How do you choose your Property Manager?

[Sam Sharata]

There are a number of forum postings out there on the subject of hiring Property Managers (PM) for rental properties; especially from out of state investors. While most postings are geared towards asking for referrals to sharing nightmare stories of dishonest or incompetent PMs, I have yet to find a discussion about the qualities one should look for, or what questions to ask a PM. How does one go about interviewing and choosing a good PM? Is it their fees? Number of years in the business? The number of properties managed? Clearly a mix of these, but there must be more to it. Would definitely be interested in hearing what you all think.

[Shirley Johnson]

As an investor for more than 40 years and someone who got a real estate license so I could work for the public, I would tell you to interview property management companies that are members of NARPM -National Association of Residential Property Management. This organization is a leg of NAR-National Association of Realtors.

Members of NARPM and especially those that have worked to acquire additional credentials from NARPM generally have a higher level of education and the knowledge necessary to "Protect your asset and your liability exposure".  I always tell our landlords "Our job is far greater than just collecting your rent on time.  Our biggest job is to protect your asset and your liability exposure". 

Each state and city has different landlord requirements as well as Federal requirements a landlord must adhere to.