Benefits of Using a Property Manager
For many landlords, a property manager can provide a useful service, lessening the hassle of renting out a property. Read on to learn about the benefits of hiring a property manager and see if using one might be worth it for you.
Reduced Tax Stress
Beginning Jan. 1, 2011, rental income needs to be reported the same way as a business or trade, with every payment of $600 or more (to plumbers, gardeners, decorators, accountants and other contractors) requiring an information return to the IRS. A property manager can handle most of this paperwork for you and/or keep meticulous records, so you have accurate tax filings and avoid any fines.
A local property manager will have ready access to your rental property, saving you the time and effort of going there yourself, especially if you live out of town. As a hired “risk-avoider,” a property manager will perform or hire others to perform regular maintenance and catch issues before they become more costly. He will also be the frontline should an accident or act of nature occur which damages your rental. Wouldn’t it be nice to have someone else receive late-night emergency calls?
A property manager can also perform a task that many landlords would rather avoid — dealing directly with tenants. The manager can field all complaints, handle issues and maintenance calls, and collect rent. Since they are hired to interface so closely with the property and its occupants, they can easily identify any problems with late rent payment or lease violations so that appropriate action can be taken.
The vigilance of a property manager who keeps your property and its tenants under scrutiny assures that you’ll get the highest return out of both. The money saved by having a dedicated set of eyes and hands keeping repair issues from turning into major expenses and poor tenants from occupying your rental can be significant over time.
Being a landlord means having a lot of balls in the air at once — managing the physical property, the tenant details and all of your other business and personal concerns. Hiring someone else to take care of it all can prove to be well worth the expense, resulting in fewer headaches and anxiety — and a greater return on your investment.
If you’ve been considering hiring a property manager, think seriously about it. Shop around for pricing and reputation on Rentlist.com (http://www.rentlist.com/), and then calculate all the hours, conversations with tenants, repair work and mental effort you’ll be spared by having someone else handle the job. You will likely discover that a property manager is well worth the cost.
SOURCE: Renter’s Corner www.Rentals.com