Do I need a property manager?
Property Managers can be incredibly helpful and if at the beginning you thought about saving some dirhams managing your property yourself, you could be losing more than you can afford in the long run.
Vacancy, maintenance, rent collection, eviction… and many more items that you better leave to a full-time professional property manager that will maximize your return on investment and minimize your property related costs.
What does a Property Manager do?
A typical property manager will interact directly, on your behalf, with applicants and tenants. Managers will usually market and advertise your rentals, meet with prospects to host showings, collecting rent, deposit money to your bank account, and coordinate repair issues.
They are also the first line of defense when responding to tenant complaints and will even stand by your side when you have to pursue an eviction or get sued.
8 Things to Consider before Hiring a Manager:
1. How many properties you own?
Most newbie landlords can handle 1 or 2 units on their own. However, when you start to deal with 5-10+ properties and dozens of tenants, you should consider turning some of them over to a professional – especially if you have a separate full-time job.
2. Do you live in Dubai or abroad?
If you live abroad and have more than 2 units, you should consider talking to a local Property Manager who operates in a closer proximity to your rental property.
Some property managers use mobile-based App to provide owners and tenants a 24/7 access to their data and services. As an example, Owners can approve a repair quote directly from the App anywhere anytime.
3. Do you have the necessary skills and local regulations knowledge?
If you have no idea what you are doing, and don’t want to learn, then don’t try to do it yourself. They are many professional and reliable property management professional that you can work with. Compare their services and fees before signing any agreement.
Know your rights and obligations as a Landlord by visiting the useful links below related to rental regulations in the Emirate of Dubai.
4. How busy are you?
Perhaps you are already super busy and can’t dedicate 2-3 hours a week to your properties. Some tenants can be very demanding, and you can receive several requests from a single tenant in a calendar month!
5. Can you afford a property manager?
A typical property manager in Dubai takes a cut of 5 – 8% of the rental income. For some of my properties, I would be losing money every month if I hired a property manager. But for other properties, I have more than enough rental surplus to pay for a manager. I think a great property manager that maximize your rental income, reduce your costs and take away the stress of being a landlord is worth the cut from the rental income!
6. Is your vacancy rate high?
If you feel like your property is vacant too often, then perhaps you need help with your marketing. If you aren’t sure what else you can do, then consider hiring a manager because they often have tried-and-true marketing techniques.
7. Do you have a service-oriented personality?
If you are not a “service” person and are often bittered by regular maintenance calls from tenants, then you probably should take the role of silent investor and leave the management to someone else.
8. Do you mind working with contractors?
Contractors are often needed to maintain the property. If you don’t feel comfortable researching, hiring, and double-checking their work, then you should probably hire a manager.
Our team has more than 50 years of combined experience in real estate, get in touch if you are struggling to manage your properties.