Is it time to change property managers? 

I’ve talked to plenty of owners over the years who aren’t furious with their property management company. They’re just tired of having to work so hard at the relationship.

They’re following up on maintenance. Asking for updates. Wondering why a property has been sitting vacant. Looking at a statement and trying to figure out what happened. Or they realize they know more about what’s happening at the property than the person they’re paying to manage it.

That’s usually when the thought starts: Maybe I need a different property manager.

If you’re there, don’t start by Googling management fees. Start with what isn’t working now. Otherwise, it’s very easy to switch companies and end up with the same problems and a different logo.

Here’s what I’d look for.

Communication You Don’t Have to Chase

This is a big one.

You don’t need to know every time we change an HVAC filter or schedule a minor repair. Part of hiring a property manager is getting the day-to-day stuff off your plate.

But you should know what’s going on with your investment.

If your tenant gives notice, you should know. If there’s a significant repair, you should know. If your property is sitting longer than expected, somebody should be talking to you about why. And if you send an email or make a call, you shouldn’t have to follow up three times to get an answer.

There’s a difference between keeping an owner informed and making an owner participate in managing the property.

You want the first one.

Maintenance That Goes Beyond Calling a Vendor

Properties break. They just do.

Air conditioners go out during the hottest week in Denver. Sprinklers leak. Appliances die. Hail comes through. Trees need trimming. Tenants report things at 9:00 on a Saturday night.

The question isn’t whether your property will need maintenance. It’s how your property manager handles it.

Do they have good vendors? Do they know what things should cost? Are they catching smaller problems before they become bigger ones? Are they thinking about seasonal maintenance or waiting for something to fail?

And are they following through?

Anyone can call a plumber. Managing maintenance well takes systems, relationships, judgment and a pretty good understanding of when something needs attention now versus when it can wait.

That matters when the property is yours and the repair bill is coming out of your pocket.

Someone Who Knows the Denver Rental Market

Denver’s rental market keeps moving, and owners need a property manager who is paying attention to it.

Rent isn’t just a number you increase every year because you can. There are times when pushing rent makes sense and times when getting a qualified tenant into the property faster makes more financial sense.

An extra $100 a month doesn’t look nearly as exciting after a property sits vacant for another month.

Your property manager should know what comparable properties are doing, what renters are responding to, how long properties are sitting, and how seasonality is affecting demand. They should also be willing to tell you when the market doesn’t support the number you had in mind.

That’s part of managing the investment, too.

More Than a Monthly Statement

A statement tells you what came in and what went out. It doesn’t necessarily tell you how your property is doing.

If maintenance costs are creeping up, why?

If the property took longer to lease this time, what happened?

Is the rent still positioned correctly?

Is the same repair showing up over and over?

Is there something worth replacing now instead of repairing for the fourth time?

You should be able to have those conversations with your property manager.

I don’t think owners need endless reports filled with numbers nobody uses. They need useful information and somebody who knows the property well enough to put those numbers into context.

Someone Who Keeps Up With Colorado

This part of the job has changed a lot.

Colorado rental laws keep changing, and Denver’s market is still evolving. Property managers have to keep up with both.

Over the last several years we’ve dealt with changes involving security deposits, evictions, tenant screening, assistance animals, leases and plenty more. Some changes require new paperwork. Some require a change in process. Some sound dramatic when they’re introduced and end up being much less dramatic once the final law is passed.

Someone still has to read the thing and figure that out.

I spend a lot of time following what happens at the Colorado Capitol because I’d rather know what’s coming before it lands on our owners’ doorsteps.

Our clients have businesses, careers, families and investments to manage. I don’t expect them to spend their nights reading housing bills.

That’s our job.

Don’t Let the Management Fee Make the Decision for You

Of course price matters. I wouldn’t tell an investor otherwise.

But compare what you’re getting for the price.

A cheaper management fee doesn’t save much if a property sits vacant longer than it should. The same goes for deferred maintenance that turns into a larger repair, poor tenant communication that creates unnecessary turnover, or spending hours every month chasing the company you hired to save you time.

Ask questions before you switch.

Who will be managing my property?

How do you handle maintenance?

How do you communicate with owners?

What happens after hours?

How do you price a rental?

How often do you inspect?

How do you stay current on Colorado housing law?

What happens when my tenant gives notice?

And one of my favorites: What happens when something goes wrong?

You can learn a lot about a property management company from how they answer that last one.

If You’re Going to Switch, Make Sure You’re Trading Up

Changing property management companies takes some coordination. There are leases, keys, deposits, tenant records, accounting information, maintenance history and other details that have to move from one company to another.

A good property manager knows how to handle that transition. They should be able to tell you what they need, what they’ll take care of, what needs to come from the previous company and how residents will be brought into the change.

You shouldn’t trade one management headache for another one.

And once everything is transferred, you should notice a difference.

Fewer things on your plate. Better communication. More confidence about what’s happening with the property. Someone else thinking about the HVAC system, the lease, the market, the tenant and whatever Colorado decides to change next.

That’s what you hired a property manager for in the first place.

If you own a rental property in the Denver area and you’ve started wondering whether your current management company is still the right fit, give us a call. We’re happy to talk through what isn’t working, what you’re looking for, and whether Walters & Company makes sense for your property.

Your home is our business.

Lizz Walters
Founder & Head of Business Development
Walters & Company Property Management
lizz@rentgowalters.com