Renting out residential investment property is a great way to make some extra income, but managing it yourself can really be a lot of work. That is why so many people with investment properties in Chicago decide to work with a residential property management company. Not all property management companies are the same and even subtle differences can make a huge difference.
- What type of property management does the company specialize in?
Many property management companies work with both residential and commercial properties; while others specialize in just one — residential or commercial properties. When you have residential investment property your best bet is to find a property management company that specializes in working with residential properties. This specialization ensures a higher level of quality in their services and they are more aware of the problems that arise in the residential rental property market.
- How many units does the property management company manage?
Property management companies that are managing very small number of units (say less than 100) typically lack the experience and expertise to manage a Chicago investment property correctly. At such low numbers this companies typically results to nickel and diming over even the smallest things.
- Does the property management company have its own maintenance staff?
Some property management companies outsource all of their maintenance and this can spell trouble for any investment property. Having internal staff ensures quicker access to handling maintenance needs and the maintenance rates are typically lower in house than if the company outsources it. Make certain the management company maintenance work has a warranty to avoid paying for shoddy workmanship twice. Also consider whether or not the company has emergency after-hours maintenance. If there is a real emergency, a property management company that has emergency maintenance will be there while others will wait until the next business day.
- Does the management company assist the owner by finding tenants or do they leave that to the owner to worry about?
Finding the right tenant to fill a property vacancy is one of the most challenging aspects for many owners. The best property management companies will utilize tenant screening processes to thoroughly check out any potential client and prevent problems before they arise. This screening process not only saves time, but also helps save owners the headache of deadbeat or negligent tenants.
- How does the property management firm advertise their vacant units?
Some property management companies in Chicago limit themselves to one or two different websites as it is more efficient and less expensive for them. The best property management companies will utilize a large variety of websites instead of just one or two as the more interest there is in a property the higher quality of tenants the owner can select from. Additionally, property management firms may have relationships with specialized leasing agents and realtors that could further spread word on the property being available for rent.
- Does the property management company offer a guarantee?
A guarantee shows that the company really believes in their service and will do what it takes to make sure that the property will not be forgotten.
