Wednesday, June 16, 2010

Should I Hire a Group or Individual for Property Management?

If you own any commercial property, then having that property managed is an incredibly important part of maintaining the highest bottom line. After all, regardless of the essential value of the property itself, the amount of revenue will depend on your ability to avoid vacancies and maintain positive, long lasting relationships with your renters. When looking at commercial property management options, one of the major choices you have to make is whether to hire an individual or a management group. There are advantages to each option.

The more affordable option is almost always to hire an individual. Despite the fact that you will be employing this individual full time, rather than on an "as needed" basis, the pay required to hire directly will still save money in most circumstances. A property manager can generally be found by posting a job listing in local classifieds. In order to get the best possible results, it is important to hire someone who has extensive industry experience. An individual can also have a much more personal relationship with your renters.

Doing the hiring yourself does also mean you'll have some additional expenses and difficulties, however. The human resources requirements, the need to provide office space for the individual, and the need to replace the individual should the business relationship end can all require some additional work on your part.

Hiring a management group does cost more, but it reduces your hassle and your overhead. Without having to provide office space or employee resources, a property management group will maintain the total resources of your commercial property, making sure to reduce the number of vacancies. These management groups may not create a personal relationship with your renters, but their resources in advertising and maintenance for your facility tend to be far more expansive than an individual manager could ever provide.

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