When you own rental property, you want to make sure you get the highest possible return on investment. If you’re new to owning investment property, you face multiple decisions, including whether to handle managing the property yourself or hire a property management company. You can easily get overwhelmed.
What Does a Residential Property Management Company like MPDM Do?
It all seems so simple. Place a For Rent sign in the yard and potential tenants immediately call with interest in renting. Then you just sit back and collect the rent checks, right? Not so fast. A lot more goes into managing rental properties. You may have strong feelings about wanting to do everything yourself as a hands-on landlord. But many rental home owners choose to hire a property management company to do some or all of the work.
The following is a list of the tasks we commonly perform for owners.
MDPM evaluates your property and determines an accurate rental rate.
- We provide detailed documentation of the interior and exterior, including photos.
- We offer recommendations on repairs and cosmetic improvements that maximize monthly rent while providing good ROI.
- We gather data on rental rates in the area and work with owners to determine the optimal rental rate. Rent research will vary, but it should include looking at recently rented comparables according to size and type.
- We discuss the pros and cons of different policies, such as accepting pets.
MDPM markets your property for rent.
- We prepare your home to attract tenants.
- We create ads tailored to the property and advertising medium. Some commonly used mediums include Zillow, Trulia, HotPads, Realtor.com and Rent.com along with many others.
- We field calls from prospects for questions and viewings
- We meet prospective tenants for showings throughout the week and weekend.
- We provide prospective tenants with rental applications that are legally compliant with fair housing laws.
- We collect applications for screening.
MPDM performs tenant screening and selection.
- We perform a background check to verify identity, income, credit history, rental history, court records, etc.
- We take all of this information into consideration in order to determine which applicant will be accepted.
MDPM facilitates the move in.
MDPM collects the rent.
- We collect rental payments and disburse to owners.
- We keep in contact with tenants regarding late payments.
- We enforce late fees.
- We issue 7-Day Notices If rent is not paid by the due date.
MPDM handles evictions.
- We file relevant paperwork to initiate the eviction process.
- We represent owners in court.
- We coordinate with law enforcement/court officers to remove tenants and their possessions from your property.
MDPM handles property inspections.
MDPM provides financial services.
- We provide accounting property management services.
- We make payments on behalf of the owner when requested (like HOA dues, if applicable.)
- We provide detailed documentation of expenses through our online property management system. All owners have 24 hour access to their accounts.
- We maintain all historical records (paid invoices, leases, inspection reports, etc.).
- We provide annual reporting, structured for tax purposes, as well as required tax documents, including a 1099 form.
- We provide easy-to-read monthly cash-flow statements that offer a detailed breakdown of income and itemized expenses.
MPDM handles maintenance, repairs and remodeling.
- We provide and oversee all maintenance crew.
- We provide a network of contractors who have been vetted for reasonable pricing and quality work.
- We contract lawn cutting and snow removal for multifamily properties and vacant homes.
- We maintain and monitor a 24-hour emergency repair hotline.
- We handle renovations as well as day to day maintenance.
MDPM handles tenant move outs.
- We provide the owner a quote for estimated damages or repairs.
- We have all repairs that have been approved by the owner taken care of in a timely manner in order to get the property back on the market.
- We re-key the locks.
This isn’t intended to be a comprehensive list of our property management services, but it should give you a fair idea of the scope of Metro Detroit Property Management’s activities.