Is it worth using a property management company in Houston?
It depends on you and your specific needs and situation.
For many homeowners, hiring a professional Houston property management company is worth it. Among the advantages of hiring one is that they handle day-to-day operations, maintenance, tenant disputes, tenant screening, and marketing your home once a lease expires.
Ask yourself these questions to see if you’d need one:
Do you have a lot of Houston rental properties? The more rental units you have, the more you may benefit from having a property management company.
Do you have time to devote to your rental business? If you have a day job and aren’t interested in being a landlord full-time or simply are more interested in investing your time in growing the business by looking for properties to add to your portfolio, then you should definitely consider hiring a property manager.
Do you want to handle all the facets of renting your home out? As a landlord, you’d need to list and advertise your home for rent, screen tenants, draw up the necessary paperwork, collect rent, maintain the property, and handle disputes and evictions, among other things.
Are you familiar with fair housing laws and local laws for both landlords and tenants? An expert property management company will be well versed in both and can ensure that your listing, screening, and management don’t break any local or fair housing laws.
Do you live near your rental property? As a landlord, you may need to deal with a variety of issues, from leaky pipes to broken A/Cs. Dealing with issues may not be ideal when living far away and may be more challenging to manage when living out of state in a different time zone.
Hiring a property manager may not be for everyone, however, they can provide peace of mind, ensure profitability, and help avoid costly mistakes.
How much do Houston property managers charge for their services?
Fees vary, but most property managers in Houston charge a monthly management fee between 8% to 12% of the rent collected. Some will charge a flat fee according to how many rental homes you have.
Before you sign with a property management company, make sure that you ask for a breakdown of costs. Additional fees may include leasing fees, renewal fees, or maintenance coordination fees.
What do property managers do? Do they do everything for you?
A professional Houston property manager typically handles everything from marketing and leasing to rent collection, maintenance coordination, inspections, and tenant communication. Some companies also offer financial reporting and 24/7 emergency support. Their goal is to take the workload off your plate while protecting your investment.
When checking out property management companies, be sure to interview them and ask for a clear list of services that are included in the fee. Extra services, like financial reporting and maintenance coordination, may cost extra.
Want to look into having an expert property manager handle your Houston investment property? Contact us by emailing Info@AreaTexas.com or call us at 713.972.1222.
Should I hire a property manager or do it myself?
If you have the time, experience, and systems to manage tenants, maintenance, and legal compliance, self-managing may work for you. But if you're busy, out of state, or unfamiliar with Texas landlord-tenant laws, hiring a professional can save you money and headaches in the long run. As an investor or an out-of-state landlord, you may find getting property management in Houston to be the smarter, more efficient option.
Read more about the 5 Challenges of Residential Property Management.
What should I ask when hiring a property manager?
What services are included in your management fee? Many property management companies will offer a standard set of services, however, do check if their services fit what you actually need.
What other services do you offer? Some landlords prefer a truly hands off experience, so it pays to know what other services of which you can avail.
How do you screen tenants? Are you licensed and insured? Houston property managers are licensed Realtors and are well-versed in fair housing and local laws.
How do you handle maintenance and emergencies? You’d want to know if the company has an in-house maintenance team, and if their team can respond to maintenance concerns and emergencies quickly and efficiently.
How often will I receive updates or reports? As a landlord, you’d want to know if your investment property is profitable. A good property manager will send regular updates to you and will maintain transparency and open communication.
Do you have experience in my specific neighborhood or property type? Houston real estate is hyperlocal. This means that neighborhood expertise is important in both marketing and pricing your rental correctly.
What are the disadvantages of hiring a property manager in Houston?
Cost: Management fees will cut into your net income, especially on lower-rent properties.
Potential for Poor Performance: Not all Houston property management companies are created equal. A poor manager can cause more problems than they solve in the long run.
Loss of Some Control: You may not be involved in every decision or tenant interaction. Many property managers will only contact you for emergencies and other major concerns.
What are the advantages of hiring a Houston property management company?
Market Expertise: An expert in the Houston rental market can discuss current trends, neighborhood demand, and market your property well. They can give you solid advice on pricing strategy, and have experience in dealing with issues that may arise along the way.
Minimizing Stress and Saving Time: Being a landlord isn’t as simple as collecting rent. It can become a full-time job, especially when handling tenant disputes and maintenance issues. A good property manager can take things off your plate so you can focus on more important things, like growing your business. Read more about Ways to Grow Your Property Portfolio and Protect Your Investments.
Maintenance Response: Issues can crop up 24/7, and how quickly you can respond to those issues is crucial to keeping tenants happy. Having a company who can handle maintenance concerns quickly can take the stress away from being a landlord.
How to choose the best property management company?
Look for a company with strong local experience, clear communication, transparent pricing, and solid references. Read reviews, ask for referrals, and don’t hesitate to interview multiple property managers in Houston before making a decision. The right fit will feel like a partner—someone who cares for your property like it’s their own.
Ready to take the next step in renting out your home? Contact us by emailing Info@AreaTexas.com or call us at 713.972.1222.
