Hi, there! Joe White here from Grow Property Management, your trusted property management company in Philadelphia.
Meredith recently asked a question that many people have about evaluating property management companies: how do you know if they’re doing their job effectively? Initially, the answer seemed intuitive—if you feel secure and trust the company, they’re likely doing well. But as time has passed, a clearer response has emerged.
Trust in a property management company can often be instinctive, akin to how one feels about a long-term housekeeper. If there’s no doubt about their integrity, you feel secure. Conversely, if there’s a nagging worry about honesty, that doubt can cloud your judgment.
One of the first tools for assessing property management companies is online reviews. Google reviews are particularly useful as they provide unfiltered insights into a company’s performance. Spending about 10 minutes reading reviews can give you a solid understanding of a company’s reputation. Generally, the best companies will have a higher volume of positive reviews. However, it's essential to read through the feedback, noting that low reviews often come from frustrated applicants who were turned down for rental properties, rather than from dissatisfied clients.
Once you have a property management company in mind, transparency becomes critical. A good company should provide detailed monthly statements that include information on repairs, maintenance requests, and other relevant property activities. Utilizing high-quality property management software is a hallmark of a reputable firm. Such software enables the company to track and communicate various aspects of property management effectively.
Effective communication is key. For instance, when a tenant submits a maintenance request, the management company should share that request with the property owner. This transparency allows owners to see tenant concerns firsthand, fostering a sense of involvement and awareness. Furthermore, once repairs are completed, contractors should provide photos of their work, offering additional assurance about the quality of service being provided.
Interestingly, many clients eventually stop actively monitoring their property management company because they develop trust. They may not be fully aware of how that trust is built, but it often stems from consistent communication, transparency, and the quality of service received. For example, if tenants are consistently satisfied and repairs are handled promptly, owners naturally feel more secure.
On the flip side, if a property management company lacks regular updates, doesn’t provide photos, or fails to communicate about issues, these are significant red flags. Without sufficient information, property owners cannot gauge whether their management company is performing well. Regular, detailed reports are vital for understanding the health of your investment.
Due diligence is essential when selecting a property management company. This involves not only reading online reviews but also assessing how the company communicates and operates once you become a client. If they are open and forthcoming, it’s a good sign. Conversely, if communication is sparse and information is lacking, it may indicate deeper issues.
Ultimately, the process of identifying a good property management company involves careful observation and evaluation of their communication practices, transparency, and responsiveness. Thorough research and attention to detail will help you find a trustworthy and effective management partner for your real estate investments.
Happy property investing!
