13: Managing Properties in Visual Studio .NET

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13: Managing Properties
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Self-management, regardless of your capabilities, may be necessary if you re outside a metropolitan area Professional managers are not always available in smaller communities, and people willing to manage your property may not pass muster with you The positive side is that a revenue property with no suitable managers is probably small enough for you to handle yourself Many colleges and apartment owners associations offer basic courses in property management Even if you ve never managed anything or anyone before, take the opportunity to learn something new and expand your expertise!
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Soliciting outside help
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Two options exist if you decide to contract out management of your property: For a residential property, you can choose a resident manager possibly one of your tenants to oversee the daily affairs of the property Generally, only apartment buildings with eight suites or more can justify the employment of a full-time resident manager Crunch the numbers to be sure your investment in a manager is worthwhile For a residential or commercial property, you could contract a professional manager, either an individual or company, who would add your property to a portfolio of properties under management The option you choose will largely depend on the complexity of the property and the value you expect to see from employing a third-party manager
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Contracting with a tenant to manage your property has its advantages You may grant the resident manager a cut in rent in exchange for services, an arrangement that can sometimes be more economical than contracting with a professional manager The tenant lives on site, is familiar with the building, and has a stake in making sure the building is in good shape Often, a married couple makes a great resident manager The responsibilities of the resident manager can vary, but generally include the following: Collecting rent Making deposits Keeping the grounds neat and clean Making minor repairs and maintenance Showing vacant suites and signing up new tenants
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Part IV: Building Value: Managing Your Investment and Seeing a Return
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Keeping records Promptly advising you of any problems and serving as your representative to other tenants
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Knowing what to look for in a manager
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Look for the following qualities in a resident manager: Honesty and integrity Conscientiousness and a willingness to do the job, not just take a cut in rent Ability to assume the responsibilities required Pleasant and easygoing personality The time and skills needed to monitor the property and undertake basic cleaning and maintenance The resident manager of a smaller property should command the respect of fellow tenants A resident manager who isn t respected or who incurs the envy or bad feeling of tenants isn t the best person for the job In such a case, you may be better off contracting out management, or selecting another tenant Attempt to short-list at least three desirable candidates for the position of manager before making your decision
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Hiring an individual rather than a management firm as a property manager means you re effectively acting as an employer, if not formally then certainly insofar as you ve got someone reporting to you To ensure the relationship goes smoothly, it helps to follow a few basic principles in choosing and working with the manager: Give the manager a job description clearly outlining his or her management responsibilities Develop a basic policy manual so that the manager knows what to do in the event of an emergency, dispute with tenant, burst pipe, or other unexpected event Your lawyer and another competent professional should review the manual, however basic, to ensure it doesn t open you to legal claims and also reflects current best practices for the type of property in question Have a contract with the manager stating payment terms, notice time in the event you wish to terminate the arrangement, and so forth Otherwise, hiring a property manager is not unlike contracting for any other type of service, except that you may find yourself in contact with the property manager more often than with other contractors with whom you deal
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