What Does a Property Manager Do?

What Does a Property Manager Do?

What a property manager does is more than most expect. And yes, it’s more than only fixing leaky pipes and chasing down monthly rent payments.

From being your local, boots-on-the-ground expert, knowing all local, state, and national laws, and reducing the cost of maintaining your property—hiring a property manager is one of the best investments you can make as an owner.

In this article, you’ll learn what a property manager does day-to-day when it comes to the management of your property, and why you should consider hiring one.

Here are 10 things a property manager does for owners like you:

1. Simplifies investing out-of-state

Real estate is a localized game. Due to the attention needed for day-to-day operations on a property, local knowledge of laws and regulations, and everything in between—investors buying from another location are better served when they hire a property manager.

2. Know landlord-tenant laws and regulations

When it comes to knowing landlord-tenant laws and regulations in any market, a local seasoned property manager is what you need. What does this mean? If, as an owner, you don’t have someone who knows the local system, how to handle the paperwork, and the timelines, you’re going to be at a loss. This is where having a property manager is a huge benefit.

3. Respond to maintenance requests

Do you know the biggest cause of tenant turnover? Slow responses to maintenance requests. Responding in a timely manner to these kinds of requests keeps the resident (as well as the owner) happy and satisfied with their living situation. This is the job of a property manager.

4. Customized Reporting for the Owner

As an owner, having an in-depth analysis of your property is difficult to make time for—unless you have a professional property manager. As an example, owners who work with Evernest can elect into what we call the Annual Property Condition Report. For $149 per year, owners will receive a comprehensive report that’s sent directly to them on their property.

5. Control maintenance costs

Remaining diligent and staying consistent when it comes to maintenance requests on your property will keep costs down and prevent more major issues in the future. Your property manager will conduct routine inspections to:

  • Make any necessary repairs
  • Guarantee the tenants are complying with the lease

6. Market your property and fill vacancies

Eventually, residents move out. If your resident moves out and you plan on renting again, there are a few things that need to happen and fast. After all, the longer your house sits empty, the longer you aren’t making money.

As property managers, we call this “the turn.” This is the time to get the property ready for another resident to move in.

7. Screen tenants and collect security deposits

Having a very strict underwriting process greatly lowers your chances of losing money. A professional, residential property manager underwriting process will include background checks, credit checks, proof of employment, rental history/contacting former landlords, criminal and terrorist lists checks, and as well as evaluating necessary pet information.

The most important thing your property manager will do during this phase will be to make sure everything is done in compliance with fair housing and anti-discrimination laws.

8. Reduce the cost of management

A question we often get asked is, “Would I actually save that much money if I used a property manager?” One thing we encourage investors and owners to consider isn’t the monetary factor (at first), but rather your time.

To get an idea of how much self-managing your property will cost you, think in terms of opportunity cost.

👉 Use this formula: Your Hourly Wage X Hours Per Month Spent Managing Your Rental = Money Lost Per Month (ie opportunity cost)

9. Collect rent and handle delinquencies

Your property manager is there to:

  • Collect rent
  • Take care of all tenant communication
  • Communicate lease expectations
  • Some property management companies (like us!) can even help you receive payment faster by allowing tenants to pay online and then transferring the funds electronically to your account.
  • Set up payment plans with residents when necessary
  • Handle collections and evictions in the case those arise

This is one of the MAJOR benefits of having a diligent property manager.

10. In-house Brokerage

Let’s say you’re an investor who…

  • Wants to grow your portfolio
  • Has had a lot of issues with a house
  • Has had a tenant that’s not paying
  • Or simply doesn’t want to deal with rentals anymore

Wouldn’t it be simpler if your property manager was also a broker? You’re in luck. When you work with a residential property management company like Evernest, you also have quick access to our in-house Brokerage!

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