Property management is the daily oversight of residential, commercial, or industrial real estate of Individuals or Companies by a third-party contractor.

Generally, Property Managers take responsibility for day-to-day repairs and ongoing maintenance, Tenancy, Security, and Upkeep of Properties. They usually work for the owners of investment properties such as apartment and condominium complexes, private home communities, shopping centres etc.

Their main roles is to preserve the value of the properties so that income generation doesn’t affect.

Property managers are generally responsible for the day-to-day operations of the real estate, from screening tenants to arranging for repairs and maintenance.

The responsibilities of a property manager generally involve the following:

• Screening potential tenants

• Drafting, signing, and renewing leases on behalf of property owners

• Collecting rent.

• Maintenance of properties, including landscaping and snow removal

• Arranging for necessary repairs to properties

• Setting up and adhering to budgets for property maintenance

• Understanding state and national landlord-tenant laws and regulations

• Marketing properties

• Supervising other employees

• Handling taxes

Owners pay property managers a fee or a percentage of the rent generated by the property.

Landlords, for example, hire property management firms for a variety of reasons. Some may have multiple rental properties in their portfolios and lack the time or expertise to maintain the properties and deal with individual tenants. Some owners only have an interest in owning rental properties and earning profits from them.

Absentee Landlords hire professional property managers. And Property owners who owns affordable housing tend to use property management services because their rental properties are subject to complex federal guidelines that require specialized expertise.

Is a property manager worth it?

It depends. Managing property can be costly and take a lot of time. If the cost of a property manager is less than the managing properties yourself, it’s probably a good investment. However, this is an equation that every investor will have to work through for themselves.