Real estate can be a great investment, and you can use rental properties to make a steady income. This won't come without some work, however.
There are various services you can acquire to make things easier for you as a landlord. Two popular choices are tenant placement services and property management services. But which is better for you?
Let's take a look at each so you can decide which to go with. Keep reading for more.
What Is Tenant Placement?
Tenant placement is a service that focuses specifically on attracting and securing tenants for your rental property. This begins with marketing your property in a way that appeals to renters. They can then handle all applications.
Perhaps the most crucial part of this service is tenant screening. During this, they'll do a background check on tenants to see if they've had issues in the past, such as causing property damage or failing to pay rent. This will help them narrow applicants down to the best potential choices.
Finally, they'll negotiate the lease with the selected tenants. After this, the tenants will move in and things will be handed back over to you. You're then responsible for any other day-to-day operations of your property.
What Is Rental Management?
Rental management is a far more comprehensive service for a rental property. It includes tenant placement as well as various other real estate services.
This can include:
- Property maintenance
- Rent collection
- Tenant communications
- Accounting and reporting
- More
If you go this route, you can leave almost everything to your property manager. It's a more hands-off approach that entrusts your property to trained professionals.
Which Is Best for You?
The best type of landlord services for you will depend on your specific needs. There are some factors you can consider to help you decide.
If you own just one property and you're happy to take on the regular property management tasks yourself, tenant placement may be enough. You can oversee the daily operations so that you're in full control, and this is the cheaper route as you won't be paying for ongoing services.
On the other hand, managing a property can be very time-consuming. If you don't want to spend a lot of time looking after your property, hiring a full-service property management company could be more suitable. There are other factors that can make this route more ideal, such as owning multiple properties or living far away from them.
While rental management can seem like an expensive route, it can actually be more cost-effective. A property manager can help you set the best rental price, keep tenants happy, keep your property well-maintained, assist with any legal issues, and more.
Professional Landlord Services
It can be hard to decide between tenant placement and rental management. You should look at your own needs alongside what each of these routes offers to make the best choice.
PMI of Fairfax is a full-service real estate asset management company based in Fairfax, Virginia. We work as part of the PMI group, which has become one of the leading property management companies in the US over the last 20 years. Take a look at our residential services page to find out more about how we can help you.
