When owning a short-term rental, the complexities of ensuring its success can be overwhelming. Whether it’s about selecting the right property, effectively communicating with guests, or expertly marketing your investment, there’s an undeniable value in bringing on expert help. Dive into the top 9 benefits of hiring a property manager. It might be the best decision you’ll ever make for your property.
There are a lot of things that go into making sure an STR is successful—from communicating with guests to maintaining and marketing your property. One thing that is often overlooked, however, is property management.
Property management can be a huge time-saver and headache-reliever. This is why many people choose to hire a property manager instead of trying to do everything themselves. If you’re thinking about investing in a short-term rental property—or if you’re currently managing one yourself—consider these top 9 benefits of hiring a property manager.
1. Time, Money, and Efficiency: Hiring a Property Manager’s Impact on Operations
Hiring a property management company can be a huge lifesaver when it comes to operating a vacation rental. From dealing with guests, to handling any unexpected maintenance issues that may arise, to simply keeping the property clean and tidy, a good property manager can take care of all of the little things that would otherwise demand a tremendous amount of your time and attention. This can save you time and energy. More than that, it can also help you avoid costly mistakes that could potentially damage your rental property or reputation.
Selecting the Right Property Manager for Your Need
When hiring a property management company, it is important to make sure that you select someone who has the experience and expertise necessary to handle your specific type of property. Ask for references. Then take the time to interview potential candidates to find the one that is the best fit for your needs.
Managing an Airbnb is a lot different than managing a long-term rental. So, make sure to look for someone who specializes in vacation properties. While not universally true, you generally want to hire someone that only manages Airbnbs.
Google can help you find property managers in your area. (If you’re in Arkansas, please reach out to us!) They must be willing to provide hands-on management. This is not the business for passivity. If you find a management company you like, ask to see the property management agreement. The property management agreement should be easy to understand and clearly spell out the terms of the relationship.
If your state requires it, also make sure your property manager is a licensed real estate agent or broker. Most states require a property manager to hold the same license as a real estate agent. However, as Airbnb has grown, many ignorant or less scrupulous managers have started management businesses without regard to these requirements. Having your manager get entangled in the legal trouble is a headache you don’t need.
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Understanding the Cost and Value of Hiring a Property Manager
Property management services can sometimes seem expensive, but they are usually worth the investment. When you hire a property manager, you are not just hiring an extra set of hands. You are also hiring years of experience and expertise to help you get your business to the next level. This can free up your time so that you can focus on growing your business, without worrying about the day-to-day operations of your vacation rental.
Most importantly, you can rest assured knowing that your rental property is in good hands. Yes, there is a property management fee, but the time you save and the peace of mind you gain are usually worth it.
Besides, without an understanding of the ever-changing fair market rental rate, property owners leave money on the table. Good property management companies are experts in pricing your listing to maximize your revenue. They can often increase revenue enough to cover their own fee. As a result, you’ll likely find your property management team to be an essential part of your success.
2. Securing Quality Guests: How Hiring a Property Manager Makes a Difference
Opening up your property to strangers can be nerve-racking. You don’t know who’s coming to stay or what kind of people they are. No one will take as good of care of your property as you will. However, there is a huge difference between the typical guest who will respect your place and the guest who will trash your place like a rock star after a gig.
Preventing Property Damage with a Property Manager’s Expertise
A property manager can help you find quality guests through basic screening processes. Tools are available for checking a guest’s past rental history on Airbnb and other similar channels. A good property manager will utilize these to check if the guest has a checkered rental history.
If something comes back, the manager can keep the troublesome guest off your property. While no one can guarantee that some bad guests won’t slip through the cracks, a property manager can minimize the risk.
Safety First: Guest Screening by Property Managers
Having a screening process in place is particularly important if you’re renting out an extra room in your house. While this can be a great way to make some extra money with minimal investment, you are not inviting strangers into a rental property. You’re inviting them into your home.
Guest screening is frequently included in property management services. This can go a long way to helping you feel safe and secure while renting out your space. No property management company can eliminate all risk. However, a good property manager can make an already unlikely bad guest encounter even less likely.
3. Maintenance and Repairs: The Convenience of Hiring a Property Manager
If you’re an Airbnb host, then you know that maintenance issues are inevitable. It’s a fact of life for all rental properties. And when they do, it’s often up to you to take care of them.
If you haven’t gotten a middle-of-the-night complaint about a faulty air conditioner or clogged drain, you probably haven’t been hosting for very long. Addressing maintenance issues can be a lot of work, whether you do them yourself or not.
Fortunately, there is an easy solution: hire a property manager. Property management companies are experts in addressing maintenance requests. They have the knowledge and experience to deal with any issue that comes up. If something breaks in the middle of the night, a good property manager will know what to do and who to call. They’ll probably even have everything fixed before you wake up.
So if you’re looking for peace of mind while hosting your Airbnb, hiring a property manager is the way to go.
4. Organized Operations: The Perks of Hiring a Property Manager
You’re running a business—an Airbnb business, no less. Chances are, you’re pretty busy. Between managing reservations, dealing with guests, cleaning, responding to maintenance requests, and all of the other day-to-day tasks that come with being an Airbnb host, it can be tough to keep everything straight. This is where hiring a property manager can be a lifesaver, particularly if you have multiple properties.
Most property managers can help you stay organized and on top of things by taking care of some of the more tedious tasks related to your Airbnb business. They can handle bookkeeping, keeping track of your calendar, reservations, and finances. They can also take care of things like cleaning and repairs. This can free up your time so that you can focus on more important things, like growing your business.
With the help of a property manager, you can take much of the stress out of running an Airbnb and focus on what’s really important—making money!
5. How Hiring a Property Manager Boosts Your Airbnb Rental Income
If you’re looking to maximize your rental income from Airbnb, hiring a property manager can be a huge help. A good property manager will be able to set nightly rates that are in line with current market conditions, ensuring that you’re making the most money possible from your rental.
The Hiring Decision: Traditional vs. Airbnb Rentals
This is significantly more important with Airbnb than with traditional rental properties because market conditions change daily. Traditional property management companies only have to look at some local comps and set the rent for the lease. The tenant signs a one-year lease, and you can ignore the rent until the next year. This doesn’t work for vacation rentals.
Setting Airbnb Rates
With Airbnbs, most stays are just a few days, and the fair market rate can fluctuate 100% percent or more from one day to another. Tracking these market trends and changing the rates accordingly can create a significant demand on your time. You have to keep up with what your competitors are charging, what events are going on in the area, what’s driving demand, and how much you should adjust your prices in light of these things.
The Real ROI of Hiring a Property Management Service
Pricing is so critical to this business. If your property has 100% occupancy but charges 50% below the market rate, you’re leaving money on the table. Good property management companies can address this issue.
It’s for this reason that the question to ask when hiring a property management company is not, What do property managers charge? It’s, How much more can they make me than I can make on my own? Experienced property managers pay for themselves.
6. Legalities Simplified: Hiring a Property Manager for Regulatory Compliance
Few property managers are lawyers, but quality managers should have familiarity with the law and know where to turn when issues arise. With the proliferation of regulations addressing Airbnbs all over the country, this is more important now than ever.
Understanding Laws with the Help of Hired Expertise
Property managers need to be experts in local, state, and federal law in order to handle regulatory issues that may come up. They need to be able to work with attorneys and other professionals to ensure that their properties are in compliance with all laws and regulations. This can be a huge challenge, but it’s crucial to the success of any property management business.
In addition to all the new laws and regulations affecting the industry, your management company needs to be familiar with the long-standing laws—such as the Fair Housing Act—that affect the hospitality industry. The government at all levels has taken an interest in housing, so it’s important for your management company to be familiar with how all of these different jurisdictions interact with one another.
Avoiding Penalties: The Perks of Hiring Expertise
Property managers who are experts in the law can help you avoid costly fines and penalties, and they can keep your properties running smoothly and profitably. They know how to handle any regulatory issue that comes up, and they have the resources they need to get the job done.
If you’re looking for a property manager who can handle regulatory issues, then look for one who is familiar with the law. A property management company with a lawyer on staff or a law firm on retainer should be particularly attractive.
7. Safeguarding Your Investment: Hiring a Property Manager for Protection
If you’re an investor with property holdings, it’s important to make sure that your investment is well-protected. One way to do this is by hiring a property manager.
Hands-On Care: Hiring a Manager for Regular Monitoring
A property manager can protect your investment property through regular inspections and constant hands-on operations. Your property manager should see your property every week at the very least. This hands-on management will prevent issues from going unaddressed for long periods of time. By doing so, the manager protects your investment from damage and decay.
In this, using your property as a short-term rental holds an advantage over long-term rentals. While after a tenant signs a one-year lease, you may not have anyone puts eyes on the property for months or even a year, an Airbnb property management company will inspect and clean your property regularly. So, you can rest assured that all issues are seen and addressed quickly.
Financial Oversight through Hired Management
Another key role of a property manager is to keep an eye on the financials of your property. They will help you stay on top of things like monthly income and expenses, as well as any long-term investments you may have made in the property. Having a pro-active property manager can help you avoid any surprises down the road that could impact your bottom line.
Overall, hiring a property manager is a great way to protect your investment and ensure its success.
8. Elevate Your Marketing Strategy by Hiring a Property Manager
When it comes to marketing your Airbnb property, hiring a property manager can provide valuable expertise. If you just throw up your listing on Airbnb and forget it, you probably aren’t going to get many reservations.
Creating Stand-Out Listings with Hired Help
A good property manager will create an excellent listing that follows the latest Airbnb recommendations, helping your property to stand out in a sea of other listings. He will also list your properties on other platforms, such as VRBO, Booking.com, and a direct booking site. (Direct bookings are often more profitable because they avoid the commissions Airbnb and other similar channels charge.)
Digital Marketing Mastery through Hired Expertise
A good property management company will also know how to market your property elsewhere on the internet. This could take the form of a social media campaign, guest blogging, a Google ad buy, or a variety of other methods. This can result in more bookings and a successful rental business. Good property managers often more than pay for themselves through increased revenue and bookings, even without considering the tremendous amount of time and work they can save you.
9. Peace of Mind: The Intangible Benefit of Hiring a Property Manager
When it comes to managing a property, there can be a lot of stress and anxiety that comes with the job. Between making sure your property is being taken care of properly, dealing with guests, and handling finances, it can be overwhelming for anyone to try and take on. If you’re managing multiple properties, things can quickly get out of control if you self-manage. This is why many people choose to hire a property manager to help them out.
Property managers can take care of all the day-to-day tasks of managing a property, from finding and taking care of guests to handling maintenance issues. This gives you peace of mind, knowing that your property is in good hands and you don’t have to worry about it. Hiring a property manager can be a great decision for anyone who wants to avoid the hassle of managing a property themselves.
Whether you’re a first-time Airbnb host or you’ve been renting out properties for years, hiring a property manager can be a huge help. A good property manager will take care of all the day-to-day tasks that come with being an Airbnb host and provide a tremendous amount of benefits as discussed above.
This frees up your time to focus on other important things, like growing your investment empire or spending time with your family. And the property management fee is usually quite reasonable. Most charge a monthly property management fee equal to 10–30% of revenue, depending on a variety of factors. All in all, an Airbnb manager can be a Godsend to property owners. Day-to-day management of Airbnbs can be overwhelming!
If you’re interested in learning more about how Weekender Management can help increase your income or even get started in real estate, schedule a call with us today!