What is the Role of a Property Management Company?
Property management covers a broad spectrum of duties, from finding good tenants and maximizing rental income; to ensuring that the property is in its optimal condition.
This means overseeing financial matters, legal aspects, even maintenance budgeting and...
- Rent collection (HPMG provides online rent collection)
- Repair & maintenance
- Evictions
- Leasing/marketing
- Property inspections
- Cleaning
- Accounting/bookkeeping
- Construction/renovation
- Financial reporting/benchmarking
- Outdoor services
- Legal advice
- Property sales
- Financial/investment advice
- Interior design/staging
- Insurance services
How do Owner Disbursements, Payments & Statements work?
Owner payments and disbursements are processed between the 11th and the1th of each month by direct deposit. Owner statements are made available in your owner portal and you will receive and email. When they are ready to view.In the event a tenant pays late, owner draws will disburse once the tenant payment has cleared our account. Owners portal can be assessed through our website https://hawthornepmg.com
What Property Management Services can be Handled Digitally?
- Payments
- Communications
- Rental applications
- Maintenance requests
- Rental listings
- Tenant screenings
- Lease signing
- Financial reporting
- Property Inspections
- Document sharing
- Property accounting
- Virtual showings
HPMG offers these services digitally.
What makes a great property management company?
A property manager needs to be able to be able to listen and communicate, as well as be proactive, involved, current and knowledgeable. He or She should be levelheaded and personable.
There are 10 qualities of a great property management company:
- Experience
- Investor mindset
- Patience
- Aggressiveness
- Professionalism
- Strong communication skills
- Organization
- Tech savviness
- Flexibility
- Ingenuity
What is the length of a management agreement?
The length of a management agreement is 1 – 2years. Entering into a property management contract is not a commitment that should be taken lightly! Understand the terms of the agreement, including length of term, renewal of the agreement and what the process is for severing the agreement if either party is dissatisfied with the partnership.
Should an owner list the property management company as an additional insured?
Most property management companies require that they are listed as an additional insured on the owner’s policy. When a Property Manager is hired, they perform a variety of different services on behalf of the Owner. In general, the Property Manager does not have a financial interest in the home as they are not part Owner. However, they do take on the risk and liability as if they were a Homeowner. Assuming the Property Manager does carry E&O Insurance and General Liability insurance, this only offers protection from claims that are a result of the services provided by the Property Manager. It does not offer any protection against matters concerning the home itself.
So, in essence, the Property Manager assumes all the liabilities of a Homeowner, but their insurance policies do not offer the same type of protection as a Landlord insurance policy. This leaves them vulnerable to claims and lawsuits arising from the property itself. Some examples of where the Property Manager would not be covered by their insurance policy include someone injuring themselves at the property, burglary, fire, water leaks, etc.
A typical Landlord insurance policy will protect the Homeowner against claims arising from these examples, however coverage is not provided to the Property Manager through their E&O Insurance or General Liability Insurance. To solve this problem, many Property Managers now require the Landlord to add the Property Manager to their insurance policy as an additional insured which then extends this coverage to the Property Manager. Below are recommended Insurance Agencies & Companies that provide insurance for investment properties:
Angelica Padilla
Liberty Mutual
Angelica.padilla@libertymutual.com
617-461-2949
www.libertymutual.com/agent/angelicapadilla
Marie V. Guerrier, MSM, CIC
Marsh McLennan
Vice President
Marsh | Account Executive
99 High Street, Boston, MA 02110, USA
Office +1 617-385-0414
Mobile +1 617-697-6438
Fax +1 617-385-0344
Marie.V.Guerrier@marsh.com
