One of the most important habits of a successful real estate investor is planning, but how should you manage your properties?
Both rental management and tenant placement are popular options for investors who want to make managing their properties easier. However, each option has a few pros and cons that can make deciding difficult.
Here at PMI Commonwealth, we can provide all of the advice you need to make the right choice. In this guide, we'll outline what rental management and tenant placement are, so you can start getting good results.
Keep reading to find out which one is better!
What Is Rental Management?
Rental management involves doing a variety of things to maintain commercial, industrial, and residential properties.
When hiring a rental management company, you can expect to outsource tasks like tenant screening, inspections, property marketing, and much more. Because of this, many investors choose to hire them immediately after buying a property, and sometimes beforehand.
What Is Tenant Placement?
Tenant placement is similar to rental management in that it can help you get more out of your properties.
However, tenant placement services do not offer everything that property managers do. Instead, they focus solely on filling properties with tenants, so the main things they do are marketing and screening.
Which One Is Right for You?
Choosing between rental management and tenant placement is simple after considering two main things: your budget and desired services.
Regardless of the types of properties you own, each option can help you. Yet, the amount you're willing to spend and what you want to do with a property will determine which option suits you best.
Budget
Because rental management involves more than tenant placement, it may be more expensive to hire a manager. However, rates vary depending on the company and what exactly you outsource to them.
For example, if you only want to outsource things like property inspections and maintenance, you may not pay as much as you would by outsourcing those along with tenant screening and marketing.
Desired Services
If you would like to focus on other investments, rental management is also a better option because you can give a company full control over your properties.
Contrarily, if you want to stay involved with your properties and their tenants, tenant placement may be better. Opting for tenant placement would allow you to continue managing your properties the way you'd like without having to break the bank.
Invest Better with PMI Commonwealth
As you can see, both rental management and tenant placement are great options for any investor who wants to improve their properties. However, in many cases, rental management is the best option if you want to maximize profits.
Fortunately, PMI Commonwealth provides full-service rental management that can help you get the most out of your properties in Charlottesville. We've helped many investors of various backgrounds throughout the years, so we know what it takes to make an investment property successful.
Contact us to start transforming your real estate portfolio today!
