Residential Property Management – what to expect and what not?
When someone chooses a house and decides to make it a home, so many concerns arise. For those concerns to be dealt with, there are few notes a property manager should take on. The responsibilities vary from day-to-day small detailed tasks to holistic operations that require preparations and annual plans.
In the world of rentals, the tenants always have specific requests and the renters are always aiming to fulfil those needs for their guests. Whether it is a short-term rental or a long-term plan, in order to handle the rental process efficiently oneself would need to acquire certain skills. Any property manager would have a set of tasks in hand; from managing the rent process, managing tenants and doing regular maintenance check to following up on responsibilities, managing budgets and filing taxes.
We all know the dilemma of setting up the right price for a unit, however it is not a matter of luck to just ask for a number randomly. For a property manager to set the right rent required, there are few factors that must be taken into consideration before looking for a tenant who can pay it. First off, a rent is not fixed. You need to ask yourself how to calculate the fair market rent for a unit?
A fair price is set based on several questions that should always be in mind:
- Is there a a balcony in the house? Is there an outdoor space? How many windows or extra rooms?
- Is the unit new or has been newly renovated?
- What is the size of the unit and how many bedrooms and bathrooms does it have?
- What kind of amenities come with? Does it have a view? Central air conditioning?
Setting the rent is not only based on the above factors but most importantly the market demand versus the location. A mid-centre location will surely raise the requested rent, but not in the case of having other units available. Then it becomes a matter of competition and who can give out a better deal.
Renting out using property management tools
Back in the days, setting a unit rental price was a realtor’s tricky task that holds within trial and error. That dramatically changed nowadays, with the presence of various tools and software that determine the required price fairly.
- Buildium is a top-rated cloud-based property management solution that allow property managers to catch a grip of the whole rental process, including rent, availability, maintenance cycles, and finances.
This system offers tenants and rental owners to communicate directly through the platform, submit requests and staff will get direct notifications.
- AppFolio is a property management platform with unique selling point. Aside from having an all-in-one solution for any kind of request of information a person would be looking for. It offers customers access to receive training and help resources as well as a support team that is willing to resolve any request.
- Hemlane is a software system that enables users to use over 40 websites for market listings, track leads, set fees, store documents, coordinate maintenance appointments and communicate with tenants. Not just that it does the basic steps for any renter and tenant, it allows all parties to receive instant bank verification for payments while having a team of professionals online handling the payment process.
When property maintenance software become hassle-free
According to the latest report by the ONS, private housing rental prices rose by 1.4% in the last year. The past two years have been all about ups and downs for the UK rental market, up till November 2019 when the demand became steadier than the past few years and landlords’ instructions continued declining. In order to keep the same growth rate or get it higher, holistic maintenance cycles are highly advised. Aside from the solutions portrayed above, there are few things to keep in mind aside from fulfilling tenants’ requests.
If you are a property owner, you are morally obliged to perform monthly rotational check-ups, even if there are no signs of problems anticipated. If you consider any rental property management app you will surely save yourself sometimes aligning your tasks. Another section of the unit that is highly sensitive and should be checked regularly, the smoke and carbon monoxide detectors. You need to make sure all the devices are working properly and by the help of a software you can schedule test timings ahead. If there is a case of fire and the detectors are not working properly you will face legal charges, aside from causing the tenants a highly upsetting situation.
For any property manager to stay ahead of the game and always be one step ahead from the tenant and the market need, a residential property management software needs to be implemented. Where you can forecast the property’s portfolio, identify chances that will lower costs, analyse performances and work on developing assets. Lastly, create a more flexible process that serves all ends with a better communicative environment.
Residential property asset management and its challenges
With all the challenges that face property owners and tenants, reducing gas and electric bills remain on top of these concerns. There are few steps that could be taken into account to help all parties have a satisfied rental journey.
- Periodically cleaning HVAC filters because when your HVAC units aren’t as clean as they are supposed to be, there is more power being extracted from the machines so that it performs more efficiently.
- Install LED light fixtures as it uses less energy than older fixtures. All property owners should consider installing LED lights as it will cut your bill by at least 25% and they last for an average of 10 to 15 years.
- Consider using motion lights because who needs all parts of the house to be lit. This feature will give you the opportunity to have certain areas always dark unless movement is detected, otherwise it will be off and hence saving energy.
In short, property management is a tough job, where all parties expect to be satisfied while the property manager has a wide range of tasks in hand, sometimes at once. A property manager does not have one role and for him/her to be able to go home at the end of the day unwinding from requests and follow-up appointments, there are several tools that technology has presented today, offering the chance to have a restful night with no worries in mind.