Property Management

    Many times people outside the real estate industry find themselves involved in managing their own rental properties.  While this may, at first, seem like a great way to make maximum money off investment properties, many rental owners do not have all the facts about the Texas Property Code and how important it is to follow those laws when working as your own property manager. 

    While we consider it safest to use a tried and true Property Management specialist who is a licensed real estate professional, we would like to highlight some of the things that those who are trying it on their own should know:

1.  Be prepared.  There is no substitute for doing your homework.  The more you are exposed to and internalize the requirements, duties, and responsibilities of property management, the more prepared you will be for the daily issues.

2.  Be flexible.  This is not a 9-to-5, Monday-through-Friday job, and you must maintain a 24-7 emergency line.  Have systems in place that can address all types of tenant needs at any time of day, any day.

3.  Get--and stay--organized.  It doesn't matter if you manage one or a thousand and one properties--you must have accurate and organized records.  One of the best ways to accomplish this is with an electronic management system.

4.  Screen all applicants.  A simple policy outlining your tenant-selection criteria can eliminate many issues before they ever occur.  Make sure the policy is written, and be prepared to provide it to applicants at their request.  Screen not only for ability to pay rent, but also for credit worthiness, criminal history and past rental history.

5. Don't wing it when it comes to collections.  Collecitons are a major part of property management.  Develop policies that deal with job loss, market down-turn, illness, and the many other reasons that tenants are late with rent.

6. Develop and maintain a policy for inspections.  To avoid unwelcome surprises, institute a simple policy to have any repair personnel check for air-conditioner filters, smoke-detector batteries, locks on doors and windows, and swollen washing machine hoses while they are at the house.  This will also provide you a snapshot of how the property is being treated.  If you plan to do your own repairs on your properties, make sure you know the property code in your area and what repairs must be done by a licensed person such as an electrician or plumber.

7.  Protect tenants' personal information.  You are responsible for the safekeeping of tenants' personal information (birth dates, Social Security numbers, drivers' license numbers, mother's mainden name, etc.) that you have collected.  Keep this data under lock and key and have a policy--yes, written--that you can provide upon request.

8. Consider the well-being of others.  In the end, you will be held accountable for the health and safety of tenants and their guests.  Respond to repair requests in a manner that is consistent with occupants' well-being.

If knowing the laws and tending to the daily needs of tenants becomes too much for you, please let us apply for the job of managing your rental properties.  We have 31 years experience in this area and can help you with any or all of the required steps to managing rentals.  Call our broker, Bill Jones, at 254-773-0900 for more information.