A professional and credible property management company understands and implements diverse management approaches to provide the most efficient and effective service. Applying the 3 M’s of Property Management is one such integrated approach. These three M’s are: Maintenance, Minimizing expenses, and Managing debt and risk.
3 M’s of the Property Management:
Property maintenance is, no doubt, an essential aspect of property management. Everyone knows the importance of maintenance for a property, but keeping up with it all can be challenging. Any property that lacks proper support will be subject to degradation due to continued use. In such a facility, dirt will accumulate, lawns will grow, the painting will fade or peel off, the plumbing will leak, and the HVAC systems fail. The purpose of property maintenance is to avoid these kinds of degradation; it aims to keep your property in top-notch condition and keep your residents safe and satisfied.
Property management comes with numerous compelling benefits. Here are a few more reasons why it is vital to have a property maintenance plan by a professional property management company:
» Increase in Property Value:
Well-maintained property either holds its value or even increases in value over time. This is because in the process of managing the property will either retain its original finesse. Better still, the property might as well get an upgrade that includes more modern features and characteristics. Such an update leads to an increase in the rental value of the real estate. On the contrary, lack of maintenance detracts from your property’s market and rental value.
Related Article: How Property Management Increases Resale Value
» Happy Residents:
Your clients opt to rent your real estate property because it meets their expectations. When you do this, you end up with satisfied and happy residents. Such residents will hardly think of seeking alternative places to rent. Instead, they might become your best marketing strategy as they share the info with their friends, family, and workmates, not to mention sharing the same and images of the go-to property.
» Reduction in Cost:
When you have an efficient property management system, you’ll identify and repair or correct potential risks. You’ll have any faulty plumbing, HVAC, electrical system, and so on fixed before it results in a disaster. The practice gives your facility and its electrical and plumbing systems, appliances, and equipment an extended lifespan, reducing the costs of replacing tools and equipment in your property.
» Reduced Work:
When you have a valid building maintenance system in place, you reduce the amount of time you spend contacting owners, residents, manually tracking data, tracking work orders in other software, dealing with emergencies, and paying invoices. With such a maintenance system, you have more time to concentrate on other critical aspects of your business.
Tips To Provide Superior Property Maintenance Services for All Property Types
To provide superior property maintenance services that are effective for all property types’ and are beneficial for both residents and owners, our property management experts share four essential tips.
One, to expedite the timely response to any issues raised by the residents, should be the main agenda. This kind of satisfying outcome is realized only when the property manager has a system or portal that allows the residents to self-serve. The residents can submit their requests and track the status of these requests online.
Second to have a proper maintenance system that offers on-call maintenance services allowing the residents to call whenever they have a problem either in their units or in the shared area. Keeping the property safe and residents satisfied in case of emergencies, it is good to have emergency maintenance contacts and on-call maintenance experts 24/7.
Conducting routine preventive maintenance by having a task-specific maintenance schedule to carry out regularly can extend the life of your valuable assets and reduce the possibility of urgent and costly repairs.
Professional property managers are proficient in effectively tracking and handling expenses. These managers use an all-in-one computer-based system to carry out these tasks on your behalf, thus saving you a lot of time and human error.
These above tips are the only secret for professional maintenance and equally effective for all property types, whether multifamily apartments, single-family homes, or condos or for common areas of communities.
2. Minimizing Expenses
A knowledgeable property manager uses a preventive maintenance approach to avoid waiting for problems that need repair and maintenance to crop up. The idea is that it’s usually less expensive to replace or fix a problem early than to wait until it gets out of hand. On the same note of preventive management, adept property managers do their best to minimize the time spent sorting out and delivering mail and packages to the tenants. While this is the company’s primary job, a property manager appreciates that the time lost sorting out and giving these packages can be used to carry out other critical activities.
The property manager installs smart lockers to eliminate hours wasted handling and distributing kits to the tenants. Property managers help you to cut down water and electricity costs. Reducing water costs is done by calibrating toilets, installing, smart faucets, shower regulators, and aerators. All these techniques are intended to monitor and regulate the amount of water that each resident uses in these applications. To cut down on electricity, a property manager helps the owner change from conventional bulbs to LED bulbs, reduce landscaping costs by switching to artificial grass and installing energy-efficient appliances such as laundry machines, smart fridges, smart kitchen faucets, dishwashers, and thermostats. All these innovative technologies go a long way in bringing down the amount and cost of water and electricity used in your property. A savvy property management company knows what is best for owners and tenants. That’s why RTI Properties about turn to LEED certification and green leasing to keep your property cutting edge and efficient in 2020. Learn about the Undeniable perks of LEED Certification for property owners.
These managers help you to appeal your property taxes. These taxes are often the most significant expense the property manager will have to deal with annually. A property manager who is well-versed with tax laws and regulations of property tax can find loopholes in your expected tax returns, identify factors that technically reduce the value of your property, and understand cap rates.
3. Managing Debt and Risk
Debts and risks are a reality in the real estate business. At times you might have some uncooperative tenants, or tenants can make poor decisions. Disasters can happen, and in some cases, revenue is lost. Although it’s impossible to avoid debt and risks in property management, an excellent property manager can help you institute some best practices to minimize these challenges.
Tenant screening and efficient data collection and management are two approaches that the property manager uses to address debt and risks. Through this method, the manager establishes a water-tight system to assess the likelihood that potential tenants will fulfill all the terms of the rental or lease agreement and take great care of the property. Without this elaborate screening, chances of the wrong tenants who are unable to consistently fulfill the terms of the contract getting in are high. Efficient data collection is critical for effective property management. You don’t have to continue collecting, recording, and storing your data on paper. A property manager comes in handy in providing an integrated data collection and management system that makes your work easy, fast, and accurate. Avoid These Mistakes When Screening A Long Beach, CA Tenant
Protecting your properties is an essential aspect of debt and risk management. The typical real estate insurance doesn’t cover the tenant’s belongings, but a renter’s insurance cover does. Property managers help landlords to craft a requirement for proof of renter’s insurance which not only protects the property of the renter but also covers third-party property damage, additional living expenses in case of damage to the property which makes it impossible for the tenant to stay in the building during repairs and much more.
Finally, the property manager comes in handy in debt recovery. Such debts can be in the form of unpaid rent, unpaid maintenance fees, outstanding service management fees, etc. The manager saves you the time, effort, and frustration of chasing after your debtors. The property manager implements some strategies to control lousy debt for landlords and investors and thus maximize recovery results for your portfolio.
3 M’s approach of the property management
These are the 3 “M”s approach of the property management that our experts shared with you.
At RTI Properties, Inc., we’ve been providing premium property management services to property owners–handling anything from financial reporting, tenant acquisition, maintenance, and more to keep your rental running smoothly. Contact RTI Properties today or call now at (310) 532-5994 for more insight on property management approaches. With over 30 years in the business, we are here to help both renters and tenants grow and flourish in the sunny Los Angeles neighborhoods and in all over Southern California and have your best interest in mind.