When looking for a property management company to manage your Hamptons residence, you may not know how to go about choosing the right company to take care of your home.
The property management industry has its own set of laws and standard operating procedures. As a client, it’s important to be aware of the general business standards to which property management companies are held so that you make the best possible decision in hiring a service provider.
Additionally, you’ll want to know what regulations property management companies like Humming Homes are required to follow in order to ensure that you sign with a home management company that’s compliant with all New York State laws. In this post, we’ll go over a few key things to verify when hiring a home manager.
Do property management companies have to have a real estate broker’s license?
In the state of New York, property management companies are required to have a real estate broker’s license if their activities fall within the umbrella of “real estate activities” – these include, but are not limited to:
- Renting out a residence
- Negotiating residential rental fees
- Listing a residence for rent
- Collecting rent payments
Exemptions to this stipulation are limited. Note that if a property management company’s duties are strictly maintenance-related, then the possession of a broker’s license is not obligatory.
If you are hiring a Hamptons property manager to conduct any real estate activities for your single-family home, such as temporary rentals, make sure to verify that they have a broker’s license.
How do property management companies choose vendors?
Property managers often have networks of vendors that they use to conduct general maintenance, inspections, and property repairs. Because property management companies are responsible and accountable for the quality of the vendors’ work, it’s imperative that their vendors are thoroughly vetted and screened.
A reputable property management company will have a set of checks and standards that go into their vendor screening process. When hiring a home management service, inquire into their vendor screening procedure to make sure that they are holding their vendors to a high standard and that they are intent on giving you the highest quality service possible.
What records do property management companies keep?
A good property manager will have a comprehensive, organized collection of all records pertaining to the management of your home. This will include anything related to rentals, such as signed leases, tenant complaints, and rent records. This will also include maintenance records, such as maintenance requests, home repair records, inspection reports, and bills.
When vetting home management services, make sure to get insight into their record-keeping standards so that you can ensure you will be able to access all necessary documentation.
What kind of technology should property managers use?
In this day and age, a good property management company will leverage technology in order to streamline communication with clients and maximize overall operating efficiency. With the property management industry advancing, opt for a modern service that uses a technology-driven approach to taking care of your home.
Humming Homes, for example, offers clients access to a digital platform for centralized communication, easy invoicing, vendor coordination, and more.
What does the property management billing process look like?
Property management companies generally use one of three pricing structures: flat fees, visit-based fees, or project-based fees. In addition to base fees, a number of other one-time costs can apply.
Whichever fee structure a company uses will determine the billing frequency. (Learn more about property management pricing structures.) Additionally, property managers will share invoices from external service providers with a client for the client to then approve and pay.
In any case, it’s crucial that you get an unambiguous cost breakdown when vetting home management services. Don’t sign a contract without having a comprehensive understanding of what you’ll be on the hook for and how often you’ll be charged, and avoid companies that don’t provide total billing transparency.
Humming Homes offers homeowners proactive, comprehensive, quality care of the highest standard. Contact us today to see how we can help with your home management needs.