Q. How can I evaluate the "real" cost of property management?

A. Property management cost is important, but it is a blind cost indicator without also taking into consideration how effective it is in reducing your vacancy rate and optimizing tenant performance. Evaluate carefully the kind of services and resources used to support successful tenancies, because it will lower the "real" cost of being a landlord.

Consider the following: It is no accident that you "found" our website. It is very costly to keep our website favorably indexed on the major search engines and directories. The daily updating of our database keeps our rental listing current and relevant. While it is expensive to operate and maintain a website of this quality, it gives our owners an overwhelming advantage for having their rental properties "found" by thousands of prospective tenants.

That translates into less vacancy cost and a better opportunity to gain a qualified tenant. We provide a leasing staff  that is available to show your property to prospective tenants 7 days a week.

Q. How much do property management services cost?

A. Our management fee is ten percent (10%) single property and nine percent (9%) for multiple properties of the gross rental income per month. There is a $195 administrative fee and a $500 reserve upon signing the "Management contract". The reserve will be used for marketing the property and any required repairs, upon the owner's approval. There is a $545 lease-up commission when the property is leased.

Q. How long will it take to rent my house?

A. There are multiple factors that have to be taken into consideration to answer this question. Here are some general guidelines to consider, however keep in mind that amenities and location are important factors in predicting success.

Homes priced under $1000 per month are affordable to far more people than expensively priced homes, so rent much faster. The vacancy factor for less expensive homes is usually from 3 to 5%. Since we start marketing our homes one month before a current tenancy ends, frequently the home re- rents before the present tenant moves out.

Homes that rent from $1000 to $1250 are a little more challenging but often rent within a 30-day period. A correctly priced home in this price range may have a vacancy rate from 5 to 8%. Luxury Homes priced over $1500 per month are most challenging. Additional advertising and the use of the Multiple Listing Service are recommended. While it is always difficult to predict a vacancy factor with more expensive homes, it is noteworthy that many do rent quickly.

Generally, it is more challenging to rent a townhouse or condo than a house. Condos have similar amenities and living environments as apartments. When  here is an oversupply of apartments, as there is beginning to develop now, apartments offer move-in incentives that are difficult to compete with. Homes are more immune to this competition.

Q. If I place my home in property management, how much control do I
have in making management decisions?

A. As much or as little as you want. Take for example maintenance decisions. Most owners place about $500 in a reserve trust to be used in case of minor repairs. They don't want to be notified every time a faucet leaks. However, if there is a more expensive repair, they do want to be contacted and involved in evaluating the bids and choosing the vendor. We will work out an understanding with you about the degree to which you want to be involved in tenant selection, maintenance and repair issues, setting rental rates, etc.

Q. How can I go about getting a copy of your Property Management Agreement?

A. Send an email to dave@thewoodsgroup-pm.com and ask for the password to access a copy of our agreement. We will get right back to you with the login information. Be sure to include your name, telephone number and a valid email address! Once you receive the login, simply click the link in our menu under Property Management/PM Agreement.