Property Management
A property is like a living being. It has a life and a spirit unique to each location.
And just like a person, a property needs to be cared for with regular checkups and constant attention.
Property management services allow owners to realize the maximum benefit from their properties with the least amount of personal effort. We bring systems to bear on properties that ensure the smooth operation of both the physical and the accounting structures of your holdings.
Although many owners choose some form of self management in the thought that they are saving money, there are many good reasons to employ a professional management company:
Liability:
Using professional management services helps reduce liability caused from operational mistakes. As a management company, we understand that most legal actions arise over inaction, that is to say a tort of negligence. As a professional management company we are a proactive, experienced buffer between your tenants and your assets. Although the value in this aspect may never be a journal entry, the real-world benefit of this service alone can pay our fees for the life of your project.
Professionalism:
As a real estate company registered with the Saskatchewan Real Estate Association (SREA) and the Canadian Real Estate Association (CREA) we are bound by a strict set of codes. The Saskatchewan Real Estate Commission is the body that enforces compliance with legislation and bylaws affecting real estate activity in Saskatchewan. Rent monies that are collected into our client trust account are guaranteed against loss by the Government of Saskatchewan through the Real Estate Assurance Fund. Our trust account is regularly audited by the SREC to ensure the protection of our client's funds. The very fact that we are licensed by the SREC means that the public has governing body to appeal to in case of dispute. The upshot of all this is that we are actively and legally held to a much higher standard of conduct than any unlicensed individual.
Cost:
Notwithstanding the added value and significant savings from doing the job right the first time, our services are very affordable. Although there are many methods of structuring payment, the most effective, and therefore the industry norm, has become for the management company to keep a small percentage of gross rents collected as the management fee. Typically a fee is somewhere between 7 and 12 percent, depending on the level of management required. Tenant selection fees (finder's fees) are applicable on residential properties.
"A cost, recoverable in full, plus profit" The beauty of hiring a property management company is that, in the long run, it doesn't cost the owner anything. We do all the work, and the cost for the services is recovered from the building. We also run your property like a business, creating professional accounting statements, which makes life much easier at tax time.
Planning and Property Redevelopment:
"Failing to plan, is planning to fail." This can be especially true with properties that are under stress from difficult tenants, high loan to value ratios, or attrition from turnover or demographic forces. With a sustained management plan, we have helped many properties come back from years of deferred maintenance and poor management. We can help structure a viable plan to help increase or maintain your property's value in the marketplace. It is a happy fact that every property that we have been able to manage with an owner supported plan for adding value has, at the time of sale, rewarded this approach in spades.
Buying Power:
We negotiate competitive rates with many suppliers around town. Because we buy hundreds of thousands of dollars of goods, materials and services each year, we are given preferred rates by our suppliers and servicemen. Our savings and experience mean a better quality of care for your property.
Flexibility:
We always take direction from you, the owner as to how you wish your property cared for. We're aware that it's not always possible to do everything at once. So we know how to prioritize, and manage to your specifications.
Trust:
We strive to build a strong, trusting relationship with our clients based on communication and transparency in our operations. Admittedly, the complex and frenetic demands of properties can make this challenging at times, but our comprehensive reports and carefully compiled monthly statements give owners the information needed to see trends, make plans or even just to ask questions. We're always happy to hear from our clients and respond to their concerns.
These are just a few of the reasons that our property management services make sense as a value adding operating expense. Feel free to call and make an appointment to come down and see us in person. We'll be happy to see you.