Aside from purchasing your investment properties, the most important business decision you’ll make is deciding which one, of the many, Dallas property management companies is the right one for you and your investment business. It’s sad, but a lot of investors choose a firm without taking the time to thoroughly review the company or its competitors. This can lead to owning rentals that are mismanaged with no way out until your contract expires. Below are a few tips for how to review Dallas property management companies before you make your final decision and hire one.
- Get Recommendations. If you have friends who also own rental properties and have them professionally managed, ask who they use to manage them. By asking for referrals, you’ll be able to get a few (or more) names of companies in the area, which will give you a good starting point. Plus, you’ll already have a few personal recommendations for each company.
- Interview firms in person. Another common mistake made by investors is calling various firms and asking a few questions over the phone, without ever meeting with the managers personally before signing a contract. There is no way you can get a feel for a company, or its managers, without meeting with the for an in-person interview. Some people are much better at answering questions over the phone than they are in person. Not that these professionals would lie to you, but sometimes they stretch the truth more over the phone then they do in an actual interview. Therefore, it’s important that you interview each company you’re considering in person before you sign any contract.
- Make representatives explain fees in detail. During the interview, make the companies’ representatives explain their fees in detail to you. Some Dallas property management companies are good at hiding fees, which will make your monthly (and yearly) expenses higher than you planned. Therefore, make the company show you their contract and go over every fee that they have…including any hidden fees.
- Check credentials. Finally, check the credentials of the managers who will be handling your rental properties at each firm. Also, don’t just take the word of the company that the manager(s) assigned to your rentals are good – ask for personal references from clients they are currently working with. Then, call these people and ask how happy they are with the services they’re being provided with.