Tips for Choosing Los Angeles Property Management Company | LBPM

35 Helpful Tips for Choosing the Right Los Angeles Property Management Company

Property Management Sherman Oaks

35 Helpful Tips for Choosing the Right Los Angeles Property Management Company

If you own an investment property, managing that property all on your own can be a huge task between trying to find tenants, collecting rents and constantly having to see to repairs and the maintenance of your property. Hiring the right property manager in Los Angeles can preserve the value of your property by ensuring your property is regularly maintained and any needed repairs are completed in a timely manner avoiding serious damage to your property and your property values.

Property Management Los Angeles: Property Well Managed

In addition, the right property manager will suggest to you improvements you make that will result in higher rent and actually increase your property’s value should you decide to sell in the future.
Choosing the right property management company for you will depend on whether you are looking for a property manager to manage:

Hiring a Property Management Company in Southern California

LBPM is widely considered one of the best Property Management Company in Southern California.

Property Management Los Angeles: Qualities of a Right Management Company

There is a lot of thought that must go into choosing the right property management company in los angeles and you don’t know where to start. Here are just some of the things you need to consider and ask the following questions :

A. Basic Traits A Professional Property Management Company Has

1. A Professional Team with An Experienced Leader

You don’t want to hire a single person to manage your property. You want a professional team with an experienced leader to ensure that the management company has the expertise to meet all your properties needs.

2. Good Communication

A good property management company should not only be able to communicate with the property owner but with the tenants as well to avoid potential problems before they occur.

3. Ability to Handle Finances

You want a management company that has the ability to handle finances from rent to expenditures, to great bookkeeping so that you always know the bottom line when it comes to your rental property.

4. Provide All The Management Services You Need

Will the property manager give you a written proposal listing all of the services they provide as well as the cost of the services? Make sure you check the services they provide to ensure that they meet all your management needs.

B. General Background A Right Property Management Company Has

You need to know something about the general background of the management company you consider hiring including:

5. Types of Properties the Property Management Company Manages

You need to consider the different types of properties the property management company manages such as single family homes, apartments, commercial properties, vacation properties and determine whether they manage the type of property that you own.

6. Check Out the Number of Units The Company Currently Manages

You want to know the number of units the company currently manages successfully and determine if they will be able to successfully manage your units as well.

7. The Number of Years the Property Management Company Has Been In Business

Experience does matter, and the fact is that a property management company that isn’t meeting their client’s needs won’t remain in business for long. The longer a Property management has been in service the better the chances are that are providing the service you want and need in your property management company.

8. Number of Rental Properties You Own

The number of rental properties you own will determine the management company you choose since you want to select one company that can handle both the number and types of investment properties you own.

9. Geographic Area the Property Management Service Covers

If you own properties in various areas you want a property management services that can manage all of your property locations so you don’t end up having to hire a number of different property managers.

C. Property Details & Expertise A Good Property Management Company Has

For those of you who are intending to purchase investment properties, there are a few details you need to consider that a property management company should know about. These considerations should include:

10. Areas of Town to be Considered Must Have A Good Rental Market

You want to look for areas of the town that have a good rental market. You want your property manager to search for you an area with low vacancy rates, rising employment, and a new influx of people coming for jobs.

11. The Areas and Neighborhoods the Property Management Company focus on

Before investing in any property you need to consider what areas you want to focus on and why? Are the properties in the area cheap and rental rates high? Do you have other successful rental properties in the same area? Do you know the neighborhood well? You really need to nail down why a property management company considers you a specific property to be a good investment.

12. The Average Vacancy Rate of that Area

If you have already chosen and purchased a property then you need to investigate and learn from the property management company what the average vacancy rate is for the area and how a right property manager can reduce the chances of you having a vacancy.

13. Consider what is Unique About The Property

Look for things about the property that is unique or makes it a good investment. Are the schools in the area good? Is the property in a good location? Is the overall area improving or getting worse? Are new people moving into the area or are new jobs being created? These are all things you need to consider before investing in any rental property. All these questions you need to ask before hiring a property management company whether they have experience and all details about the property.

C. Management Related Considerations A Right Property Manager Has

When choosing a management company you need to focus on a number of management related considerations a right property management company have, such as:

14. The Number of Staff That Will Be Looking After Your Property

A management company should be able to clearly tell you the number of staff that will be looking after your property and the type of work they will contract out such as repairs or maintenance work.

15. Proper Division of Work On Your Property

A right property management company should be able to explain how the management of your properties will be divided. For example, will one person take care of collecting rent and another see to repairs and maintenance? Or do different staff members take full responsibility for a certain number of units? You need to know how your properties will be cared for.

16. The Average Vacancy Rate of that Area

If you have already chosen and purchased a property then you need to investigate and learn from the property management company what the average vacancy rate is for the area and how a right property manager can reduce the chances of you having a vacancy.

17. Tenant Screening Process

You must want to know how a management company intend to screen potential tenants to ensure that the property is filled with quality tenants that will pay their rent on time.

18. Tenant Eviction Process from the First Day Rent is Late

A right property management company will give you an outline of their eviction process from the first-day rent is late. The right management company will be in charge of ensuring that the eviction notices go out promptly and properly and will one of their staff be present in court? One will work with the tenant prior to evicting them to try and get the rent paid.

19. Tenant Responsibilities in A Standard Lease Agreement

Go over your standard lease agreement and consider what a management company explains the tenants’ responsibilities such as yard maintenance, checking and cleaning furnace filters, promptly notifying management company of needed repairs, properly disposing of garbage.

20. State the Limit for Property Owners to Approve Expenditures

A property management company outline for the need of property management to be able to prove expenditures for faster repairs and maintenance and what limit they set or agree to that can’t go over without your approval.

21. Repairs and Maintenance for Each Property to be done at Cost or Cost-Plus

A right property management company need to let you know if any repairs and maintenance to your property will be done at cost or if they are charging a small fee for arranging for repairs and maintenance.

22. The Ways that Intend to Increase Profits

Discuss with the property management company the ways that can intend to increase your profits such as increasing rent without losing tenants, or finding cheaper ways of advertising or lowering advertising costs for vacant units.

23. Outline Fee Structure

A property management company need to explain the rates that will be charging and what services will be included in for those rates and what services will be charging extra for and what those charges are.

24. Offer Copies or Samples of Paperwork Such as Lease Agreements and Reports

If a property management company can offer you samples of their paperwork it will help you to visualize what can be expected from the reports.

25. Offer References to Potential Customers

You want to know that the property management company you hire is capable of meeting their needs, offering references from satisfied customers that you can talk to will help learn more about a property management company and their services.

D. Other Questions When Interview A Property Management Company

When interviewing property managers there are some questions you should ask that guaranteed you a completely right property management company. These questions include:

26. What Kind of Accounting Statements Will You Provide Me With My Properties If I Become Your Client?

As A property owner of an investment property you are going to want to be kept abreast of the financial happening with your property, so you are going to want to know that your Property manager is going to provide you with the right kind of accounting statements so you know exactly what is happening with the financial aspects of your property.

27. How Will Each Months Rent Be Deposited Into My Account?

You want your investment property to make money so it is only natural to want to know how you will receive the rent from your investment property. You and your property management company need to discuss whether the money will be deposited directly, whether you will receive a check for the total of all the rental properties, or should some other arrangement be made that is mutually satisfactory to both you and your client.

28. Are You A Licensed Property Management Company?

You want to make sure that property management company you hire knows what they are doing so check and make sure that the company is a licensed property management company.

29. Do the Contractors You Hire Carry Their Own Workman’s Comp and Liability Insurance?

As a property owner you don’t want to be liable for contractors that are hired by your property management company, so you want to make sure that all of the contractors your property management company hires have their workman’s compensation and liability insurance.

30. How Frequently Will You Be Visiting My Tenants and Properties?

You want a property management company that is dedicated to keeping an eye on your property to see that tenants are following their lease and the property is well maintained. Find out how often the property management company intends to visit your property and tenants to ensure that they are giving your property the attention it deserves.

31. What Property Expenses Are Deductible and Any Interest Still Owed on the Mortgage Still Deductible?

You want to make sure that the Property management company you hire understands all the laws regarding your property even those tax laws that may be difficult to understand. Take the time to ask them to explain what expenses are deductible when you file your taxes.

32. Approximately How Much Will it Cost me to Have My Property Managed and Maintained by Your Company?

Different property management companies charge different rates for their services so get a clear understand of how much any particular company will charge to manage and maintain your property for you.

33. How would you handle advertising and vacancies?

You need to ensure that how the Property management company you hire advertise and market your property. Where does the property manager advertise for vacant homes and how long it takes to place a tenant? Do they advertise in newspapers, websites, or choose another mode? If the property manager has a website of his company, then take a complete look. Are you impressed with its look and features? As a potential tenant, is it easy to search for the rentals listing? As an owner, will you be able to log in online to view your account?

34. Will You Go to Court for Me if Need be and What is Your Rate of Success in Previous Appearances?

No landlord wants to have to go court either to proceed with an eviction or because they are sued for some reason, but some situations require court appearances. Having a property management company that will go to court on your behalf and has a record of winning their cases will save you money in the long run.

E. Review the Property Management Agreement

35. Once you have decided on a property management company, you are going to want to go over the property management agreement with the company and they should go out of their way to make sure that you understand all of the terms of the agreement before you sign it. This is the important step when a contract between you and your property management company is laid out, which mentions, What The Property Manager responsibilities. What The Clients responsibilities. What Authority you are giving them to manage and maintain your property.

Finding a right property management company is not an easy task, but taking this extra effort and steps, in the beginning, will minimize your stress later on. Just make sure you follow the above steps and do your due diligence when choosing the right property manager.

LBPM The Right Property Management Company to Meet Your Needs

Here at LBPM we have over 30 years experience in property management for those who own property in the Greater Los Angeles area or the San Fernando Valley we can provide you with the right property management services you need regardless of whether you own a single-family home, an apartment complex or commercial Real Estate.

Hiring a Property Management Company in Southern California

LBPM is widely considered one of the best Property Management Company in Southern California.

Call us Today 888-400-7080 or Contact Us for any of your Property Management Needs!