Many people are interested in having a job related to real estate. And with the increase of property rentals, one popular career path lies in becoming a property manager or starting your own property management company. It provides security in the sense that you get a steady paycheck. Even though it may require jumping through some hoops, it’s not as challenging as it seems. We’ve rounded up experts from the real estate field to help you get a sense of what it takes to become successful in property management. Here’s everything you need to know to get started.
How does one define a property manager?
The property manager or property management company is there to take the place of the owner in the day-to-day managing of their investment property. The responsibilities include many things and require the manager to wear multiple hats. The most important and obvious job is to find renters but also make sure that they are vetted. But it goes much further than that. The manager needs to welcome the renter or guests, answer questions about the home or condo, keep up with maintenance and repairs, collect rent, and mail the owner the profits minus management fees. The property management company or manager must act like a marketer, concierge, and accountant. They must be able to have good customer service skills to keep renters and owners happy.
What does a property manager do?
A property manager serves an individual or corporate entity that owns a rental or leased property (or set of properties) including residential, commercial, or a combination of the two. Some examples are single-family homes, condominiums, townhomes, retail complexes, and vacation homes. Property managers ensure that tenants comply with the association’s rules and regulations. They also oversee the property they are handling based on what their clients want and need.
What kind of knowledge is a must-have to be a property manager?
A property manager needs to be knowledgeable in a wide array of topics from Landlord-Tenant Law, to Maintenance Codes and Repair Evaluation. That being said, I believe the absolute most important knowledge for a property manager to have is experience in owning rental properties themselves. Rental Property owners make the best property managers because they understand the needs of the Landlord.
Are there any legal requirements in the US to become a property manager?
This somewhat depends on where you live within the United States. Many states do require a Real Estate license in order to manage residential property belonging to others. Some jurisdictions will even require a specific Property Management license or rider to the Real Estate license. Other states do not require a license at all.
What are some must-have skills for a property manager?
In order for a property manager to be effective in managing any property (whether it is their own, or managing a property for another person) they must have 3 unique skills:
- Temperament: A property manager will be dealing with many different types of people in many different ways. Whether moving a new tenant into a property, enforcing rent collection policies, performing inspections, or handling repair requests – a property manager must always keep their cool in every situation!
- Expertise: A property manager must know of the many laws (federal, state, and local) and rules that govern the industry including fair housing, eviction notices, and rental standards.
- Availability: When a resident emergency happens – it must be addressed immediately. A property manager must be on-call and available 24 hours a day.
What would be the best general practices for a property manager?
- Take care of each home like it’s your own.
- Be a trusted partner to homeowners. Proactively identify ways to preserve the value of the property, generate more income, & ensure high occupancy.
- Invest in technology. i.e. enable Ai-powered pricing, tech-enabled marketing, and transparent, real-time information sharing between homeowners and the property management.
- Deliver an incredible resident experience; High satisfaction leads to higher renewal rates and higher referrals, keeping homeowner vacancy to a minimum.
What tools should a property manager use?
“Property managers should use tools and software that save them time, as it makes it easier to manage your properties. Same way as many real estate development teams leverage automation with Northspyre’s software, as it equips them with real-time data to achieve predictable outcomes on even their most complex projects. I would also recommend Doorstep to screen clients, Entrata for lead management, and Text Blaze to streamline communication. Finally, don’t forget to market your properties on LinkedIn and TikTok, but TikTok especially. It’s an underused marketing channel populated by your prime renting demographic: Millennials and Gen Z.”
What are the benefits of leveraging technology in property management?
Leveraging technology in property management offers a range of benefits. It enhances communication among property managers, owners, and tenants through real-time messaging and digital portals, ensuring swift issue resolution and streamlined rent payments. Maintenance processes are optimized with automated requests, scheduling, and predictive maintenance, minimizing downtime and increasing asset longevity.
Financial management becomes more efficient with digital rent collection, payment processing, and data analytics, allowing for informed decision-making and optimized pricing. Incorporating smart home technology improves security, energy efficiency, and tenant convenience, while data-driven insights refine strategies for tenant satisfaction and property value.
Furthermore, technology expedites tenant screening, leasing, and onboarding through advanced background checks, online applications, and virtual tours. This reduces vacancy periods and ensures qualified tenants. Overall, technology-driven property management leads to better tenant experiences, increased operational efficiency, and a competitive edge in the real estate market.
What should property managers include in their property management strategy?
Part of discovering how to become a property manager is defining your management systems and procedures to ensure your business runs smoothly. Consider what tools and software you’ll use to manage your tasks, handle guest communication, and activate your cleaning and maintenance teams. The frequency of your property inspections is also important to note.
Once you’ve identified these, compare your options to your competitors and what they charge for their services. This will determine and shape your pricing strategy for the rentals you manage.
Automated vacation rental software, like iGMS, helps managers run their businesses on autopilot with features like automated messaging, a unified inbox and a channel manager. It also lets you integrate seamlessly with key platforms like Airbnb, Booking.com, and Vrbo, as you rest assured that your business is still running even when you’re offline and focusing on other matters.
Taking this expert advice you’ll be able to identify if property management is a career path for you. But it’s important to keep in mind that constant growth is required to be successful at anything in life. If you don’t already possess these skills, you shouldn’t give up on becoming a property manager. At the end of the day, all it takes is patience to learn and build your path over time, it’s only a matter of getting started to start getting the benefits of a career in real estate.