| Aside from property selection, the next most important decision you can make is the selection of the property manager. The key to good property management is choosing a property manager that is firmly entrenched in the location of the asset.
All too often, novice investors’ management decisions are driven by the management fee. Low management fees are often an indication of low staff levels or lack of infrastructure within a management company.
A property manager is only as good as the management systems in place. Management systems require appropriate staff levels to operate. You don’t want to have a management company with great intentions but insufficient staffing to execute their plans.
When you choose an investment property, the Davis Company investment team will refer you to property management appropriate for the type and location of your property.
We refer our clients to property management that is solely focused on management. While property management and property sales both require a Texas real estate license—they are distinctly different functions. You want a property management that lives and breathes property management.
Good property management runs about 8% and leasing fees in this market are 75% of the first months rent. Good property management is worth paying for and bad property management is worth nothing at all.
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