Property management is a generic term that underscores the operation, control, and oversight of residential, commercial and/or industrial real estate. Property managers or management companies handle the day-to-day operations at the rental property, including managing tenants, helping owners create budgets, advertising rental properties, qualifying tenants, collecting rent, complying with local landlord-tenant and real estate board laws, and maintaining the property, for a fee. They help owners maximize rental property revenue, maintain the rental property, eliminate costly mistakes, manage tenant relationships, while undertaking preventive maintenance, interior and exterior cleaning, and minimal construction, where necessary.
The day-to-day operations of a property manager vary greatly, depending on the needs of the owner, tenants, and the property itself. In some cases, property managers are tasked with setting the right rent level to attract tenants, setting up a rent collecting system and guidelines, and adjusting rental agreements annually and keeping with state and federal laws. Another core responsibility of a property manager is to look after the building's tenants. They maybe be involved in finding and screening prospective tenants, filling vacancies, advertising listings, handling leases and security deposits, managing daily complaints and maintenance issues and handing tenant move outs and evictions. Property managers are also responsible for keeping the property in a safe and habitable condition, which includes regular maintenance and emergency repairs. They're required to be well-versed in property laws, and have good inter-personal and managerial skills. If there are other employees in the property, such as a concierge or security personnel, the property manager is responsible for making sure they are doing their job. The property manager can set their salaries and even fire them. If there are works being carried out on the property, the manager doubles as a foreman, and ensures that contractors and other repairmen are completing their work in a timely manner.
Property managers are also in-charge of the financial aspect of running a successful rental service. Most owners agree to a set maintenance and management fee at the start of the year, which means that property managers must must operate within financial boundaries, and allocate funds appropriately. Managers should be able to keep thorough records regarding the property, including income and expenses; list of all inspections, signed leases, maintenance requests, any complaints, records of repairs, costs of repairs, maintenance costs, record of rent collection and insurance costs. At times, they might also be required to assist the property owner with understanding how to file taxes for the investment property, or file taxes on their behalf.