Managing a multifamily unit can be a real challenge. So, instead of mismanaging your property, ruining your reputation, and taking losses, hand over the reins to a professional who is qualified and experienced to manage a multifamily unit. Hire a multifamily property manager and know that your building is in safe hands.
Characteristics to look for in a multifamily property manager
Great care must be taken when choosing a multifamily property manager. How he/she takes care of your property can determine your tenancy rate, your building safety, and your adherence to building maintenance regulations. This is why you need to select a multifamily property manager who:
- Is knowledgeable about commercial real estate and specifically multifamily property units.
- Has prior experience managing multifamily property units.
- Is very detail-oriented and keeps a record of all rents, expenses, and taxes.
- Implements a schedule for rent collection, property upkeep, filing of taxes, and other multifamily unit management activities.
- Can put the tenants at ease.
- Makes the repairs, replacements, and renovations as necessary.
- Is quick and responsive, able to handle any problems with the building, the tenants, or changes in real estate regulations.
- Is resourceful and can source the best-quality services/products at the lowest cost.
- Keeps track of any changes in the real estate market and responds to it as needed.
- Is transparent with you about your property and keeps you in-the-loop about any developments.
- Follows ethical and professional multifamily property unit management practices.
Hiring a manager to manage your building
Now that you know what type of multifamily property manager you should hire, let’s understand how you can find such a professional.
- Ask for references
The best way to find good, reputable multifamily property managers is to get references from people you trust. They could be other landlords, property investors, and even tenants who currently live in other multifamily property units.
You can even search for great multifamily property managers on websites like Yelp, Craigslist, and Better Business Bureau. The higher the rating (and the more the number of raters), the better is the service you can expect.
- Do comprehensive research into their professional history
Once you find multifamily property managers whose profile you liked, do a thorough background check about them. Find out about their qualifications and relevant work experience managing multifamily units. Browse through their website and see what they offer. See if they currently manage similar size multifamily properties.
- Look into their licenses & certifications
To become a practicing multifamily property manager, the candidate you’re vetting must have completed his/her pre-license education and have successfully passed all of the licensing examinations and certifications prescribed by your respective state’s Real Estate Commission.
You can contact the Commission and find out if the individual you’re considering is registered with them or not.
- Visit some of the properties your shortlisted candidates manage
Certifications, licensing, and reviews are just one part of your evaluation process. You should also personally visit some of the multifamily properties that the property manager is currently managing. By doing so, you’ll be able to judge how well the property has been maintained, how happy the tenants are, and whether the individual’s services match your expectations.
Be sure also to take a look at the tenant lease agreement of each property, since this will give clarity about the type of leasing contracts the multifamily property manager may create for you.
- Invite the multifamily property manager for an interview
Once you’ve shortlisted the final 2-3 multifamily property managers, call them in for an interview. When you meet them face-to-face, you’ll be able to get a true sense of property manager and what they have to offer.
While there are many questions you can ask, be sure to include these in your interview:
- What type of properties do you manage?
- How many people work with you, and who would most likely be managing my multifamily unit?
- Are you an insured property manager?
- How frequently will you be communicating with me?
- What fees do you charge for new tenants, lease renewals & property upkeep? Are there any hidden fees?
- Is there any lock-in period in our contract?
- What screening process do you use to screen tenants?
- Have you handled late payments, tenant delinquency, and evictions before?
- What steps will you take to ensure I have a steady flow of income?
- Negotiate the terms of your contract and the commission to be paid
Finally, once you’re satisfied with the answers, negotiate the terms of your contract and hire the best multifamily property manager that meets the needs of you and your multifamily property.
-The Multifamily Review Team
Hi, my name is Michael Avent. I founded The Multifamily Review in June 2020. I’m a Commercial Agent at Northcap Multifamily located in Las Vegas, Nevada. My vision for The Multifamily Review is to be the most trusted resource for all Multifamily Investors and Industry Professionals. We strive to offer the best and most up to date content to our readers and are always open for suggestions. Make sure you sign up to join our newsletter to stay up to date on our latest blog, ebook, and more exclusive content that’s coming your way! The Multifamily Review team and I look forward to building a deeper relationship with you!
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