DFW Property Management

Dallas Property Management Company Qualifications

Many real estate developers, investors, and owners of various commercial and residential properties do not have the required time or knowledge that is needed to manage these properties. In many situations, these people hire property management firms or property managers to take on these responsibilities. Because property management involves many aspects of maintenance, the background of property managers is quite varied - everything from financial duties to maintenance and operations. In most cases, property managers work their way up from lower positions within apartment buildings, office complexes, community associations, or property management firms. A large majority end up going into business for themselves, while the remainder feels more comfortable working underneath a larger firm or company.

Property Management and College/University Programs

While there is not a college-specific designation for property management, those who do have their bachelor's or master's degree(s) in business administration, finance, account, real estate and public administration end up having the most opportunity within the field. People with previous experience in real estate sales can also be excellent property managers thanks to their time spent showing apartments and offices to prospective clients.

Property Management Certification and Designation Programs

Throughout a career in property management, there is ample opportunity for higher education through brief training programs, where they learn or improve skills and knowledge in areas such as maintenance of mechanical systems, influencing property values, risk management, human resources, real estate law, tenant relations, and many more. Many related associations offer programs to receive certifications and professional designations that can improve a property manger's opportunity for advancement. While some states require property managers to obtain licenses, it is not uniform among all states. Historically, those managers that have either a bachelor's degree in a related field, or a professional designation, have a better chance at being hired than someone that does not.

Attributes of a Property Manager

Regardless of a person's qualifications, anyone going into property management needs to be able to communicate effectively with people, and have solid speaking and writing skills as well as basic financial capabilities. Many investors and property owners look for qualities such as good negotiation skills, in-depth data analysis skills and creative financial strategies.

Specialization of Property Management

Over time, a property manager usually ends up specializing a particular category of property management- residential managers for apartments, condominiums or neighborhoods, commercial managers for business parks, office space, and retail complexes, as well property managers for retirement communities, homeowner associations, and many others. Taking it one step further, he/she may choose to focus on new property management by emphasizing various marketing strategies and advertising opportunities, or on older properties that are in need of repairs and renovations.

Investment Property

An investment property is generally categorized as a real estate property that is not occupied by its owner and is used to generate rental income or is held for capital gains. Owning a property as an income-producing investment is a common way for investors to diversify their portfolios, and move away from the stock market or other investment funds.

Over 1.1 million homes were purchased as investments in 2008, which was roughly 21% of all existing- and new-home transactions. Despite a decrease from 2007, purchased properties for investment purposes were still over 1/5th of the entire market and the long term outlook for increased demand is positive.

Investment properties can range from single family residential homes to commercial buildings and retail complexes; indeed, finding the 'right' investment property is largely a matter of opinion. When starting the search for an investment property, it's important to have a plan. Start by researching potential cities or neighborhoods of interest and learn about investment opportunities through landlords or real estate agents in the area. Be sure to consider the length of time for the investment; there are both advantages and disadvantages to owning a rental property for the short term and the long term. Also, be aware of pricing and make sure that the rental income will cover your expected expenses and maintenance, even taking possible vacancies into account.

Investment properties are a smart way to invest funds, benefit from tax breaks, and gain equity. Whether a single family home or a retail strip center, investing in real estate is a common and often lucrative way to expand investments and plan for the future.eal estate

Online Property Management

The internet offers a number of different ways to get involved with property management. From educational articles, training programs and professional organizations, to property management companies, software, and interactive websites, many facets of property management are covered online.

For example, there are property managers of all niches and experience levels who share their knowledge via blogs, online articles, and forums throughout the internet. Through discussions, information exchange, and even free forms and contract templates, the online community of active property managers is a valuable resource.

Also, a number of Dallas property managers and Dallas property management companies utilize websites to advertise their services or available properties, and communicate with owners and tenants. For tenants, some managers offer rental applications, work requests and bill pay online to make their company easier to work with and more accessible; for owners, some sites have private or password protected sections with updated reports and information on the status of the property.

Another online management tool is property management software and it is fast becoming a must have for all types of property managers. As a paperless way to consolidate, track, file and organize information on a property or portfolio, more and more managers are turning to online-based programs and downloadable software to make running a property that much easier. Read more about software options in the property management software or free property management software articles.

If you are interested in becoming a property manager, there are countless training, accreditation and professional designation programs available online. Some are seminars which last only a few hours, and others are intensive programs that require months of classes and exams. For additional information, visit the property management college or property management training pages.

With today's emphasis on technology and being online, property management has certainly not been left behind. With a strong presence in education, business, and information exchange on the web, the property management industry has taken advantage of having a presence online.

Property Management and The Law

A critical element of successful property management is compliance with laws and regulations set forth by your individual state as well as federal oversight. However, even having the most knowledgeable and experience property manager at your disposal, or being an experienced real estate investor yourself, doesn't make you immune to problems. In certain situations, you may benefit from a lawyer's assistance, whether it is for representation in a lawsuit or simple advice. Usually these situations have to do with general property management and the law.

Property Management and Eviction

You should be realistic that property management of your rental property could potentially involve evictions. No one likes to evict a tenant, but it might become unavoidable if the tenant's inability to make timely payments or destruction of your property becomes a risk to your cash flow and investment. The eviction process is very detailed and can become very complicated, especially if issues such as bankruptcy are involved. Because most judges will favor the tenant, it is extremely important to educate yourself on the process, follow the specific steps, and keep detailed documentation. Although many landlords successful evict tenants without a lawyer's assistance, but it is always better to at least talk with a lawyer in advance.

Property Management and Discrimination

Even if you diligently comply with fair housing laws you could still be accused of illegal discrimination from a tenant who has been evicted or been turned down for renting. However, being accused and being sued are very different things, and you will probably want to consult a lawyer if it is the latter. Going to court can be extremely expensive, in addition to violation fees if you are found guilty. In addition, such charges could damage your professional reputation, or that of your investment firm. It is important to educate yourself on the statutes of illegal discrimination so that you do not unknowingly put yourself at risk.

Property Management and Welfare of your Tenant

Effective property management includes the maintenance of the property which is being rented, and it is your responsibility to keep the property up to date with all repairs. If one of your tenants claims he/she was injured because of your property, it will be an extremely sensitive and delicate issue. Especially if you do not believe you are at fault for your tenant?s injury, it is best to bring in a lawyer that is not personally invested in the case.

Property Management and Damage

Similarly to the personal injury scenario mentioned above, it is also possible to be sued for property damage. Tenants can claim ineffective property management of the rental property which resulted in unrepaired utilities that in turn damaged a personal item. An example of this could be a leak in the plumbing which caused massive flooding throughout the apartment. Part of basic property management does include acquiring liability insurance, which would probably be at your disposal. Depending on how large of compensation your tenant is seeking, you may choose to just consult with a lawyer and handle the situation yourself.

As you can see, there are always going to be situations that require some knowledge of the law, and how it pertains to property management. It's a good idea to learn what is the right of yourself as a landlord, in addition to the rights of your tenants.

How Do I Find Tenants for My Dallas Homes for Lease?

If you are new to the rental property business, you're probably wondering how to attract and secure quality tenants for your home. The level of involvement you will have in this process will depend on whether or not you decide to hire a Dallas property manager or Dallas property management company. If so, the property manager will take over the responsibility of securing tenants, and you will only be involved for consultations on marketing methods and final approval of prospective tenants. If however, you have decided to take on the responsibility of running the rental property yourself, you will be in charge of finding tenants for your rental property.

Make Your Rental Property Known

The only way that people will know you exist is to tell them. Advertising isn't just for luxury homes. You have to think beyond halfhearted attempts at spreading the word - placing a For Rent sign in the front yard is not enough to attract prospective tenants. Effective advertising should be both on and offline and the local classified ads are a great place to start. Many newspapers also have an online classified section - if you advertise in both of their mediums, you might be privy to a better discount. There are also free publications, magazines and websites where you can post your ad, such as Craigslist, Yahoo groups, and Google groups. The ad should be brief, and contain the most relevant information about the listing, including size, price and any outstanding features (such as a swimming pool or new appliances).

Feature Your Rental Online

You should also feature your property on your company's website. If you have a limited number of rental properties that are privately owned, you can create your own website to feature the property. Your classified and other ad placements should all reference the website for additional information as well as photographs of the property. When taking photos of your rental property, keep in mind that you want people to see the pictures in the best possible light, and include every room in the property. If your property has any outside area that is included in the rental cost, exterior photos should be added as well.

Promote Your Rental Through Flyers

You should also create a flyer, completely with photographs, alerting potential tenants of your available property. You can use the same copy from your classified advertisement, and be placed in public places such as Laundromats, grocery stores, and academic campuses. Make sure that the phone number you list on the flyer is one that will be answered when a prospective tenant calls, such as a cell phone. Many people have a list of potential rental units, and will simply move on to the next advertisement if no one answers.

Set A Realistic Rental Rate

Be realistic and competitive with the price of your rental property. Unless you have substantial experience as a landlord, you are probably not knowledgeable when it comes to settling on a monthly price for your property. Start by looking at other comparable rental units in the classified sections of the local paper and see how much their units are renting for. Remember, the cheapest available unit is the one that is going to get the most prospective tenants. If your rental property is not listed at a competitive price, you run the risk of the unit going vacant for a period of time. This can be extremely costly and have a significant impact on your monthly cash flow. In addition, you are leaving yourself at risk for vandalism and increased utility bills.

Is Your Dallas Property Management Company Doing Their Job?

It can be difficult to know that your Dallas property management company is doing their job, especially since the whole point of hiring a Dallas property manager is to free you up from the routine maintenance and operations that the job entails. You do not want to micro manage your property manager, but at the same time you do want to know that your property isn't in jeopardy due to neglect by the property manager.

An Unhappy Tenant

Many times, you won't know anything is wrong with your property manager's performance until a problem arises. These situations usually begin by the tenant contacting you directly, clearly overstepping the typical chain of command. Regardless, you should take the time to investigate the problem. Your first course of action should be to ask the tenant if they have tried to go through the property manager regarding the conflict. If they haven't, you can direct them to the property manager and generally assume it was mis-education on the tenant's part. If they have spoken with the property manager already, find out the details about what went wrong - did the property manager return their attempts at correspondence? How long ago was their original attempt at contact? If the property manager did return their call, why is the tenant unhappy with the outcome? After you have had the same discussion with your property manager, it's up to you to determine who is at fault, and if so, any repercussions for their actions.

Violations of Lease

If the call isn't from a tenant, it may very well be from a neighbor who has legitimate concerns that aren't being addressed or controlled by the property manager. For example, your tenant may be clearly violating their lease, which should have been caught by the property manager himself. Such situations may be a noisy dog that barks constantly when pets are not allowed in the unit or trash and garbage that has accumulated in the front yard without proper disposal. Your property manager should be performing regular inspections of the property- if this isn't being done, it could lead to property damage or even fines.

Failure to Comply With Regulations

Another way you may find out that your property manager is not doing his job is if you are cited violations in compliance and regulations. If your property manager has not regularly inspected the property, or has clearly neglected following state and /or federal regulations, the financial implication could be quite costly - not to mention costing you a tenant, which leads to vacancies and reduced cash flow.

While there are of course going to be one-off situations, it's important to notice if these complaints and occurrences are happening regularly. It could very well be a problem with the property manager - which ultimately becomes your problem as a landlord and employer.

Do I Need a Dallas Property Manager?

If you have purchased an investment property and are planning to rent it for commercial or residential purposes, you might want to consider a property manager. If you're a first time investor, you may not realize how time consuming effectively managing that property can be - you may become overwhelmed in no time at all. Even if you're a veteran investor, you may think you have enough experience to forgo the expense and manage things on your own, only to find out you're completely in over your head. Both of these scenarios are fairly common, and a property manager can help you with operations of your property.

Property Requires Commitment

Think about the long-term commitment required of your property management doesn't stop with collecting rent. In fact, that alone can prove a headache you do not have the patience to deal with. A property manager can help you deal with the routine management and maintenance issues that will surface quite frequently, especially depending on the size and number of your investment property(s). Other aspects of the job that a property manager can help you with are the back end of operations- bookkeeping, documentation, filing, forms, and portfolio management.

The Value of Your Time

If it's true that time is money, a property manager can be invaluable. Most likely, you know better than anyone just how true this statement is. The majority of investors has more than one investment opportunities going at the same time, or are employing at a 9-5 job during the day. How in the world will you be able to be in two places at once? If this is the case, having a dedicated property manager that will free up your time to pursue your money making opportunities is not only a benefit, but a necessity!

Location of Your Property

You should also consider the geographic location of your investment property compared to where you spend most of your time - a property manager may be more accessible than your schedule or location allows. Even if you live in the same city, your property may be on the complete opposite side of town than your office or home, requiring a minimum of a 1-2 hour commute round trip. On the other hand, you may have invested in a property in another city or state. In both of these situations, it's practically impossible to effectively manage the property(s) in a long-distance capacity. A property manager can be available to the tenant(s) 24/7, and will have quicker access to resources for emergency maintenance situations.

How Much Can I Lease My Dallas Home For?

When it comes to setting a monthly rental rate for your house, there is a basic equation to follow - you want to make the most money with the least amount of effort. Establishing the ideal rental amount without having vacancies is crucial to making a profit in this equation.

There are factors that will influence the lease price you are able to set for your house, and the most important of these is location. If your house is close to where people want to be (such as a college or university, major shopping area, or office park), or close to a major transportation venue (such as a subway, city bus, or train) you will have the best chance of collecting a higher rent. However, if there are many rental units in this same area, you have to make sure your rental price is competitive. The opposite can also be true - if your home is in a less than ideal location, you may have to lower your rate to attract tenants.

Here are some basic steps for determining the optimal rent for your house:

1. Look at the local and regional classifieds for houses of similar square footage, number of bedrooms and bathrooms, yard space (if applicable), and features. This should give you a good idea of what other landlords are charging for rental houses. Using the same approach, check out various web sites dedicated to rental properties such as Craigslist, Yahoo groups, and Google groups.
   
   
2. If you feel comfortable doing so, ask your neighbors if they are renting their property and if so, how much they pay each month in rent.
   
   
3. Ask friends and family for their advice or experience in renting their houses. You can also contact a local real estate agent - they are usually willing to share advice and opinions if they have the time. Chances are you probably know someone that is a real estate agent - don't be shy. Call and ask a Dallas Realtor if you could get their professional opinion about renting your house, and bounce rental rates off of them for suggestions.
   
   
4. If your house hasn't been appraised for a long time, consider hiring an appraiser. He/she can give you an accurate value of your house in addition to checking on the rental rate of your neighborhood.
   
   
5. For a basic approach, place ads at your ideal rental rate, and lower the rate until you find a tenant.

Even after you have secured a tenant for your home, make sure to re-evaluate your rental rates every so often, such as when the tenant's lease is up for renewal. Another thing to keep in mind is that the amount of money you rent your house for can impact your property value, which is especially evident if you decide to sell your house. Investors will not want to purchase a property that has a low rate of return.

I'm Trying To Sell My Dallas Home, But It's Not Selling

You've put your house on the market, but it's not selling. In fact, no one has come by in weeks. The lack of prospective buyers is enough to send you panicking. There are a few common problems that may be keeping those buyers away from your listing. The good news is- you can do something about it.

Is Your Home Overpriced?

Regardless of how much you THINK that your house should be worth (the renovations you put in, the neighborhood you live in, how much you paid a certain numbers of years ago), you have to be realistic about the price of your house. If your home is currently overpriced, even by as little as 5%, potential buyers and real estate agents will notice right off the bat. The problem is, by overpricing your home, you are competing with homes that are in the higher price bracket. The catch is - they can justify it, while yours can't. You want to offer your home at a competitive price - a good place to start is listing your home 2% less than the last comparable sale. In addition, if your home is languishing on the market solely because you refuse to come down in your listing price, agents and buyers may begin to think that there is something more to the story, that there could possibly be more serious reasons that the house hasn?t moved. Long story short- it's going to keep every potential buyer away from your home.

Does Your Home Need A Makeover?

If you had the choice, and all pricing was the same, you'd rather go for the shiny new red Corvette than the used model that sat in the back of the lot. The same is true with houses - the truth is that your home is up against brand new homes in the suburbs complete with 2.5 kids and a white picket fence. Even if your house makes up for the quality inside, it still needs a quick makeover if you want to catch the eye of a prospective buyer. If you're thinking that a makeover requires an interior decorator and thousands of dollars in budget, you're wrong. For the most part, your work will solely be cosmetic - a few coats of paint, planting some new flowers around the mailbox, getting the carpets cleaned professionally, and mowing the front lawn. Inexpensive, but possibly enough to get a second look by the buyers that passed by before.

Location, Location, Location

Unfortunately, if your home is located in a poor school district, on a busy street or intersection, or bordering a liquor store, you usually don't have much bargaining power. Your best bet is to hype up the positive parts of your house, which can usually be catered to the prospective buyer (such as a shorter commute to his/her office or a dog park within a 2 block radius). You will probably have to compensate for the less than ideal location by lowering your price or offering incentives to the buyer (for example, a lease to rent arrangement).

Beware of Bad Apples

Just because someone is a realtor doesn't mean they are going to have the best interest of your house at heart. The truth is, real estate agents are human just like the rest of us, and there are some bad apples. These include agents that convince you to overprice your house, don't follow up on prospective buyers, don't keep you informed of the sale status, don't screen for qualified buyers, and unfortunately, many more. Remember, you don't have to put up with a bad listing agent - while it can be daunting to start over with someone new, it's worth taking a chance on a new agent than sticking with a worthless one.

Make Your Presence Known

It's not enough to slap a few fliers at the local grocery and hold an open house on a Tuesday evening. These days, top real estate agents employ sophisticated marketing techniques to increase the exposure of their properties - listing tours, direct mail campaigns, newspaper, TV and online advertisements, email campaigns, open houses and presence in real estate pubs. If your house isn't getting this kind of exposure, it's probably not getting enough exposure to get the attention of a serious buyer.

How to Find the Right Dallas Property Manager

Making the decision to enlist the help of a Dallas property manager in maintaining your residential property is a great first step, but the actual hiring process can be intimidating to veteran investors and first time owners alike. It's important to hire a property manager that you feel comfortable with - and that includes aspects such as management style, industry experience, and cost.

Outline Your Objectives

The first thing you should do is determine exactly what you are expecting the property manager to do. It doesn't matter if you have the jargon exactly right, but be as specific as possible in regards to what tasks need to be performed and what the duties will be. You may choose to do this step before you even approach a management company about the position, or you may feel more comfortable using the company or potential property manager as a resource in specifying these duties. Some things you will want to consider include the process for securing tenants, collecting monthly rent payments, eviction (if necessary), tenant disputes, maintenance and repairs.

Do Your Homework

Research the potential management company or property manager to find out as much information about them as you can. Start with the company's website, as well as using internet search engines to yield any newsworthy items. Feel free to ask friends or fellow investors about their experience with property managers and for recommendations and contacts. Come up with a list of questions to use when meeting with a potential property manager, which are a combination of general industry questions and requirements as well as items specific to your property and expectations.

Questions For The Property Manager

There are going to be many items that will be important to consider when it comes to a property manager, some of which include: How much experience does he/she have in property management? What insurance, state licenses and credentials does the property manager have? Does he/she have experience in complying with housing regulations (such as the Americans with Disabilities Act)? Does he/she have proper qualifications and knowledge to handle booking and accounting information? What expenditures will be included in the property manager's fee (such as advertisements for vacant properties)?

Know The Cost Structure

When it comes to the cost of employing a property manager, property management fees are determined by a combination of property location, number of properties involved in management, and the services that will be performed on behalf of the manager. Some property managers charge a flat monthly rate, while others operate on a percentage of the property's rent. Be sure that you are completely clear on the property manager's cost structure, and that you and the property manager agree in advance on the financial treatment of any additional services.

Make It Official

Talk with a qualified attorney, as well as the property manager, to discuss safeguards that will protect you from misuse of funds and embezzlement. It's important to sign a written agreement on all terms you have settled on with the property manager before any services take place. The paperwork should include the length of time that the property manager will be employed, including a date for renewal, as well as contingencies for a breach in contract.