of luck, and continued success.

Property Manager
Boone, NC
www.kuester.com

So You Want to Be a Property Manager

Dear Property Manager:

I am considering a second career in Property Management. I have been an account manager and assistant sales person for 10 years, but my degree is in business. I would like to transition out of my current position and take on a new challenge and I think that property management might be a good fit.

Can you tell me a little about property management as a career, and what your company looks for in property managers?

Best personal regards,

Carrie G - Charlotte, NC

Dear Carrie:

If you’ve been thinking about becoming a property manager, now is a good time to move in that direction. It’s not an easy job, but it’s a great field to be in!

The top attributes you’ll need are that you love people and have excellent communication skills. People who manage properties are in contact with all types of people from various walks of life, and you must be able to relate to all of them. Often, you’ll also be in a position where you must negotiate between parties or guide decisions, so it’s important to feel comfortable in a leadership role.

Other important attributes you’ll need are exceptional organizational, time management and customer relations skills. The day-to-day operations of multiple properties requires the juggling of many priorities and if you’re not organized and don’t manage time well, the job can feel overwhelming.

For example, here at Kuester, all of our property managers, in addition to being knowledgeable about building maintenance, have experience with budget preparation as it relates to the operating and capital expenditures, to operating expenses and to managing projects. Their financial experience typically includes financial reporting, costs, budgets, executing contracts, service contracts and arrears.

We look for employees who are self-motivated, know how to control maintenance costs and follow the direction of our clients. Naturally, we always seek to ensure the highest level of accuracy, confidentiality and professionalism.

Does this sound like you? If so, then property management may be the field for you! Best of luck!

Time to Expand

Dear Property Manager,

My 4 person staff and I are stuffed into an office space I rented out almost 5 years ago when it was just me and a part-time bookkeeper. I would love to stay in this smaller, (less expensive) space, but since my lease is up in September, I am wondering if it is time to “bite the bullet” and upgrade the square footage.

Is there some way to know for sure? I am concerned about taking the leap before it is time.

Ivan M.
Charlotte, NC

Dear Ivan,

Given the economy – and even if we weren’t in a bit of a… let’s call it a “slowdown” --your position is an enviable one. The first thing that I will say is that it is really hard to be effective and efficient in a business setting when you are in a cramped space. If you are feeling the “crunch” now, then it is definitely time to start looking at a bigger office, or to ask your landlord if it is possible to expand the space that you are in.

Here 10 signs that it is time move or expand your office:

1.) People are sitting on top of one another – or sharing desk space

2.) Your company meetings are spilling into the hallway

3.) You can’t find anything because there are piles of paperwork, computers and people everywhere

4.) You are using the conference room as an office

5.) There is no place for guest to wait

6.) There is no place to have a “private” phone call

7.) Your employees are frustrated and unproductive

8.) The bathrooms are also being used as a storage area

9.) There is no place, for you, or for visitors to park

10.) You are hesitating to take on new clients and/or new employees because of your space issues.

Good luck finding the right space for your growing business and please let us know if you need help finding a new office space in the Charlotte area!

Property Manager
Kuester Property Management

Should I Hire a Property Management Company?

Dear Property Manager:

I recently bought a commercial property near Charlotte, North Carolina, and my original intention was to manage it myself. However, I recently had to go back to work (I had been officially "retired" over a year), and now I think I need to consider a property management company to take over for me.

Should I hire a company to manage the property, or is it possible to do this and work a full time job?

Greg H. Charlotte

Dear Greg,

Maintaining and running a commercial property can be quite a responsibility, and because of that, many landlords do choose to work with a Charlotte property management company.

While I can't say if this is the best decision for you, I can tell you what you need to consider:

Do you have a thick skin, a strong business sense and the ability to get things done?
Collecting rent from your tenants may be easy... or it may be very difficult. Having on-site property management in Charlotte can be in your best interest, and allow you to stay "the good guy," with your tenants and, as such, may be the ideal situation for you. Also the day-to-day maintenance of a rental property can be time-consuming, and if you are also working a full-time job, you may not have the time to handle tenant concerns and repairs.

Where is your property located?
If your property is close to your home or office, then you may be able to stop by frequently. However, if your rental property is far away, it will be more difficult to address tenant concerns and maintenance issues. If you're unable to check on the property regularly, a Charlotte property manager may be a definite advantage.

Is your property new or old, big or small? Depending on the size and age of the property you may want to consider a property manager. Older properties will need more maintenance, and bigger ones are likely to have more frequent tenant concerns.

Ideally, a property management company will be friendly and easy to work with. They will create more free time and less worry for you. Best of luck to you - and please let us know if you would like to know more about how Kuester Property Management - Charlotte, NC may be able to assist you.

Property Manager
www.kuester.com

Expanding Business, In Charlotte

Dear Property Manager,

We see a significant opportunity to expand our business in the coming year. Despite the slow economy, our business is strong and we would like to take advantage of the availability and low prices. We are looking for a development / management company with which to partner so that we can make it through this process as effectively and efficiently as possible.

Can you send me some recent examples of how you have worked with similar companies to expand?

Petra K., N. Carolina

Dear Petra,

Thank you for contacting Kuester and congratulation on your success. It certainly is a great time to expand for many businesses, as properties can be purchased at a great price if you know where to look and if they are a good fit.

Kuester Development Corporation and Kuester Real Estate Services work in tandem to acquire, develop, lease, manage and sell assets and others for third party owners throughout the Carolinas.

Kuester Real Estate Services is a prominent commercial brokerage firm in the Charlotte area. Recently Kuester made the addition of the Shops at Stonecrest, (a 26,000 square foot development in front of the new Tega-Cay, SC Wal-Mart). KRES is engaged as well to manage the Promenade at North Market, a new 26,000 sf retail-office development in Wilmington, NC. We have extensive experience in all areas of commercial property development, acquisition and management and look forward to the opportunity to work with your company on its effort to expand.

If you would like more information, references or examples of properties that we have developed or worked with, please call Kuester at 704.973.9019.

Property Manager
Kuester Property Management

Selling a Commercial Property

Dear Property Manager,

I need to know the best way to go about selling a commercial property. My business partner and I own a 15,000 square foot property and a small bit of land near Charlotte. We are interested in selling the land and the building--although we know that a buyer may want to take it down and re-build.

Can you suggest the best way to advertise the property or find builders who might be interested in the land? Over the last few years several buildings have gone up near us, and maybe the property owners would like to expand…How do I contact these people?

Thank You,

Howard H.

Hi Howard,

In your case, I recommend that the best way to go about selling of the property is to contact our commercial real estate division at 803.802.0004. Commercial real estate agents specialize in leasing, some in land development, and others in sales—so it is important to make sure the company or agent you work with has specialties in selling and development, to find the right buyer. Kuester works in all of these arenas, and has significant experience in the Charlotte area. We will work with you in as a commercial agent and assist you in pricing the property appropriately, finding potential buyers and negotiating an offer to purchase, and handling all of the details involved.

We look forward to talking with you soon.

Best regards,
Property Manager
www.kuester.com

Selecting a Property Management Company

Dear Property Manager,

I currently own a 20,000 square foot office/retail space (can sub by 1000) in Charlotte which will become available in May of this year. I would like to know how to select the right type of property management company. I am planning on handling the advertising/listing portion myself, but would need someone to handle the leasing arrangements, maintenance and rent collection. Thank you.

Charlie J.

Dear Charlie,

First, look around in the neighborhoods or near your building and look who handles the management for those buildings. A lot of the times the property management company will post a sign. Also, you can ask other building owners who they use. Hopefully Kuester will be on your list! Then I recommend you make appointments with the top three that catch your eye. Meet in person with each company, ask them about their experience with property similar to yours, and if they think you are a good fit for them—and then get references.

Then… definitely check those references.

After you have gone through this process, you should be able to choose the best property management company for you—and I do hope you chose us!

Please give contact us today to set up our “interview”. I look forward to hearing from you.


Property Manager
Kuester Property Management

Requirements for HOA Property Managers

Dear Property Manager,

Our neighborhood in Charlotte is in the market for a new homeowners property management company. Can you tell me what is mandatory for HOA organizations and what kind of experience and certification do your HOA property managers have?

Jasmine K.

Dear Jasmine:

All HOA managers are required to have at a minimum their CMCA (Certified Manager in Community Associations) Certification. However, two-thirds of the Kuester HOA Management team also have an AMS (Association Management Specialist) Certification. All Managers are required to continue their education through training seminars and encouraged to receive additional certifications. The Kuester Managers have 2 to 10 years experience in the Homeowner Association industry.

If you think that Kuester may be a good fit for your community, we would be happy to talk with you. Please give us a contact at 803.802.0004.

Property Manager
Kuester Property Manager

Rationale for Pro HOA Management

Dear Kuester.com

I was elected President of our Homeowner’s Association two years ago. I’ve enjoyed the role and learned a lot, but I find that the day-to-day management is very time-intensive. I’ve just accepted a new job and will no longer be able to be as active, but I find no one else wants to take over the responsibilities I’ve handled. I have decided to recommend that we hire a professional company to handle the management of our association.

Could you please outline how the advantages of using an association management firm can be balanced against the fees?

Thank you!

Reginald M. – Raleigh, N.C.


Dear Reginald –

You are smart to think of turning the management of your Homeowner’s Association over to a company that specializes in the field. Certainly it will save you time, but more importantly, there are many areas in which a company specializing in this service can save your group money and safeguard the investments of your members.

It is important to share with your members that they are always in control and are the ones to decide what the management firm handles and how it is done. The role of the HOA Management firm is to serve, not to rule.

When you look for a company that handles professional Association Management, be sure that the organization:

--> Has the ability to help identify, assess and prioritize maintenance needs and get quotes from contractors that provide the best service at cost-effective pricing
--> Will act as conciliators and mediators when differences arise among members
--> Stays on top of the laws and regulations that may positively or negatively impact your association
-->Facilitates communication within the group
-->Oversees construction, renovation and improvement projects for the association
--> Provides financial services and asset management for the Association
-->Is large enough to have a support network available at the association’s disposal for any need that may arise

We at Kuester provide all of these services and more, including 24/7 access to your association’s online account information. We would be happy to make an appointment to discuss your Homeowner Association’s needs and tailor our services to meet them.

For more on this topic, see “How to Choose a Property Manager.”

Best regards,
Property Manager
Kuester Property Management

Kuester: One Sixty West

Dear Property Manager,

I live in Fort Mill, SC and have seen the signs for One Sixty West. Can you tell me a little about this project, what is it for? and when it will be done? I like to see the Fort Mill area growing, but since the economy has slowed down, I am wondering what kind of building this is going to be, and if there is a business that will be moving in right away.

Thank you for your answer,


James, Fort Mill, SC




Dear James,

Thank you for the questions.

We believe, as you do, that commercial progress is a positive for our community, but only when the buildings and construction are necessary. We carefully debate each project, making sure that it adds to the community, and represents our values before we begin.

Read more about the Kuester Values.

The One Sixty West Building is an 18,000 square foot, two story building, on Rt 160 in Fort Mill, and it will be ready for tenants in March 2009. This building will house the Kuester companies in about 6,000 square feet. Then about 9,000 square feet on the first floor will be leased as office space. We are proud to announce that as of today, the building has been completely leased out.

Thanks again for your question, and please let me know if there is anything else we can help you with.

Property Manager
Kuester Property Management

How to Choose a Property Manager

Dear Property Manager:

I am interviewing several different property management companies for manage a large investment property that I own near Myrtle Beach. They each seem to bring something different to the table and I am not sure how to choose the best one.

Do you have any suggestions or criteria I should use to help me choose the best property manager.

Jackson L.
Myrtle Beach, SC

Dear Jackson,

Hiring a property manager can be a difficult task, especially if it the first time you have ventured down this road. However, It's important to hire a property manager that you feel comfortable with, and that includes what they offer in terms of services, but also in management style, experience, and cost.

The first thing to do is to determine your objectives. What do you want from a property management company? Write a list of all the tasks big and small you would like completed, including outlining the process for securing tenants, collecting monthly rent payments, eviction policies, tenant disputes, maintenance and repairs.

Next, you should research the potential management companies (or property manager) to find out as much information about them as you can. Review the websites and request referrals from friends and business associates.

Then, develop a list of questions to use when meeting with a potential property manager. You can include general industry questions and requirements as well as questions specific to your property and expectations. Some examples include:


--> How much experience does they have in property management?
--> What type of insurance(s), state licenses and credentials do they carry?
--> Does they have experience in complying with housing regulations?
--> Can they handle the accounting and billing aspects in-house, or will this be out-sourced?
--> What will the fee cover? (i.e. does it include marketing/advertising, or is that a separate cost)
--> How will the cost be determined? (i.e. flat fee vs. percentage the property income).

Finally, ask your attorney: Make sure any contract covers your best interests and includes all the terms you have agreed upon.


Please give us a call at 803.802.0004 for more information on property management. We would be happy to answer all of your questions.

Best Regards,
Property Manager
Kuester

Do I Really Need a Property Manager?

Dear Property Manager:

I recently bought an investment property--the building my office was in (I am a CPA) and I have been renting out the units. This has become too difficult a task for me to do on my own, but I am not sure if the next step is hiring someone part-time (I don't think it is a full-time job...) or find a property management company.

Can you help give me some information on the benefits of hiring a property management company?

Steve N.

Dear Steve,

This is a great time to invest in property, but as you have learned, managing and maintaining that property can be quite an undertaking. We have compiled the Top 10 Reasons to Hire a Property Manager to explain some of the benefits for you.

Top 10 Reasons To Hire A Property Manager

1.) Money: Collecting money from tenants and making deposits can be a huge headache. Not to mention make you unpopular, or put you in an awkward position (especially since you have an office on the same property!) A property management company will have a proven and tested system in place to collect rent and maintain on-time payments.

2.) Legal: There is a many laws and regulations that you are going to need to abide by when renting and maintaining your rental property. There are local, state and federal regulations, and a property manager can help you avoid legal problems later by keeping your property current and in compliance with these regulations.

3) Rental Rates: A property manager can insure that your rental rates are competitive--they know the market and how your property stacks up, so that you can keep your investment full and bringing in cash flow.

4.) Marketing: A property manager will bring experience in offline and online marketing, as well as local direct mail, and other advertising opportunities. This will increase the exposure of your properties, and work to keep them filled.

5.) Inspections: A property manager will coordinate routine inspections before a tenant moves in and after a tenant moves out, which can find problems before they grow into huge expenses, and make sure they are repaired in a timely manner.

6.) Finding Tenants: Securing tenants can be a time consuming process. Depending on the extensiveness of requirements for your rental properties, a property manager can take care of securing all criminal background and security checks, credit reports, employment verification, and previous landlord references. In addition all tenant disputes, conflict resolution and emergency maintenance will all go through a property manager, who will involve you at his or her discretion. In addition,

7.) ROI: Most property managers charge a percentage of the monthly rental rate which can range anywhere from 6-10%, however, given the professional expertise and services provided coupled with time saved, gives you a positive return on investment.

8.) Time: A property manager handles the routine daily tasks of property maintenance, freeing you up to focus on your other interests and responsibilities.

9.) Distance: If your investment property is located in a different city, or state...or even across town, a property manager can handle any issues that come up, and be there without you having to make a long trip.

10.) Vendor Relationships: A property manager has relationships with the best vendors in town. You need to work with maintenance workers, landscapers, supplies and contractors, and you can leverage the property manager's experience to save time and money.

I hope that this gives you the breakdown of property manager benefits that you were looking for. If we can answer any more questions for you, please give a call at 803.802.0004.

Property Manager
www.kuester.com