In an ideal world, landlords would just set up rental properties and go on with their lives as the rental income streams in. Unfortunately, in the real world, managing a rental investment property can be brutal. From struggling to find tenants in tough markets to dealing with terrible tenants, being a landlord can turn out to be one of the worst decisions you've ever made.
The good news is you don't have to experience all that trouble. There are experts in the industry who can help you with various tasks, such as tenant placement. Or, you can decide to outsource everything to a rental management company.
Which option should you go for?
What Is Tenant Placement
Tenant placement is the process of sourcing tenants and "placing" them in a vacant rental unit. The service is provided by third-party companies.
When you hire a tenant placement service provider, their job is to ensure your vacant property gets a tenant as quickly as possible. They already have your ideal tenant in their database, and all they need to do once you reach out to them is check the tenant's availability and readiness to move into the property.
DIY landlords who don't use tenant placement services have to find tenants on their own once a property becomes vacant. This might involve marketing the property and screening interested rental applicants.
A tenant placement service eliminates these tasks. You'll get a tenant who's already been screened, so you'll save the time and money you'd have spent on marketing and tenant screening.
What's Rental Management?
As a landlord, you have a lot more duties than finding tenants. You're responsible for maintaining and repairing the property, preparing and enforcing lease agreements, resolving tenant complaints, bookkeeping, rental analysis, and more.
If being a landlord sounds like a lot of work, it's because it is. Many landlords struggle with burnout and stress because they're unable to keep up with their responsibilities.
This is where rental management comes in.
You can hire a full-service property management company to take care of all these responsibilities. You can then take a back seat and wait for the rental disbursements to hit your account every month!
You might be involved in property maintenance and repairs because you need to pay for these services. However, some landlords allow their managers to pay for repairs, but the funds will be deducted from the rent collection.
A full-service property manager will cost you about 10% of your rental income. Is it worth it? Yes, especially if you have multiple rental units.
If you want to be involved to some extent, you can opt for a hybrid property management service. The company will only handle a specified list of tasks, and the rest will be on your plate.
Savvy Landlords Embrace Full-Service Property Management
Tenant placement is a handy service for landlords who want to be involved in property management. However, rental management is the best option for those who want to take a hands-off approach to rental property investing.
If you're a landlord in Wichita, Kansas, PMI Wichita is the full-service property management company of choice. We're locally owned and independently operated, but the experience of the national property management franchise we are part of is reflected in our offerings.
We're ready to receive your call and get to work!
