We often talk to unhappy real estate investors and landlords, unsatisfied with the professionalism, integrity, or results of their Denver property management company. With so many North Denver property management companies to choose from, it can be difficult to identify the best one for you. We created this guide to help real estate investors like you better-interview prospective property management companies on the front end to help avoid conflicts in the future.
- How long has your company been in business?
Many real estate agents have tried to compensate for slowing home sales by starting property management companies. When vetting your prospective property manager, you want a company with a proven track record for success in property management and leasing, not to be a test case for a Realtor dabbling in property management. Don’t fall for the line “our office has 20 years combined experience” as this could really mean 5 people with 4 years each!
- How many properties do you manage and can I get references?
Make sure the company has a portfolio that shows experience but not so many that you become just another number to them. Do your research by checking references but also read unbiased reviews on Google, the Better Business Bureau, and Yelp. Do online research in the city where the property is located; for example search 'Thornton property management' if your home is located in the North Denver area.
- What is the worst problem you’ve encountered and how did you solve it?
An experienced property manager will have encountered many challenges throughout their career and should have clear and defined procedures for how they respond to problems.
- How will you market my property to get it occupied fast?
As an investor, your worst-case scenario is a vacant property. Find out how the property manager will market your property and place a quality tenant. A comprehensive marketing method will leverage professional signage as well as extensive online advertising. How many websites will they list your property on? 60% of renters look on more than 5 sites and 25% of renters search more than 10 sites when looking for housing. You want your property listed on at least 50 unique websites.
- How will you qualify applicants and do you do it in-house?
This is an important aspect of leasing. When an individual is interested in renting your property, they should complete a detailed rental application and be thoroughly screened. The property manager should review the applicant’s income, employment, credit, criminal background, eviction history, and sexual predator history. This information should then be analyzed through a model helping to ensure an optimal tenant is placed. Also make sure the property management company calls the applicant’s current and prior landlords - many do not! We recently had an applicant for a rental managed home in Longmont, but the detailed background screening report showed us he had recently been evicted by a professional property management firm in Westminster.
QUESTION: Are Colorado Property Management companies regulated?
ANSWER: Yes. In order to practice property management in Colorado the firm must have a valid real estate license and is regulated by the Colorado Real Estate Commission
For the full 20-question PDF, click here.
Have questions? Give us a call, 303-255-1990.