4 Warning Signs Telling You to Terminate a Property Management Contract
Break-ups are hard. It’s important to understand when to call it quits with your property manager
By Faraaz Hashmi
It’s very understandable to be very nervous about signing a residential property management contract, especially if this is your first time working with a property manager. It’s a major investment, and you don’t want to encounter any secret traps that may catch you off-guard in the future. So it’s very important to read the property management agreement to understand exactly what you’re getting into, but knowing what to look for into the agreement and the behavior of the property management company, because it will save you from a huge mess.
Skybridge Property Group manages commercial and residential properties in Los Angeles and cities in Orange County, including Long Beach, Newport Beach, Anaheim, and Yorba Linda. We often talk to landlords and investors who aren’t thrilled with the services they’re receiving from their property manager. Today, we’re discussing four warning signs that might tell you it’s time to look for a new property management company.
1. Lack of Communication and Responsiveness
We know that one of the main concerns investors and landlords have is that their property management company does not respond to them in a timely manner. If you have questions or concerns and your property management team takes a great deal of time to get back with you, this is a huge red flag and a good indication it might be time for a change.
Communication to a relationship is like oxygen to life. Without it, it dies.
2. Tenants are Not Receiving Good Service
Another sign that it might be time to find a new property manager is when your tenant has concerns. If the tenant calls the property owner to complain about the property manager, something is wrong in the relationship. If the property manager isn’t handling maintenance requests or repairs aren’t being made in a timely manner, both the tenant and the owner will be extremely dissatisfied.
3. A Property Manager’s Job
As a property manager, it is our job to deliver for the owner as soon as possible. A happy tenant will always renew a lease and remain in the property for a long time. The main reason a tenant leaves a property is because their maintenance issues were not being addressed in a timely fashion. This is why they look for other properties where they do not have to worry about headache of how long they will need to wait before issues are resolved.
Always check reviews and credentials on the property management company before signing a contract with them. It is extremely important to get recommendations and experiences from other people who have worked with them so you can get a feel for how they handle things, especially in regards to maintenance. If your property manager isn’t doing his or her job, it’s time to switch.
4. Finding Success with Your Property
Another frustration for landlords is that their investment is not growing. If you hire a property manager to lease out your property, it is your manager’s job to do it effectively and as quickly as possible. They should be proactive in getting your property off the market and rented to a good tenant. If there are no calls coming in asking questions about your property, it’s the property management company’s duty to adjust the marketing strategy and get the property rented out. This is your investment and it should grow for you, not against you.
These are all things property managers should be doing all the time, and if you have a property manager who is on point with all these things, then you will have an investment that works for you. If you are not seeing your property grow and find success, you may need to consider looking elsewhere – you are at the right place if you are reading this.