Choosing whether or not you want to hire a property management company is a difficult decision. Some investors don’t dream of investing in a property without having a property management company lined up. Others might want to manage the property themselves. Using a property management company comes down to preferences and whether you want responsibilities taken off your shoulders. 

There are many benefits to property management that can make up for the upfront costs of hiring a company to fulfill the associated responsibilities. Property management companies take care of everything for you, from marketing to fill your apartment to handling unpaid invoices, ensuring tax compliance, and handling move-in and move-out. 

At Integrated Mountain Group, we believe you should be able to enjoy the passive income you were promised when you invested in real estate. That’s why our Colorado property management, real estate, and HOA management team ensures all of the particulars of your investment are taken care of. When you join Integrated Mountain Group, you save time and effort upfront, money in the long-run, and you enjoy the freedom to invest in more properties. 

Continue reading to learn more about the ways Colorado property management companies can ease your real estate investment endeavors. 

What Is Property Management?

Property management describes the practice of a third party maintaining a residence’s appearance and functional ability. Property owners typically hire property managers to ensure the effective management of daily operations and property maintenance. These companies can handle various property types, ranging from single family homes to full-sized vacation rentals. They may also manage condos, apartments, mobile home communities, and office or retail spaces. 

Property managers also have the responsibility to fill any property vacancies. As the name suggests, property management can handle every aspect of a rental home, including marketing, lease signing, and collecting rent. Few strategies are more beneficial for rental portfolios than opting for a rental property management.

Choosing to use a property management comes down to a few factors for most. Some real estate investors prefer to have a property management company locked in before even signing the papers. Other investors are tentative to choose a property management company because they enjoy the DIY approach. Regardless, the benefits of a reputable property management company are undeniable. The time and effort a property manager can save you will free you to take on more investment opportunities and increase the chances of growing your bottom line. 

Do I Need a Property Management Firm?

Property management companies offer several advantages but you have to balance these benefits with the overall cost. Plan on hiring a property manager if any of the following scenarios sound like yours:

1. If you plan to rent multiple properties, managing these rentals can become too much for one person. 
2. The more rental properties you have in your portfolio, the more difficult it will become to manage them. 
3. If you are removed from your properties, you will likely need a property management company to ensure the continuing functioning of your property. 
4. Owners who view their property as an investment will likely want to enlist the help of a property management company. 
5. If you view the property as a passive income, you will need a property management company to ensure your property creates income that doesn’t require work. 
6. Hiring employees, such as a resident manager, also comes with several responsibilities you won’t want to shoulder. 
7. These responsibilities include factors such as payroll and legal implications. Property management companies are not your employees so they will save you from the administrative responsibilities and legal liabilities that come from having employees. 
8. If you can afford the associated cost of a rental property management company, why wouldn’t you enlist the help of an agency? Property managers will take a portion of the rent you charge anyway. The same fee paid toward a property management company can help you establish more properties in your name. 
9. If you have multiple other business ventures, you’re retired, or you simply don’t want to take on the added stress, you should consider unloading responsibilities to a property management company. Even if you don’t mind managing your own property, you might not be able to fulfill all the required responsibilities. 

If you have a property available in the affordable housing sector, you will be liable to receive grants, tax credits, and loans with low interest rates. With these benefits come more complex rules to observe and a property management company can teach you the various ins and outs to help you along the road. 



What Does a Property Manager Do?

Yes, property management companies cost money and they can detract from your bottom line…if you choose the wrong property management company. Reputable property management companies will be able to add value to your investment immediately.

Reputable property management companies will be able to assist in the following areas: 

• Rent collection from tenants. 
• Maintenance requests. 
• Defaulting tenants months behind in rent. 
• Property marketing. 
• Vacancy listing. 
• Reports and detailed records of the various happenings at the property. 
• Simplify your tax obligations. 
• Draft and execute new leases.
• Real estate studies and ideal rent rates. 

Rent Collection 

Collecting rent might seem simple but it can be time consuming. Having someone handle all of the various associated tasks can free a substantial portion of your time. There is always the possibility that tenants cause legal issues. If you don’t have a property management company, you have to handle all of these issues yourself. 

Property Maintenance

Ongoing maintenance on your property takes time. That’s why this is one of the largest driving forces behind real estate investors using a property management company. Property management companies don’t only help with maintenance requests. They also ensure prompt customer service. You can’t control when things go wrong at your property. Unless you want to be on call for 24/7, you will need to enlist the help of a professional who can respond to tenants’ needs at all hours. 

Property management companies offer assistance in the following areas: 

1. Lawn care 
2. Appliance maintenance 
3. Drywall patching 
4. Plumbing issues 
5. Preventative maintenance
6. Pressure washing
   

Sourcing Tenants

You might underestimate how much time it can take to find a tenant for your property. The best property management companies reduce the time expenditure from marketing for tenants, showing units, and screening prospective renters. These companies have to bring a lot of expertise to the table. They also supervise move-in and move-out activities. 

Bookkeeping

Who enjoys tracking finances and remaining compliant with taxes? Nobody. That’s why you outsource those duties. While balancing your books might not be the most enjoyable occupation, it’s one of the most important. Minimizing taxes, maintaining relationships with various vendors, and keeping a healthy cash flow will keep you from financial headaches. You don’t need a property management company for this task alone. Instead, you can contact a bookkeeper. But if you decide to outsource your accounting, you should probably consider consolidating your outsourced duties under one roof. 

Bottom Line

Property management companies take the administrative and maintenance burden of real estate investment off your shoulders. Using the most advanced technology, they simplify every aspect of property management, from marketing to move-out. 

Yes, these companies require a fee, but the time and effort you save by enlisting their help frees you to invest elsewhere and expand your portfolio. Over time, these companies also save you money because they handle the administrative, compliance, and maintenance labor. They can also prevent you from landing in potential legal hassles. 

If you’re interested in saving yourself the time and stress that comes from investing in real estate, contact Integrated Mountain Group today. We specialize in residential property maintenance services, HOA management, real estate services, and property management services that let you rake in passive income and enjoy your investment.