Owning commercial real estate comes with lots of challenges and risks, but also big monetary rewards. One of the biggest decisions owners can make, that directly affects their bottom-line, is whether or not to hire professional property management for their asset. We know many owners in Baton Rouge that try to manage their properties on their own, but when does that stop making sense and start becoming a liability?
While not every owner, or every asset, needs a dedicated Property Management in Baton Rouge there are situations where hiring one makes sense. Below we help you determine if having Property Management is the best decision for your business.
[bctt tweet=”While not all #CRE needs #PropertyManagement in Baton Rouge there are times when hiring one makes sense.”]
When to Hire Property Management
It has been proven time and again that having dedicated property management can elevate any asset into a smooth running, ROI-producing machine…but it’s not one-size-fits-all.
You should consider hiring property management for your asset if:
- You have the budget. Property management isn’t free. Like any service it comes with a price tag. Expect to see prices that range anywhere from 5 – 10% of the property’s rental income. This will make sense for larger properties that bring in a steady stream of rental revenue.
- You have more assets (and issues) than resources. The more properties you own, the more hands-on you have to be. If you are just one person you will quickly realize you have run out of hands. Owners of multiple assets, or assets that need a lot of TLC, would strongly benefit from property management.
- Asset location is everything, but you’re not located near it. Properties come have issues from time to time. Properties with tenants have issues almost daily. If you don’t live near your assets you will thank the day that you hired property management who is in proximity to handle all of those issues that just “pop up”.
- Have a lot of vacancies…that aren’t getting filled. If you have space in your buildings that has been sitting vacant for 6+ months and you have tried, unsuccessfully, to fill them…you may want to hire a property manager. Not only can they make recommendations for physically making the asset more appealing, they often have tried and true marketing techniques to get your space leased.
- Your property falls under an affordable housing program. When an owner participates in an affordable housing program they need to comply with, an often complicated, set of rules. A Property Manager is fully versed in the many different housing programs and will ensure that your asset is legally compliant.
Finding the Right Property Management for Your Asset
Now that you have decided to hire a property manager, the next question is who? There are many resources on the Internet to help in your search, but the easiest way is to ask two people: fellow property owners and a CRE professional.
The team at SVN/Graham, Langlois and Legendre are experts in the local Baton Rouge commercial real estate market and know how to get the most advantages out of your assets. Contact us today to see how we can help you find the best Property Manager for your asset.
[bctt tweet=”When Do You Need to Hire Property Management?”]
About Us – The team at SVN/Graham, Langlois and Legendre has over 99-years of combined experiencing helping clients across the Baton Rouge area get the most value out of their CRE investment. Contact one of them today with any questions you may have and start seeing the returns in a market that will make sure to give today, tomorrow and for the extended future. To reach us, you can call us at 225-367-1515 or you can send us a message on our website. You can also follow us on Twitter at @svngll or on Facebook.