Being a property owner is an active investment that requires regular maintenance and ongoing attention. Many property owners face the dilemma of whether to manage their property themselves or hire a professional.
A property requires a continuous investment of time and money to keep it in good condition and ensure it appreciates in value. This can be a significant workload, which may quickly overwhelm the day-to-day responsibilities of the owner. As a result, many choose to entrust property management to an expert.
Are you a property owner unsure about hiring a property management professional? Are you part of a condominium association looking to learn more about the benefits of hiring such an expert?
Here’s everything you need to know about this expert.
Why should you work with a property mangement expert?
Property management is a complex field in Quebec. It’s not just about managing a property efficiently; you also need to have a strong understanding of the relevant laws and regulations that govern the real estate field.
While many property owners come from backgrounds in real estate, finance, or business, not all investors have the expertise, or the time, to effectively manage their assets. In such cases, it is often more cost-effective to hire an external property management expert to handle the property on a full-time basis.
Property manager: a multidisciplinary expert
Real estate managers, whether independent or part of a management company, undergo both classroom training and hand-on experience to manage all aspects of a property effectively. A skilled property manager has a solid understanding or real estate law and takes care of:
- Budgets
- Maintenance tasks
- Tenant selection
- Rent collection
- And more
They also ensure they:
- Address property damage and repair issues.
- Generate additional income while reducing costs.
- Comply with municipal and provincial regulations.
- Understand and apply criteria for potential tax credit.
As trusted experts, property managers bring real value to your investment, helping you optimize both its performance and profitability.
What are the tasks of a property manager?
To succeed in their role, a skilled property manager must possess a diverse set of skills and be able to handle a wide range of responsibilities. These include:
- Daily operations
- Managing leases
- Handling complaints
- Placing orders
- Coordinating with suppliers
- And more
To perform these tasks effectively, a property manager must:
- Understand the needs and expectations of both property owners and tenants.
- Market and advertise vacant units.
- Negotiate and sign leases with tenants.
- Negotiate service contracts.
- Evaluate the performance of each property.
- Manage crisis situations.
- Plan and oversee building maintenance.
- Ensure sound financial management of the property.
This list is by no means exhaustive; property managers have a broad scope of responsibilities. Their role goes beyond merely managing the property. They are focused on adding value to the asset, such as improving energy efficiency to enhance profitability.
By implementing daily strategies and drawing on their expertise, property managers ensure the optimal management of your real estate investment.
Hiring a property manager: pros and cons
Many property owners turn to a property manager for their expertise which offers several advantages. Here are some of the benefits:
- Optimization of the income generated by the property.
- Detailed management reports.
- Improved service quality.
- Savings on maintenance costs and labour expenses.
- Peace of mind.
- More free time to focus on other property-related responsibilities.
Delegating management tasks to a professional brings numerous benefits. However, like anything, it also comes with a few drawbacks, such as having to share a portion of your income with the manager, even when there are no profits. This financial risk is yours to bear.
Additionally, it can be challenging, especially at first, to trust a stranger with the management of your assets, even if they are qualified. This is completely normal. Trust in business relationships must be earned, which is why it’s important to choose a property manager who aligns with both your expectations and value.
How to choose a good property manager?
When hiring a property manager, the last thing you want is to end up doing most of the work yourself. It’s essential to ensure the person you hire provides quality service that meets your needs.
To help you assess potential candidates, don’t hesitate to ask a series of question during the interview process. These questions will allow you to gauge the quality of their services and whether they are a good fit for your property. Here are some examples of questions you might ask:
- How many years have you been working as a property manager?
- What services are included in your contract?
- Do you have your own team, or do you work with subcontractors?
- Who are your current and past clients? Do you have references?
- What guarantees do you offer?
- What are your performance and productivity metrics?
- What are your working methods?
- Have you received training to work as a property manager?
- Do you carry liability insurance?
Hiring a good property manager is much like any other hiring process. Make a list of questions to help you evaluate their skills, knowledge, and experience. It’s also impossible to assess their personality. Do they seem courteous and professional? These are qualities that a good property manager must have!
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