If you’re wondering how to manage multiple rental properties successfully, you’re not alone. The good news is that it’s quite possible. In fact, many people do it as you read this article. It’s a combination of expertise, effort, and leveraging the right resources to ensure efficiency and effectiveness.
Key Highlights:
- Managing multiple rental properties is achievable with the right mix of tools, effort, and expertise.
- Property management software and rent collection apps help automate tasks like payments, maintenance, and tenant communication.
- Delegating responsibilities such as hiring on-site employees or professional property managers can ease the workload and improve efficiency.
- Managing multiple properties alone increases risks like burnout, legal missteps, delayed maintenance, and inconsistent rent collection.
- To succeed, landlords must prioritize time management, tenant satisfaction, and using reliable resources to streamline operations.
Using Available Property Management Tools
Property Management Software
It’s much easier to manage multiple rental properties when you have a single platform to monitor them all at once. There are several options available for property management software, each with features that may be tailored to your needs.
Most have basic functions, such as expense tracking, automated rent collection, maintenance request organization, and tenant portals. You could also choose between paid and free software, with paid versions having more features that can streamline your operations.
Rent Collection Apps
If you feel like property management software is too complicated to navigate, or none are suited to your needs, you can opt for rental collection apps to automate rent payments. It will help make managing multiple rental properties easier since they’re automated.
Research the apps first to learn whether they’re secure, as well as discover the features that come with them. Some versions issue late fees and set reminders for tenants, even allowing you to track when they made payments and how.
Delegating Tasks
Hiring Employees
Some tasks are not meant for just one person. You don’t need to learn how to manage multiple rental properties if you have people helping you. All you need is one person on-site managing the rental for prompt response to tenant inquiries and issues.
They can handle day-to-day operations and report to you when needed. Be sure to hire someone who is up to the job, as a negligent manager can lead to more issues than simply managing all your rental properties yourself.
Hiring a Property Manager
Perhaps the best thing you can do is hire a professional property manager to handle your rental properties, especially since they will have the expertise, experience, and resources needed for your rental business to run smoothly.
Just like hiring employees, you need to do your due diligence first and learn what kind of services the property management company provides. While most offer full-service property management, some may lack what you need to handle multiple properties.
Risks of Managing Multiple Rental Properties By Yourself
You won’t be the first property owner to try and manage several rental properties on your own if you do so. It’s possible, but it comes with completely avoidable risks.
- Time Management Strain: Handling more than one rental property at the same time can overwhelm your schedule, which leaves little time for personal needs or even mistakes due to oversight.
- Delayed Maintenance: If you have several rental units to monitor, missing or delaying urgent maintenance and repairs is more likely. This can lead to bigger problems and leave a negative impact on tenant satisfaction.
- Legal Oversight: Laws and ordinances vary by city and state, and if you have rental properties in several locations, you may need legal support in each to prevent the risk of violations or legal issues.
- Tenant Communication Barrier: Responding to every message, complaint, and request will be difficult on top of your other landlord responsibilities, and can potentially strain landlord-tenant relationships.
- Inconsistent Rent Collection: Without the help of automated software or apps, tracking and collecting rent can become a handful, which will lead to delays and missed payments. Your rental income will be negatively affected, and in turn, your business.
- High Vacancy Rates: Marketing your rental properties is crucial to finding potential tenants, and each location requires rental market research to create an effective marketing strategy. Without doing so, you may face higher vacancy rates and lose income.
- Reduced Property Value: Being spread too thin affects your rental property in a myriad of ways, but many of them point to its value being reduced. Neglecting your property can happen through a lack of regular inspections, failing to respond to requests, or tenant dissatisfaction.
- Burnout: Something that many landlords have experienced at least once is burnout, which happens when you take on many tasks at once. The constant pressure will eventually affect your performance and can lead to your rental business failing.
Managing Multiple Rental Properties FAQs
1. Is it possible to manage multiple rental properties by myself?
- Yes, but it requires excellent time management, organization, and the use of tools like property management software or hiring support staff.
2. What tools can help streamline managing several rental units?
- Property management software, rent collection apps, maintenance tracking platforms, and accounting tools are essential for efficient management.
3. Should I hire a property manager for each location?
- Hiring a local property manager can be beneficial, especially if your properties are in different cities or states. They offer expertise and quick on-site support.
4. How do I ensure consistent rent collection from multiple tenants?
- Automate rent collection using platforms like Buildium, Rentec Direct, or Avail to ensure timely payments and set reminders or penalties for late fees.
5. How do I keep track of maintenance across multiple properties?
- Use a maintenance scheduling tool or property management software that allows tenants to submit requests and helps you track progress and costs.
What Hiring a Property Manager Means For You
Hiring a property management company serves as a way for you to juggle all your responsibilities as a property owner without anything falling through. With the right property manager, your rental businesses will be handled with expertise and efficiency, ensuring a profitable outcome for you.
Here at Wave Property Management, we have 52 years of combined experience as entrepreneurs, and we intend to use that to improve your business. With a 96% occupancy rate and 392 five-star reviews under our belt, we can assure you that we will take good care of your property.
Schedule a free consultation with us today, and we can determine your next course of action!
