Posted by Justin (MN) on August 10, 2002 at 23:06:46:
Dave - Sounds great to me! Thanks for the questions!
Interviewing Prop. Mgmt. Companies - Posted by Justin (MN)
Posted by Justin (MN) on August 09, 2002 at 16:00:39:
These are the questions I have - please feel free to throw out some more! Will be calling in a few days.
What % commission for finding tenents?
What % of gross inc. charged for managing?
Charge override on repair or maintenance bills?
Do you insist on listing the prop. if I sell it?
Provide monthly or quarterly income statements?
Would you agree to a 60 day cancellation clause for both parties?
Can you give me the names of three customers?
Thanks to all!
Justin
Re: Interviewing Prop. Mgmt. Companies - Posted by CH
Posted by CH on August 10, 2002 at 11:42:56:
Hi Justin:
Wow! You got some real great advice from Dave T. You can tell he?s been down in the trenches.
The only other thing I would add and want to know is if the person/entity has ever owned rental property. People that have owned rental property have a bigger picture of this business than a paid for manager. Success in keeping a property full with high rents lies with the manager of the business. Does this person have heart? Will they run the property like they own it? This is the single most important thing to me when I hire an manager…
Good Luck!
Craig
Re: Interviewing Prop. Mgmt. Companies - Posted by Dave T
Posted by Dave T on August 09, 2002 at 18:46:51:
How often will they inspect the property?
Will you be required to purchase liability insurance and name the management company as an additional insured? If so, how much insurance?
How many properties do they currently have under management?
How long has the management company been in business?
Is the property manager certified by a national professional organization.
In the property manager a member of any professional property management organizations. Something like the National Association of Certified Property Managers, but don’t quote me on the name of this organization.
How much money will you have to deposit with the company for a maintenance escrow? What level of independent authority does the company exercise to make repairs without your approval?
How often will you receive a rental proceeds distribution? What day of the month are the books closed?
If a tenant pays rent late, what is the late fee, and who keeps it?
If a tenant pays rent late and your owners statement has already been distributed, will the company give you an interim distribution, or, will they just keep the money in your account until the next scheduled statement is sent out?
Does the company have an after hours call service? If not, how does a tenant report a maintenance crisis in the middle of the night?
When maintenance services are required, does the company use the same contractor over and over, or do they seek competing bids on major maintenance jobs?
How many staff will you interact with in the management of your property? In other words, is the management company a one-person operation or is there a team in place?
Does the company also do real estate sales? If so, which is the larger portion of their business – sales, or property management?
What is the eviction process? How long does it take? Will the management company go to court for you?