My First Property Manager

[Kwanza P.]

Any general advice and/or “wish I had knowns” regarding identifying and working with a property manager long distance ?

I’m just getting started on my rental journey. No properties yet. Trying to get in the game. Business is based in California but I’m licensed to operate in Texas, Ohio, and Alabama in addition to California.

-Kwanza 

[Mark Updegraff]

If you’re hiring a PM long-distance, you’ve gotta vet them hard upfront or you’ll regret it later. Few things to lock down:

• They need to be full service with a legit staff—techs on payroll, leasing agents, someone handling PR when tenants get weird. A one-person show isn’t gonna cut it.

• Make sure they’ve got general liability and workers’ comp. When you move forward, they should provide proof and name you additional insured. If they push back on that, walk.

• Get references. Call them. Owners and tenants. Meet with the PM and their staff, even if it’s virtual. You need to see how they run things.

• Find out who actually makes decisions—tenant approvals, renewals, evictions. Are they just rubber-stamping or do they have real criteria?

• Read the management agreement. Then compare it to a few others. Fees can be sneaky—markups on maintenance, random charges for inspections, lease renewals, etc.

• Check their rep everywhere—Google, Facebook, BBB. Years in business? Number of units? If they’ve been around forever but only manage 50 doors, that’s a sign they aren’t growing for a reason.

Good PMs are worth their weight in gold, but a bad one will wreck your investment. You looking at anyone specific yet, or still in the research phase?