Questions to Ask from new Property management company for out of state investing?

[Jay A.]

Just curious if anyone has a checklist that they go through when evaluating new property management companies for out of state investing?

Any questions you specifically ask? Any red flags that steer you away? Any processes you have in place. 

[Mackenzie Grate]

I generally would ask the same questions of one that I would be interviewing locally. Check for references, comps on their rental information, sample leases, who is running the company and their background, insurance coverage and what all is included and the fee rates. Additionally though I would ask them about Facetiming. If I am owning a place out of state, a property manager can say anything or photoshop any picture to show me the condition of the house. So I would ask them to be available a few times a year to Facetime a property visit to check the condition of the house.

Also, make sure that you too are up-to-date with the local rental laws in that city, state and county. Don't rely on the property manager to know them and/or follow them. You need to know them inside and out first so you can verify they are handling the legalities in a correct manner because ultimately you are responsible for following the laws.

Lastly, how willing are they to talk to you and how genuine and sincere do you feel when you ask them questions and receive answers. The same intuition you use when meeting someone locally should be applied here. If someone is rushing to get you off the phone, or they are extremely sales pitchy...keep looking.

Congrats on taking this next step! Super excited for you! You got this!