Q: What should I expect when hiring my first property manager?

What happens every month? Does a rent check just show up at my office? Do property managers deliver monthly reports? How do I know things are being taken care of?

Want to Find a Local Property Manager?

Do you want a rent check to just show up at your office?

That shouldn’t be a problem – though lots of people today prefer the convenience and security of electronic transfers. I know I don’t like to have thousands of dollars dependent on me finding a specific envelope among the junk mail if I have an alternative!

Rent collected this month and year-to-date – both total and broken down by tenant.
Rent delinquent and for how long, both total and broken down by tenant.
Collection efforts made so far.
Eviction status reports, if applicable, including fees paid and costs to evict.
Current vacancies.
Marketing plan.
Projected lease expirations and renewals.
Balance of funds in escrow or held on deposit against repairs and maintenance.
An accounting of all funds spent by the property manager that you have on deposit with them – often called a deposit register.
Income from laundry/vending machines.
Insurance premiums paid on your behalf, if any.
Current repairs or renovations underway, including amount spent so far, projected expenditures, amounts committed by contract and projected costs.
Photos of any projects or issues, as applicable.
Utility expenses paid on your behalf.
Overtime expenses you may be responsible for under the terms of the contract.
Taxes paid on your behalf or that must be passed on to you by law.
Amounts paid to vendors such as landscapers, exterminators, etc..
Recommended repairs or improvements.
12 month cash flow statement – frequently compared with previous 12 month period or year-ago period.
Anything else you want that your manager agrees to provide you with.
Fees due to the property manager. Most firms are really good at this line item!

Author Bio
Writing about personal finance and investments since 1999, Jason Van Steenwyk started as a reporter with Mutual Funds Magazine and served as editor of Investors’ Digest. He now publishes feature articles in many publications including Annuity Selling Guide, Bankrate.com, and more.