Real Estate Property Management

One of the biggest decisions you will make as a landlord is whether you should hire a property management company or not. Many landlords manage properties on their own or with the help of an employee, such as a resident manager. Sometimes it happens that landlords need more help when property issues are complicated. This is when landlords need to seek the help of real estate property management companies.

Real estate property management companies can be a huge asset to your company but they don’t come cheap. They deal directly with prospects and tenants, saving you time and worry over marketing your rentals, collecting rent, handling maintenance and repair issues, responding to tenant complaints, and even pursuing evictions. A good property management company brings its know-how and experience to your property and gives you the peace of mind that comes with knowing your investment is in good hands.

A real estate management business is an independent contractor and this helps you avoid the hassles of being an employer. Along with the benefits, hiring a real estate property management company also comes with a drawback of being an expensive one. If you are living far from your rental property, it will be difficult for you to handle property issues from afar. Most of the landlords look forward to finding good tenants to maintain their property in good and attractive condition.

On the contrary, there are few landlords who look at their property purely as an investment and are not interested in lending them to any tenants. In this case, the best option is to hire a real estate property management to handle the property and manage the related issues. Even if you enjoy hands-on management, you will run out of time to concentrate on the growth of your business which will put you in a situation to hire help for your property. Hiring help of a real estate property management company is an attractive option if you can afford the fees for the same. While interviewing management companies, expect to hear quotes ranging between 5% and 10% of what you collect in rent revenue.

Trying to choose a property agent can be daunting, after all you need someone with experience, energy and a passion to succeed! Perhaps even more importantly, someone who will talk to you and honestly discuss how the real estate industry can work successfully for you. In real estate, it’s about service – and that’s what gets results!

Quick Sale of Property: All What to Do

Selling property: A not so quick sale, requiring your efforts

No matter how much financially strong, well connected, well informed and experienced you are, purchase and sale of property is a matter which will always require your deep concern and contemplation over it. You need to check and recheck everything you do. After all a wrong move can cause you a heavy loss. Buying property is far speeded up process when compared against sale of property. The main reason for this is while purchasing property you can easily find a seller who meets your demands in no time. Whereas in case of sale of property you’ve got to wait until some buyer is impressed by your offer. Well, sometimes you might be in a crisis, requiring cash or maybe you get a job at the new place with emergency joining call or whatever the situation may be, you would obviously require to sell your property as soon as possible. Real estate companies or companies which buy property can help out in such cases by purchasing your property though a speeded up process which might finish as soon as in five days.

Plan of action for a quick house sale

There are some actions required on your part if you desire to sell your house as soon as possible. There are bound to be many sellers in the market offering a similar type of property. In order to complete your sale soon you need to compete with them and for that you need to stand out of the crowd. Following are some tips to sell a house quickly-

1. The first and the best move is to contact a real estate agent to plan your sale and know the market value of your property. A real estate agent will fetch a buyer soon for you and give you the best advices on your sale plan.

2. The next move is to enhance the appeal of your property and bring updates which are in your budget. For your property to be sold the major condition is that a potential buyer should like it. You should clean every corner of your home and beautify it before the buyer visits to check your property for the first time. Upgrades are important to add value to the appeal of your property. All this should be done taking the advice of property agents because you yourself may fail to realize the shortcomings of your property.

3. Proper pricing of your property is equally important. You have to balance your best interests as well as market rates while setting up the sale price of your property. The price itself can sometimes fetch your property a buyer.

Selling your home privately

Sometimes you have no time to wait for a buyer at all. In such cases choose consulting a quick house sale company. When you sell your house to a cash buying company, there is no fuss of meeting an agent, having buyers checking around your property, hoardings and all the advertisement, etc. You can privately sell your house to a company for cash as soon as in a week.

Transaction of Property Through a Real Estate Company

When it comes to transaction of property, even the wisest, boldest, smartest and the ‘know it all’ becomes nervous. After all you wish to make either a great investment or a profitable sale. Property matters are always stressing. Yes, they do cost your peace of mind. The process of selling and buying of property is complex as well as tiring. There are subtle fears and doubts’ regarding everything till the deal is not done. When selling a property your ultimate goal is to complete the sale at a profitable price and hand over your property in the right hands. When buying a property you aim to get a property which satisfies your needs at an affordable and right price. But how to do that?

The long and tiring process

Lets us first talk about how to sell your property yourself. The first obvious step is to know the market value of your property and then set a price which is convenient to you. The next move is to get a buyer. But, how? Put hoardings, pamphlets and banners to advertise your property and tell people it is for sale. Inform your acquaintances that you wish to sell your property as they might get you buyers in their contact. Buyers will approach you when they get to know that your property is for sale. They will check your property and if they are impressed by your offer they will buy your land/ house. Then comes the paperwork which concludes the deal. When buying a home, you need to collect info about properties for sale either from advertisement on different platforms or from friends and family. Visit the property and check it in the next step. Then comes the negotiation for price with the seller and the purchase concludes with paperwork.

Why you need an agent?

Well! All this might sound easy, but it is not buyers have to wait for the type of property they want for long. Sellers too have to wait as long as 6 months on average to find the right customer. Even the legal work required in papers makes it mandatory for you to visit Law attorneys dealing with property matters, making the process all the more cumbersome. It is exactly here real estate companies and agents come to your aid.

Perks of contacting a Real Estate Company

Many a times you need to buy/ sell homes in a hurry. Like if you have got transferred to a new place you would like to sell your previous home quickly and buy a new one as soon as possible. As already mentioned the process of transaction of property is complex and time taking. But this tiring burden can be reduced to a great extent when you contact and associate with a real estate company or agent. They have all information about which house is for sale at what price and who are people looking for a house in what location and at what price. So you see the first work of finding and waiting for customers when you wish to sell your property is eliminated. When looking to purchase a house you don’t need to hunt anymore. Your property agent will let you know. Not only they end the hunt, but also assist you with legal paperwork relating to the deal.

Dream Home Abroad: Brian and Jenny’s Sad Story when Buying Spanish Property

Brian and Jenny’s sad Story

Searching for overseas properties Brian and Jenny came to the Costa Blanca to find their Spanish Property, their dream place in the sun.

Brian and Jenny had come to Spain on holiday a few years ago and knew the area well, having spent time on the Costa Blanca and thoroughly enjoyed it. This is the story of how they decided to purchase Investment Property with the aim to settle there for their retirement years but then made probably the biggest mistake of their lives!

They met Madam Elesha in Torrevieja.

Having decided that it would be a good idea to research the investment property market whilst on Holiday, Brian and Jenny had the misfortune on that fine day, to walk into the premises of the worst estate agent Europe has ever seen. Not only was Elisha charming. she was clever. She was also the biggest rogue estate agent on the Costas!

Poor Brian.

Her enthusiasm for her vocation was overwhelming. The shop was full of staff and buzzing with customers, some of whom were gushing with thanks for receiving such wonderful service. One such was a burly Geordie with 2 days growth on his face and with several weeks’ growth on his beer stomach. He had come up to the Madam and thanked her profusely during Brian’s interview. All of this made Brian and Jenny enthusiastic and comfortable in their new surroundings. Elisha perused her book looking for Inland properties, away from the madding crowd for her new clients. Having made some suggestions they all agreed to go and look at about 10 inland properties the very next day.

Brian and Jenny retired to the nearby town and their favorite Bar and had a wonderful evening relaxing in the evening sunshine that was Guadamar.

The next day Madam Elisha collected them personally in her car and set off inland to the hills behind Albatera, a popular town with Brits and Ecuadorians alike and a haven for the Spanish looking for brand new Spanish Apartments (Piso).

However these did not interest Brian too much as he wanted seclusion and privacy and his own Spanish Villa set in acres of lemon trees! They spent all day touring around the area looking at Spanish Property for Sale. Much of it needed attention and they were a little tired even though they had enjoyed a decent lunch. Now they were ready to go back to their Hotel for a well earned Spanish aperitif but of course, you have probably guessed it, when they arrived at the final property, it was a different story! Having shown them a lot of cheap Spanish Property in need of renovation she had saved this one to last. They were now used to seeing what they didn’t like and had downgraded the dream into some form of reality. But here it was, set in olive and lemon groves extending to about 5 acres a Spanish Villa which would need some work to upgrade it but just about ticking all their boxes.

Their budget was 200K and this was 22K over the top. Brian tried to haggle but she was unmoved. Brian and Jenny were immediately committed to this property and the agent sensed it. She knew that she had planted all the right psychological seeds by showing some property in need of a lot of work and had now shown them what she knew, they really wanted.

Brian and Jenny made the classic error of showing their huge enthusiasm for this property instead of playing it cool and dismissive. So taken were they, with Madam Elisha that they acted completely naturally and displayed their emotions on their sleeves.

“Come to the office tomorrow she proclaimed and we will discuss it further!”

Brian and Jenny were thrilled and excited by the prospect of owning their property in Spain; they had a really good night out and rolled into the office the next morning a bit worse for wear.

“Now what do you think” she asked, already knowing the answer. Brian told her what she wanted to hear, it was a bit over the top but they wanted it and they could afford it. She had them in the palm of her hand, in surroundings which they found both professional and re-assuring, but they weren’t quite ready for what happened next.

The phrase”I will need a deposit now” seemed to roll off the tongue quite lazily but still landed with a bit of a slap from a wet fish onto Brian’s face.

Here was the catch. Allegedly, there was another couple interested in the property they had seen yesterday, and they were poised to buy it through another agent. Elsiha told them that she had only found this out that very morning. However a deposit of 20K now, would secure it for them but, it would need to be today and in cash to clinch the deal.

Now I have never really worked this one out, but apparently the sun plays a big part in the decision making process of Northern Europeans when buying Overseas Property in sunny Mediterranean climes. In the UK they would not have contemplated it but in the heat of a Spanish morning they thought it was quite a normal thing in Spain! Without hesitation or deviation they trotted off to the Bank to arrange the cash in fear of losing their dream home in the Sun. With a mix of transfers and credit cards they came up with the loot by 5pm that day; quite a feat for Brian and Jenny. They returned to the Agent’s office to find a bustling scene, Brian was clutching his bag somewhat nervously, and looking around for more of that comfort zone of yesterday. Wasn’t that the burly Geordie sitting in the back of the office drinking coffee and chatting to one of the staff?

Brian could not concentrate but the Madam had spotted him and his bag.

She quickly ushered them into her private office and duly counted the cash.

“Do you have a solicitor or shall I arrange one for you?”

This was more of a command rather than a question. Brian and Jenny did not know any lawyers there. Why should they? Relieved that Elisha was able to arrange such things in minutes was good enough for Brian and he duly signed a document in Spanish which Elisha said was an instruction to the lawyer she had recommended to act on their behalf.

Drinks came in the form of local Cava (Sparkling Spanish wine) and several glasses were consumed in the excited and charged atmosphere. In the course of conversation Brian asked when the balance of monies was due to be paid, as he did not need a Spanish mortgage, having their life savings in an ISA ready and waiting to transfer. He was duly given a lot of information and bank account numbers from Elisha and told to standby for her call.

Brian and Jenny spent a very enjoyable remaining few days making several trips to the new villa they had bought to gaze longingly from outside of the gate, making extensive notes and plans for their future Retirement Home Abroad.

I always recommend a buyer should do this before making up their mind to purchase. By all means make a choice of one or two properties but don’t excite an agent too much. Request return visits, which should never be resisted by the agents, some of whom live in fear of losing the client directly to the seller or another property agent, simply because there is far too much commission at stake. Thirty to forty thousand Euros is not unusual to change hands on the completion date and shared amongst two or more agents or an agent of agents!

What is becoming more reasonable amongst those who adhere to the guidelines of an accredited Association like MyPropertyPal Overseas Property Agents is four to ten thousand Euros.

Brian and Jenny returned home to the UK without a second thought, blissfully happy in the knowledge that they had paid their deposit on their new Spanish Property. Oblivious to the danger they were in and what might happen to them should they continue down their current path. They thought they had achieved their dream and were now looking forward eagerly to Brian hanging up his boots.

Those who are buyers of Overseas Property should never give any form of a deposit to a Property Agent without first consulting an English speaking lawyer, and preferably not one recommended by the agent.

Even then a deposit should be given through the auspices of the lawyer’s office after he has first checked out that the property exists in legal ownership with legal boundaries and without the encumbrance of any debt.

Buyers should be warned not to put up with any agent pressure and to be advised not to rush into buying something they have set their heart on that their head has not properly thought through.

If Brian had only made one visit to the website of mypropertypal.com he would have found this invaluable advice waiting for him!

Good agents may recommend lawyers and they may be bona fide, but it is always better to act independently and check out whether the agent is part of an accredited Property Agents Association.

See Part Two of the Madam’s Tale, for the final episode in this tragic tale based on a true story, of a corrupt rogue estate agent from Torrevieja

By Hugo Raymond

Founder of mypropertypal.com and the Association of myPropertyPal Overseas Property Agents

Postscipt: ask a PropertyPal it’sfree!

Before You Choose a Property Manager, Know These Duties That He Should Fulfill

Opting for property management for your house is a definitely good idea but remember it can be one of the most terrible things if you’re lacking the necessary information.

That being said, it is important for all to have the necessary information about management and the work of the property managers. This is an important part because it helps the property owners in deciding whether or not the manager they’re hiring is well suited to meet all their requirements.

Here is some information for you –

Property Management –

The process of operation, control, and oversight of real estate in the broadest terms are called property management. Management here indicates a need to be cared of, monitored, and answerability is given the property’s life and conditions. Including this, management of property also involves the management of personal property, equipment, tooling and other assets that are used in building, repairing, and maintain the end items deliverables.

Roles of the Property Management Agent –

  1. Setting The Property Purchase / Rental Amount – The first and foremost role that every manager or estate agency has to play is planning the cost of the property or the rental amount. This process would involve the property owner but should be done wisely after considering the important points like the condition of the property and the location where the property is located.
  2. Finding the Right Tenant / Buyer – The property managers will always be accessible to a wide number of property owners as well as property seekers which is why they are the best people to choose the buyers or tenants. Sorting out and picking the best is possible and it will always be a win-win situation for the property owners as well as the seekers.
  3. Screening Buyers / Tenants – For property owners selecting the best buyer or tenant isn’t always possible but when it comes to the property managers they can choose the one that is best. This is usually because the agents only choose the property seekers after carefully looking into their profile and getting a check of their background information.
  4. Collecting the Rent – When associated with rental property dealers the property owners can entrust them with the duty of collecting rent well at the time. This saves the landlord from wasting whatever time is wasted in chasing the tenants for rent.
  5. Handling Complaints & Emergencies – Whatever be the complaints of the tenants or buyers should be handled by the agent well within the stipulated time Further, if there are a few emergencies that need attention they again fall under the duty book of the estate agents and should be met with almost immediately or depending on the type of situation that has come up.
  6. Handling Moveouts – When a tenant vacates the premises, the manager is responsible for inspecting the unit. Their job is to check for damages and determine what portion of the security deposit will be returned to the tenant. After the tenants move out is completed, they are also responsible for cleaning up the unit and repairing any damages that may be filed to locate a new tenant and fill the vacancy.
  7. Dealing with Evictions – In case the tenant hasn’t been paying rent or has been causing disturbance you might have to get the house evicted by him. In that case, the property owner holds the complete responsibility of getting the property evicted at the earliest possible. Before the eviction, the manager needs to ensure all dues are settled and nothing is payable from both the sides.
  8. Maintenance & Repairs – Whatever is included in the maintenance work is the responsibility of the property manager and should be handled accordingly. Whether maintenance and repairs including hiring someone to take care of the leaks, performing landscapes, remove snow, eliminate thrash – it is all the work of the manager. He needs to ensure the right people are hired and in case someone is taking a day off from work there is always a replacement that is available.
  9. Maintaining Records – Maintenance of all property related documents is just another thing added to the list of the duties that the dealer is required to perform. The agents must ensure proper files are maintained for each tenant or buyer and the files include the necessary information. It should also include any dues that need to be cleared from both the parties.
  10. Responsibility for Taxes – The property manager can assist the property owner with comprehending the most beneficial way to file their taxes about the investment property. The concerned person may also be endowed with the power to file the charges regarding the property on behalf of the owner.

Even though property management might look like an easy management process remember it has a lot involved in it and everything needs to be managed in the best possible ways. Further, the varied roles assigned to the property manager depend on whether he is working on a rental property or the one that is being sold.