You shop around for your broadband provider, and they only manage your Wi-Fi, so why should your property management provider be any different? 

Since the meteoric rise of Airbnb in 2008, property management companies have sprung up in their drones. But with an ever-increasing market, and a range of management options, it can be tricky to settle on the right provider for you.

Before getting started, it may be worth reminding yourself of your legal obligations as a landlord that falls outside the remit of a management provider. This covers your back if any disputes arise between guests, your management provider, and you as host.

National or local provider?

Whether you choose a national company or go for a smaller, local provider to manage your property is important. For townhouses, apartments, or any city locations, it may be worth choosing a national company to manage your property.

But if you have a quaint coastal cottage or sprawling rural farmhouse, a local management provider will be more likely to provide the support you need. 

Depending on the location and style of your property, it will require specific marketing strategies to appeal to the right guests and maintain a healthy occupancy rate. That’s why companies such as Pass the Keys, which are present in over 50 locations across the country, are ideal. Hosts reap the benefits of having a local manager on hand but don’t compromise on the expertise of a nationwide brand. Therefore, no matter the property type or location, you can be confident that your property will enjoy a high percentage of bookings.

Full or part management?

First things first, remember your letting agency can be as hands-on or hands-off as you like. Property management companies usually offer 3 different management options: Full management (requiring no involvement from the property owner), part management (property owner manages certain services such as a key exchange), or basic management (the agency will manage laundry services for the host). 

Depending on your lifestyle and personal preference, you will likely already have an idea of what management level your property requires. You may prefer to be involved in the letting process, whilst time-consuming tasks such as laundry are taken care of. Or, you may be hunting for a letting agent that will remove all the hassle of short-term letting from your hands. 

Whilst it’s true that a fully managed service will eat into profit, this option removes the stress and time-consuming nature of short-term letting, allowing you to enjoy the benefits of the short-let market without any of the work. Make sure you understand exactly what each provider's full management services involve. For example, some end-to-end management services will carry out emergency repair work without letting you know first. 

If you are interested in having a hand in the running of your property and don’t have full-time work commitments, then a scaled-back management option is likely to suit you best. 

Property owners can pay anywhere between 5-30% in management fees, this figure usually rises in cities such as London and is dependent on property value.

How to check if a provider can be trusted

Your property is your greatest asset, and you want to leave it in trustworthy hands. For peace of mind, it’s good to check if the management company is a member of a professional letting organisation such as NALS (National Approved Letting Scheme) or an Airbnb professional Co-Host.

At the very least, they should be registered with the Property Ombudsman so you can be confident they are certified letting agents. 

Review the company’s current portfolio

If you are deciding whether or not to change providers, it's well worth checking out the type of properties currently listed with a provider. 

Steer clear of any management company that fails to provide a rental estimate before you sign a contract. Discussing the market value of your property prevents it from being undervalued once it goes live and allows you to get the best PPN. 

What about my notice period?

Check your contract to be clear on your rights. Every property management company is different but some are far more flexible than others. This is a factor to consider when choosing your provider as long, inflexible contracts are rarely in the host’s favor. It can be daunting to take the leap and switch providers but hopefully, this post has given you some useful research pointers for you to make a confident, informed decision.

To find out more about switching providers, please see this blog post or visit our website.