Owning a rental property can be a good investment as it generates a steady income, however this is only possible with a landlord who has good tenants that pay rent on time and don’t destroy the units. Managing a rental property becomes difficult and time consuming when problem tenants exist. This is a major reason why hiring a professional property management company has a number of benefits for landlords, especially landlords who own multiple properties. A property manager can save the landlord significant amounts of time and money and make owning a rental property more rewarding. A big benefit to using a property management company is that they will handle all the tenant screening responsibilities. Credit and background checks are very important and some landlords do not run these checks because they either don’t have time or don’t know where to get the reports. Property management firms also handle all the legal aspects of dealing with tenants and maintaining a property. Landlord-tenant laws vary by state and municipality, so it is important to know how to handle problem tenants and other rental issues properly. Property managers handle evictions, property inspections, lease negotiations, lease terminations, and the collection of rent from tenants. They also make sure that each property is in compliance with all property codes and safety laws. These services can help landlords avoid costly lawsuits and legal problems. The property manager controls the entire rent collection process so that landlords do not have to deal with problematic tenants or tenants who don’t want to pay their rent on time. Collecting rent on time every month is essential to paying property taxes and other expenses on time. It is the primary source of income for landlords, but not all landlords control the rent collection process as well as they should because they listen to tenant excuses and allow people to pay their rent late. In some cases, tenants use bad checks to pay their rent and the landlord is stuck with bank fees and other problems. This is where the property manager comes in, to pick up the slack that the landlord can’t handle. A property manager will contact a late-paying tenant until payment is received and if a tenant does not pay as agreed, a property manager can start the eviction process. Property managers also handle lease enforcement. The terms of a lease protect both the landlord and the tenant but the landlord is the one who suffers in the terms of the lease are broken. In a sense, the property manager does all the heavy lifting so that the landlord does not have to take uncomfortable actions. If a tenant is not allowed to have pets and someone reports that a pet is on the premises, the property manager will contact the tenant and demand that the pet be removed within a specific timeframe. If the tenant puts holes in the wall or makes other property modifications that were not discussed with the landlord, the property manager can make sure the tenant pays for repairs. A property manager can save landlords time and money by helping them determine which deductions to claim and get organized each tax season. This can also save landlords from having to pay fines and penalties for filing their taxes incorrectly. Using a property management firm can also help shorten vacancy cycles which can cost a landlord money. A property manager will reduce the amount of time it takes to prepare a property for rent, determine how much rent to charge, and market the property to potential tenants. Once a tenant rents a property, a property management company can also improve tenant retention. It is best to keep tenants for as long as possible and property managers can make this happen by making repairs quickly and helping tenants whenever there is an issue. Most of the benefits of using a property management firm are directly related to saving money but they can add to the personal benefits of a landlord as well. With a property manager, landlords will have less stress, they will have more time, and they will be allowed greater freedom. The landlord won’t be tied down to one location and a property manager will serve an overall benefit to the landlord.