Property Management: An Important Asset in Real Estate Investment

According to Fortune Builders, property management is the practice by which a third party is responsible for maintaining a residence’s status quo and appeasing its occupants.

While some property investors prefer to handle their business by themselves, others find comfort in paying for the services of professional property managers. It is important to note that the way a property is managed and maintained can affect its future value. So, remaining consistent with how this is done is key. The rest of this article will delve further into why one should require the services of a property management company, especially how it can impact one’s property investment.

What is Property Management?

Property management may be further explained as when a property or properties are overseen by a third party; could be an individual or a company.  These managers are typically very involved in the basic and daily management of the facility. Therefore, property managers are traditionally hired by rental property owners to oversee the daily operations of their real estate assets and deal with any questions or concerns the tenants may have. If the property is vacant, it’s the property manager’s job to see to it the house is rented. As its name suggests, property management takes care of every aspect of a rental home, from marketing vacant space and signing leases to collecting rent and calling for repairs. As compensation for this service, a percentage of generated rent or agreed fee is paid to the manager/company by the owner.

Is there a significant difference between a real estate agent and a property manager? 

The answer is yes, there is. The fundamental difference between a real estate agent and a property manager is that a real estate agent sells or rents off property only as a secondary service while a property manager helps you grow the value of your investment by managing it.

Typically in Ghana, you will find that some real estate companies such as Quao Realty double as property managers. However, there are firms that solely specialize in property management.

The responsibilities of a property manager.

Depending on how much autonomy you want your property manager to have, responsibilities will vary. However, these are some of the most common responsibilities of a property management company/manager.

• Property maintenance/repairs

• Collecting rent

• Establishing a good rapport with tenants

• Listening to building complaints and effectively working on them

• Routine inspections

• Make sure all bills such as utility bills, etc. are paid on time.

• Administration work

• Keep account

• Keep property owner(s) updated about property happenings

The basic duty of every good property manager at the core is to have the property owner’s best interests at heart.

Why is it important to have a property manager?

Renting/leasing out your property requires a good amount of time, dedication and commitment.

• Property managers lift a load of responsibilities off your shoulders

• Contracting a good property manager is like having an expert on your team to help you grow your investment by increasing returns.

Ultimately, the decision to employ the services of a property manager or a property management company is yours to make. If you opt to contact a property management company, Quao Realty has a team of experienced and dedicated professionals who are willing to help you maximize rental yield by growing your investment.