In the current economy, everyone wants an extra source of income. So when you have an extra home or one you aren’t using during your wanderlust explorations, choosing to rent it out to vacationers is not a bad idea. While it may seem like a straightforward thing to do by yourself, it’s always better to have a vacation property management company take care of the finer details of the process. But before you hire one immediately, ask these 7 questions to vet your options.
1. How good is the vacation rental market in this area?
When hiring a property manager or management company, you need to ensure they know what the local market is like. So your first question should be on the local vacation rental market and which properties get the most offers. They should ideally be able to answer these questions and more about the ins and outs of the area. If your chosen manager or service can answer these questions perfectly, then you have a solid candidate in your hand.
“They should be able to give you key insights into what type of properties they have been managing, the rents achieved and general information about the market. The decent ones will have reviews that you can check out also,” comments Ruban Selvanayagm of sell house quickly firm Property Solvers (UK).
2. What are your contract terms and fees?
Once you know your manager has enough know-how of the area, the next thing to ask is the contract terms and the fees you will be paying. This is an essential question as you need to know if you can exit the agreement if you don’t like the services rendered a few months down the line.
3. What services can I expect from you?
This one’s fairly obvious. If you are paying someone for property management, it’s natural to want to know what services you can expect for the fees. Knowing this will give you an idea about what service you can get from them and what you will need to take care of by yourself.
4. How will you market my property?
Most companies advertise your house on their website and channels. But today, that alone won’t cut it. You need to be able to leverage the reach other platforms have. Thus, ensure your management company lists your property in multiple places.
5. How does booking my property work?
The next thing to clear with your potential manager and management company is the booking process. What times will the check-in and check-out happen? What are the timings for booking? What is the mode of booking? Clearing this and streamlining the process can help you reach more guests and reduce the attrition rates.
6. How often will you give updates on the property condition?
Ideally, you should get an update on your property’s condition after each visit and stay. Your manager should also be documenting each stay and any accidents that happened during the time. While they don’t have to pay for it, managers should also get any damages fixed. When hiring a property management company you need to ensure the update timings.
7. Can I get some references to talk to?
Finally, ask for references. Get the number of the present clients from the company or manager. Then, go ahead and give them a call to know how their experience with the manager was. You can also go online to check reviews left behind (don’t believe them all though) and get in touch to get a proper account.
Vacation properties and rentals are a great market these days and bring you an extra source of income. You can always manage your vacation rental remotely by yourself. However, getting professional help always ensures that you get the most out of the rental. The questions mentioned above can help you find the right company for you.