Sometimes, landlords, property owners, or homeowner associations (HOAs) decide they want to save a few bucks and do all the property management on their own. That can be fine in some situations, particularly for smaller buildings where the landlord or board has an abundance of free time. But there are always a lot of bases to cover.
When you hire a professional management company, we bring a tremendous amount of knowledge, experience, and manpower to help you stay current with all the various aspects of management… whether it’s legal compliance or city government issues, day-to-day maintenance issues and utilities work, and even keeping an eye on the books – helping you recover costs and reduce your expenses.
On a daily basis, we’re in touch with all of these different areas of management. Unless managing properties is all you’re doing all day long, you’re almost always better off hiring a professional team to handle the management for you. If you’re not doing this full time, then there’s a good chance that you WILL miss something, and that WILL end up costing you a lot of money.
This is a common problem we see with homeowner associations. It seems easy enough… you simply have to collect the dues, pay the bills, attend your board meetings, and that’s it. What could go wrong? But it doesn’t take long before you find out you’re in for a lot more headaches than you bargained for. A lot of DIY boards don’t know that they aren’t following the latest laws and ordinances (like the Davis Sterling Act and other laws that govern the management of homeowners associations). It’s not a problem… until it is a problem.
Here’s an example. A DIY landlord or a homeowners association might have Bob the Gardener taking care of all the landscaping at the property. Bob is probably a great guy, and maybe he’s worked for you for 10 years. But he’s not licensed. And you’re concerned that a professional management company will tell you to get rid of Bob and hire a licensed and insured contractor, or they’ll want you to make Bob an employee so everything is done right.
If you’d rather not do that, you’ll stick to managing the property on your own. But then one day, Bob gets fired or stops working and decides to file a workers’ compensation claim or a wage and hour lawsuit. When this happens, the DIY landlords and property managers wish they had a property management company guiding them and helping them to avoid these landmines.
Doing property management on your own is a not a bad thing, but we often hear from former DIY folks who have long grown weary of doing all the work themselves. And we often see rookie mistakes that could have been avoided. If you’d like to talk more about the benefits of professional property management – about how we can help save you time, energy, and money with the management of your property – please contact us at LBPM.