Last fall on our company LinkedIn page we shared an article from BiggerPockets.com called “80 Smart Questions to Ask BEFORE Hiring Your Next Property Management Company.” We answered some of those questions in a blog post to help investors with research while they’re shopping for a new manager. We’re back now with more answers, and make sure to read our website, too, where you’ll find even more.
Q: What is your monthly charge?
A: Our management fees are standard in the industry, between 6-10% of monthly gross rents including late fees, but most of our units fall into the 6-7% range. See our in-depth blog post about fees HERE. Owners pay that fee only when a unit is occupied and producing rent.
Q: What do you expect from me as the owner?
A: We work with our owners to help them meet their investment goals, but we use a full-landlord approach to management in that we act completely on your behalf. We screen tenants and place them for you, and deal with all calls and final approvals related to each placement. Although our management agreement requires notice to and approval by you for repair costs estimated to be over $500.00, we often do notify our owners of repair costs less than that amount in an effort to prevent surprises on owners’ monthly statements. We appreciate when our owners understand that making repairs isn’t free, and that we do our best to charge in a fair and reasonable manner, whether we’re using in-house maintenance or specialty contractors.
Q: What is your policy on owners contacting tenants?
A: Related to the answer above, we perform all communication with the tenants on behalf of our owners. We would recommend that the only time an owner ever contact a tenant is if they self-manage.
Q: What lease lengths do you offer?
A: Panzera Realty tenants all sign 12-month leases. We never provide month-to-month leasing for a new tenant, but that option does exist at the end of a one-year lease (the lease automatically renews to a month-to-month if proper notice is not given). If we help an investor buy a new building where tenants have been paying month-to-month, we will gradually transition them to our one-year lease during the changeover.
Q: Do you require tenants to pay for damage they cause?
A: Yes. Our lease clearly states that we will charge back a tenant for any damage beyond reasonable wear and tear. We’ll charge the tenant if, let’s say, the toilet clogged because there was a TV remote jammed down in it. We’ll also deduct for damage caused by the tenant at security-deposit return time.
Visit us online or in person (614.291.3406) to discuss any other questions you have about our property management services.