Property Management Responsibilities

Property Management Activities

• Property managers oversee residential, commercial, or industrial real estate.
• They are typically hired by investors to manage the day-to-day operations, maintenance, and upkeep of properties.
• Property managers act as a third-party contractor, ensuring the property’s value while generating income.
• They manage routine tasks delegated by property owners.

Responsibilities of a Property Manager

• Screening potential tenants: They carefully evaluate tenant applications to ensure suitable tenants are chosen.
• Drafting, signing, and renewing leases: They handle all legal aspects of the lease agreements.
• Maintenance of properties: Property managers oversee and coordinate all repairs and maintenance, including landscaping and snow removal.
• Setting up and adhering to budgets: They create detailed budgets for property maintenance, ensuring financial stability.
• Understanding landlord-tenant laws: Property managers are well-versed in relevant state and national laws, protecting the owner from legal issues.
• Collecting rent: They manage rent collection, promptly collecting rent payments from tenants.
• Marketing properties: Property managers actively promote properties to attract potential tenants.
• Supervising other employees: They manage and supervise other employees who assist in the property management process.
• Handling taxes: Property managers ensure that all taxes related to the property are paid on time.

Types of Property Management

• Residential Property Management: Property managers handle rentals, including single-family homes, vacation rentals, multifamily homes, townhouses, condominiums, apartments, manufactured homes, and REO properties.
• Commercial Property Management: They handle spaces like hotels, malls, restaurants, gas stations, office properties, and co-working spaces.
• Industrial Property Management: They oversee spaces like heavy manufacturing facilities, light manufacturing factories, warehouses, and distribution facilities.
• Special-Purpose Property Management: They manage unique property types like theatres, sports arenas, resorts, senior care facilities, schools, universities, and places of worship.

Preventive Maintenance (PM)

• Preventive maintenance encompasses regular scheduled tasks done to prevent equipment or system failures.
• It includes inspections, servicing, and repairs to extend the lifespan and reliability of property systems and equipment.
• PM aims to avoid major repairs by addressing minor issues early, ensuring operational efficiency and tenant satisfaction.

Steps to Develop a Routine Maintenance Program

• Inventory and Assessment:
  • Identify all systems and equipment requiring maintenance.
  • Determine the specific maintenance needs and frequencies.
• Create a Maintenance Schedule:
  • Establish the frequency for each maintenance task.
  • Define specific tasks for each asset.
• Assign Responsibilities:
  • Assign team members or contractors for each task.
  • Provide training to staff to ensure effective task performance.
• Document Procedures:
  • Develop checklists for each type of maintenance task.
  • Maintain records of completed tasks, including dates, identified issues, and corrective actions.
• Review and Adjust:
  • Regularly review the PM program’s effectiveness and make adjustments based on performance data and feedback.

Examples of Preventive Maintenance Tasks

• HVAC Systems:
  • Change air filters to maintain air quality and system efficiency.
  • Inspect components such as belts, hoses, and refrigerant levels.
  • Clean evaporator and condenser coils.
• Plumbing Systems:
  • Inspect pipes, faucets, and valves for leaks.
  • Regularly clean and clear drains to prevent clogs.
  • Test water pressure.
• Electrical Systems:
  • Check for frayed wires and loose connections.
  • Test circuit breakers and ensure they function properly.
  • Inspect wiring for signs of wear or damage.
• Landscaping:
  • Mow the lawn, trim shrubs, and perform seasonal planting and weeding.
  • Check and maintain irrigation systems.
  • Address seasonal needs.

Tools and Technologies for Property Management

• Maintenance Management Software:
  • Schedules tasks, tracks maintenance activities, and manages work orders.
  • Provides reminders and data for performance analysis.
• Checklists and Forms:
  • Standardize routine tasks and ensure completeness.
  • Ensure consistency and thoroughness in routine maintenance.

Measuring Effectiveness of Property Management

• Key Performance Indicators (KPIs):
  • Task Completion Rate: Monitors the percentage of scheduled tasks completed on time.
  • Cost Control: Tracks costs related to maintenance to ensure they are within budget.

Test your knowledge on the essential activities and responsibilities involved in property management. This quiz covers tenant screening, lease management, property maintenance, budgeting, and legal understanding relevant to property managers. Learn how these roles contribute to the success of real estate operations.