Property Management Guide - 3 Mistakes Every NYC Property Owner Should Avoid
One of the biggest challenges of managing a property is communication with tenants. There are just so many possible complications that could arise out of miscommunication, especially when it comes to property in the concrete jungle that is New York City.
A sad truth persisting in the American real estate industry is that most NYC property owners end up committing common and avoidable management mistakes that set them back a few thousand dollars a year. Fortunately, there are a few smart practices that you can use to manage your New York properties in an efficient and effective way.
To ensure that your property investment is the smoothest it’s ever been in 2020 (and every year after), here are a few common mistakes you should watch out for:
1 - Disordered documents
Given the fact that renting out a property can be an incredibly process-heavy and document-reliant task, you would be self-sabotaging if you failed to get organized.
Unfortunately, most NYC property owners still find themselves in a pickle by neglecting to organize all their documents so that the files are easy to find and retrieve. As a result, they can lose cash and have run-ins with the law. Not staying organized can also mean that you aren’t able to form a workflow and sales model that makes it easy to schedule tenants, forecast cash flow, and scale operations to expand.
If organization isn’t your strong suit, a property management service (such as True Management NYC) may be exactly what you need. These experts will ensure all the details you need are kept neat and organized, making property management a breeze!
2 - Outdated technology
For the first few months, you may manage to run your rental operation with no more than a logbook and calculator. Once your operations start to pick up, however, you may find yourself becoming easily overwhelmed without the right tools.
One of the most costly errors that a budding property owner could make is thinking they’ll save money by making do with the bare necessities. Over time, however, the hardware and systems that you started out with will no longer suffice to suit increasing demands for safety, comfort, and convenience. The opportunity costs will be higher than the money you save.
Should you find yourself willing enough to make the necessary investments in your property, then consider acquiring anything that can add to the value of a tenant’s experience. Digital keys, faster internet, and payment management systems are all great options. While they may require a bit of investment in the form of money and adjustment periods at first, you’ll quickly realize that making an investment in technological solutions was the smart decision you’ve always needed!
3 - Overexerting yourself
As time goes by, you’ll find that life can get in the way of property management, especially if you’re still holding down a full-time job. If you want to enjoy a good passive income with multiple investment properties, you may need help.
Once the back-to-back reservations start to roll in, you may overexert yourself, believing you can manage everything on your own. For a while, this may work. In the long-term, however, this is neither healthy nor effective. You may find your ratings going down because tenants aren’t feeling the same TLC they used to get.
Fortunately, property management services provide an effective, yet budget-friendly solution for the nitty-gritty of your rental spaces while you slowly all the income flow in—all hassle-free!
Becoming adept at effective property management in New York City is a challenge that requires you to recognize common mistakes to avoid and overcome them. If you’re in the market for a tried-and-tested property management service in the NYC area to help keep you avoid costly mistakes and maximize your property’s profit, get in touch with True Management NYC today!