The property management industry has become more and more lucrative in the past few years. According to a 2018 study, the US property management industry grossed about $76B in revenue. With the increase in rental properties, property manager salaries are expected to rise in the coming years. The study also revealed that there are more than 280,000 rental management companies in the US alone. To survive in this industry, you must emulate what the best property management companies are doing.
Here are some of the things you can learn from the best property management companies:
1. The Best Property Management Companies Build a Great Team
A property management company is only as good as the people it employs. The top players in the industry take time to find people that have the right qualifications and experience for the job. Here are some of the important property management qualifications to look out for:
- Certified Manager of Community Associations (CMCA)
- Residential Management Professional (RMP)
- Master Property Manager (MPM)
- Certified Property Manager (CPM)
- Accredited Residential Manager (ARM)
- Accredited Commercial Manager (ACoM)
Besides other property managers, you will need to hire the right people for marketing, accounting, maintenance, and other tasks. To learn more about how to put together a great team, read: 7 Tips to Build a Great Property Management Team.
2. The Best Property Management Companies Leverage Technology
Property managers are responsible for drafting lease agreements, screening tenants, handling maintenance and repairs, managing finances, and enforcing evictions. In addition to this, you’ll be running a company, which requires marketing to find property management leads and managing business finances.
With all these duties, it is very easy to get overwhelmed and even become ineffective as a property manager. Top property managers make use of different property management software to streamline communications and automate tasks. Some of the best property management software include:
- Buildium – This tool can come in handy for finding tenants online, property management marketing, handling maintenance requests, and managing finances. It comes with portals for property management clients, residents, and board members.
- Mashboard – Property managers can use this tool to find investment properties for their clients and leads. It makes use of AI technology which will match your client to the right rental property with 90% accuracy. Try it out now.
- Rent Manager – This tool allows you to track, manage, and resolve maintenance and repair issues. Tenants can also use rent manager to sign leases and pay their rent.
- Appfolio – Appfolio is a great tool designed for student, apartment, residential, and commercial property managers. Users can access business metrics, monitor maintenance, and communicate with renters, owners, and vendors. Property managers can also accept online rental applications, carry out mobile inspections, and collect rent online.
3. The Best Property Management Companies Commit to Training
Excellent property management services can only be offered by a team that is well trained and knowledgeable. A successful property management company is committed to offering its managers continual development and educational programs, including online training systems, classroom learning, and hands-on training. As a result, their employees are always on the cutting edge of product and industry knowledge and prepared to deliver the highest quality of service to clients.
4. The Best Property Management Companies Keep an Eye on the Competition
As mentioned earlier, there are more than 280,000 property management companies in the US alone. Successful property management companies are always keeping an eye on the competition to find out what they can improve. For example, by learning the rental strategies of their competitors, they are able to come up with new innovative packages for their tenants which cannot be found elsewhere.
To learn how Mashboard will help you rise above the competition, schedule a demo.
5. The Best Property Management Companies Stay Up to Date
Property management is an industry that is evolving on a daily basis. To succeed in this industry, you must always keep yourself updated on the latest regulations and trends. Read industry journals and blogs on different property management websites to learn what is going on in your real estate market and around the world. In addition, consider joining industry associations and attending property management seminars frequently. This will help you keep your tenants and property management clients updated on the latest happenings.
6. The Best Property Management Companies Create Standard Operating Procedures
Successful property management firms have solid operational procedures that have been created through years of experience. Such operating procedures could include tenant screening checklists, a full audit of vendors and contractors, preventive maintenance programs, solutions that boost the value of property, and a transparent budget and financial system.
When it comes to property management, communication is everything. If tenants or property management clients cannot reach you through phone, email or any other means, then you have failed. The best property management firms are available to their tenants 24/7 and have established systems for internal communication. Customer queries are responded to in a timely fashion and maintenance problems handled quickly.
7. The Best Property Management Companies Work on Their People Skills
A property management career is one that involves engaging with tenants, property management clients, and contractors on a daily basis. Great property management companies have trained their employees on how to relate with people, understand them, respond to their problems, and build relationships based on mutual respect and trust. When acting as an intermediary between parties with conflicting interests and needs, a good property manager knows how to resolve the issue so that everyone is content.
8. The Best Property Management Companies Study the Rental Market
A deep understanding of the housing market is crucial for success as a property management company. Successful companies understand the market dynamics of their local area, as well as the amenities that will attract the right tenants. In addition, they are aware of the laws and regulations that govern rentals in their city or county.
These are just some of the lessons you can learn from the top property management companies. Applying them will significantly boost your success in the industry.