Did you know that while you have the chance to secure a certain revenue price per tenant that there are still a lot of risks involved, like losing four to six times the monthly rent rate out of your pocket? There is such a thing as a 'wrong' tenant'. This is why proper tenant placement is a requirement for property owners.
This is especially true for those that want to see a significant return on their investments. If you own a property or more than one, it's time to decide on the management route you want to go with. The models you will need to choose from are rental management and tenant placement.
Both options have advantages but depending on your preferences, one method will be more appropriate. Keep reading to find out how to decide between the two.
Rental Management and the Best Options for Your Investment Profile
Managing your rental property portfolio can be difficult if you don't know how to sustain successful properties. It takes more than buying, fixing, and then filling a home. Rental management, especially if you own multiple properties in different areas, requires entrusting your day-to-day operations as well as maintenance to a rental management agency.
While it's possible to do it on your own, most multi-property owners don't because you have to consider the processes needed for;
- Property Maintenance
- Tenant Questions and Inquiries
- Collecting Rent
- Tenant Screening
Working with a full-service rental management company can help to improve your assets by using streamlined management systems and tapping into advanced market experience.
To find tenants for your rental properties, you will also need a good track record that showcases good property maintenance. This should also include positive consistency.
The best way to get far with this tactic is to work with a professional agency. If you require ongoing management and maintenance, rental management would make the most sense.
Getting the Most Out of Tenant Placement
If you don't require ongoing management, tenant placement would be the more appropriate option. Tenant placement involves finding the best tenants for your property. Aside from screening and placing tenants, you would be in charge of the usual operations.
Tenant placement also includes marketing your property. Additionally, professional tenant placement agencies help with facilitating lease agreements.
The concept is to get you started with the right tenant and then everything else will be in your hands. If you later acquire multiple properties, you always have the choice to expand. Rental management could also be something that you use down the line as you enhance your portfolio.
The Best Way to Find Tenants
The best way to find tenants is tenant placement and work with a professional property management group. These professional groups know how the process works. You will also have the opportunity to start with finding and placing tenants and then advancing to full-service rental management.
Most property owners will do this to increase their ROI, enhance their efficiency, and make expansion simpler. To get started, learn more about what Veno Properties does and how.
