The field of property management is stable yet always evolving in the real estate industry. When people think about real estate, it is common to wonder how property management fits into the whole scheme of things. If you ask anyone what comes to mind when they are told the term real estate, many people would instinctively answer with a single word – “house”. Property management, although relevant, may be the last thing that a persons mind. Here are some reasons why the question, “What is property management?” should actually be at the top of mind, when considering a career in real estate.
What is Property Management?
In a nutshell, property management is the overseeing of operations in an industrial, residential or commercial real estate property. While the definition is pretty straightforward, there are many elements of property management that come into play in order for it to function appropriately.
Roles and Responsibilities
There are several roles that a property management company takes on when accommodating the needs of a property owner. For example, some of the most critical responsibilities are rent collection, tenant screening, lease contracting, and tenant mitigation. Additional responsibilities include accounts payable and accounts receivable duties and office management.
Licensing Requirements
In the United States, more often than not, the critical licensing requirement is that the property manager must be a licensed real estate broker. There are plenty of cases where there is a team of property managers where the lead property manager is a real estate broker and the subsequent or assistant property managers and leasing agents are real estate agents or salespeople. The broker status is a requirement for the lead property manager simply because they are responsible for listing vacancies and negotiating leases.
Tools of the Trade
More often than not, property managers rely on certain software in order to make their jobs easier. This software is known as online asset management software, which is the primary property management software used domestically by property management companies. The online asset management software enables managers to track vacancies, late rent payments and generate contracts.
Understanding the property management industry can be tough, but if you have a general grasp of the basic concepts, it can be easy. Get the answers of all your questions regarding property management with the ongoing operational support from Real property management franchise. See website for more information.
