Real Estate Community Forum

Many landlords purchase property, but are unable to find the time to maintain the property and find good tenants. As a result they hire a property manager to do the work for them. Do you think hiring a property manager is a good idea? What has been your experience having a property manager in charge of your rental property? I personally might be concerned that the property manager is not doing a good job, especially if the owner is out of town and is not there to physically be present or oversee the work. Does anyone have any personal experience on this topic?

I had the same fears about property managers before my first investment. Property Managers are a wonderful investment if you hire the right one. I would recommend anyone considering this tax deductible investment to reference http://www.narpm.org. The National Association of Residential Property Managers represents the best in the industry. These members are licensed, insured, are continually educated and follow a strict code of ethics.

CODE OF ETHICS

Article 1. DUTY TO PROTECT THE PUBLIC
It is the duty of the Property Manager to protect the public against fraud, misrepresentation, and unethical practices in property management.

Article 2. DISCRIMINATION
The Property Manager shall not discriminate in the rental, lease, or negotiation for real property based on race, color, religion, sex, national origin, familial status, or handicap and shall comply with all federal, state, and local laws concerning discrimination.

Article 3. DUTY TO THE CLIENT
The Property Manager has a fiduciary responsibility to the Client and shall at all times act in the best interests of the Client.

Article 4. DUTY TO TENANTS
The Property Manager shall treat all Tenants professionally when applying for, living in, and vacating a managed residence. The Property Manager shall hold in high regard the safety and health of those lawfully at a managed property.

Article 5. PROPERTY CONDITION
The Property Manager shall manage all properties in accordance with safety and habitability requirements of the local jurisdiction.

Article 6. PROTECTION OF FUNDS
The Property Manager shall hold all funds received on behalf of others in compliance with state law with full disclosure to the Client and must never commingle the firms or personal funds with those of the Client.

Article 7. DUTY TO DISCLOSE EXPERTISE
The Property Manager must provide accurate information within his area of expertise, but refrain from the unauthorized practice of other professions including but not limited to the law, accounting, financial planning, construction, and contracting.

Article 8. DUTY TO FIRM
The Property Manager shall act in the best interests of their Employer.

Article 9. RELATIONS WITH COMPETITORS
The Property Manager shall refrain from criticizing competitors or their business practices. In the event of a controversy between Property Managers with different firms, the Property Managers shall submit the dispute to arbitration rather than litigate the matter.

Article 10. PRICE FIXING
The Property Manager shall not engage in the improper acts of price fixing, anti-trust, or anti-competition with other Property Managers.

Article 11. DUTY TO REMAIN EDUCATED
The Property Manager shall strive to be informed about relevant matters affecting the property management field on a local, state, and national level.

Article 12. IMPROVING THE PROFESSION
The Property Manager shall strive to improve the property management profession by sharing with others their lessons or experience for the benefit of all.

In my experience you need to interview prospects and do your homework on what the area calls for in terms manager fee's and what they do for these fee's. What experience do they have. Give them situations and see how they would handle it. You have to trust them get reciepts and pictures for any repairs, keep on top of them so they understand how you operate and will met your expectations. Its a business relationship and every relationship requires a trust factor.