When you have rental property that you don’t have the time to manage yourself then you are faced with the choice of a property management company or a caretaker. There are those who will say they are similar but that really isn’t the case. There are some big advantages to working with a property management company you simply don’t get from a caretaker. Let’s look at the pros and cons of each to see which works for you.
Hiring a Caretaker
Most property owners that go the caretaker route do it so they can save money, yes a caretaker can cost you less than a property management company but then you are left purchasing any tools that they might need along with materials. Property management companies have skilled maintenance people on staff with the necessary tools to make any small repairs that your property needs. You do spend a bit more every month but you do get more for your money. There are typically no additional costs associated with their services.
When Things Go Wrong
Anything and everything can go wrong when it comes to rental property and let’s face it you want someone with the right experience to handle it when it does go wrong. Does your caretaker know what to do when pipes burst at 2am in the middle of winter or are they just going to call you. A property management company has seen it all and handled it all. You need the peace of mind knowing that your property is being looked after when you are not around. There are even some companies that are insured for the services that they do for you. Yes, property management companies do cost more but they can also handle any crisis.
Usually independent caretakers are simply handymen that are good at fixing things but don’t really have the experience in managing properties they may be able to fix a dripping tap but how will they handle difficult tenants. Property management companies can do so much more than just basic maintenance, they can make sure your property stays rented, screen tenants for you and handle evictions when needed. They have experience in a variety of situations related to rental property that you just won’t get from a solo caretaker. If you are faced with the choice of a property management company or a caretaker then property management companies are the hands down winners.