Owning rental property can be a great way to build wealth — but only if it’s managed well. A good property manager protects your investment, keeps your tenants satisfied, and helps you stay profitable. A bad one? They can cost you thousands, damage your reputation, and create a never-ending list of headaches.
That’s why choosing the right property manager is one of the most important decisions you’ll make as a landlord. Here are the essential questions to ask before signing a contract with anyone claiming they can manage your property.
1. What Types of Properties Do You Specialize In?
Not all property managers are the same. Some specialize in single-family homes, others in apartment buildings or short-term vacation rentals. Make sure the company you’re considering has direct experience managing properties similar to yours — not just in size, but also in style, neighborhood, and tenant type.
The more aligned their background is with your property, the better they’ll be at anticipating issues and keeping things running smoothly.
2. How Many Properties Do You Currently Manage?
This gives you a sense of scale — and whether they may be overextended. A manager handling 10 properties might be too small to offer round-the-clock service. A company managing 500 might not give your property the attention it deserves.
Ask how many managers they have on staff and what their average ratio of properties per manager is. Ideally, you want a team with enough bandwidth to be responsive without being overwhelmed.
3. What Services Are Included in Your Management Fee?
“Full service” can mean very different things from one company to another. Ask for a detailed breakdown of what’s included, such as:
- Marketing and tenant screening
- Lease signing and renewals
- Rent collection
- Maintenance coordination
- Move-in/move-out inspections
- Eviction handling
- Monthly and annual financial reporting
Also, clarify what’s considered extra. For example, some firms charge additional fees for lease renewals or coordinating major repairs. Make sure you know exactly what you’re paying for — and what’s not included.
4. How Do You Screen Tenants?
Tenant placement is arguably the most important part of property management. A great tenant pays on time, respects your property, and communicates well. A bad one can lead to missed payments, damage, and legal headaches.
Ask what their tenant screening process includes: credit reports, background checks, employment and income verification, rental history, references, etc. You want a company with strict standards and a track record of finding reliable renters.
5. How Do You Handle Repairs and Maintenance?
Maintenance issues are inevitable — but how they’re handled makes a big difference. Ask:
- Do they have an in-house maintenance team or use third-party vendors?
- How are repair requests submitted by tenants?
- Do they notify you before making repairs above a certain amount?
- Do they perform regular property inspections to catch small issues before they become big ones?
Also find out if they have emergency response systems in place for nights and weekends.
6. How Do You Communicate with Owners?
You shouldn’t be in the dark about what’s happening with your property. Ask how and how often they communicate with you — is it via email, phone, or an online owner portal? Will you get monthly reports or real-time updates? Do they proactively notify you of issues or wait until you reach out?
Good communication is the foundation of a strong management relationship. Make sure your expectations align.
7. What Is Your Rent Collection and Late Fee Policy?
Consistent rent collection is crucial to your cash flow. Ask how they collect rent, what their grace period is, and what happens when a tenant is late.
Do they follow up with reminders? When do they apply late fees? When do they start the eviction process if needed? Their answers will give you insight into how they handle conflict and enforce lease terms.
8. How Do You Handle Evictions?
No one wants to go through an eviction — but it’s important to know how the company handles them. Ask:
- What’s your eviction process?
- How often do you have to evict tenants?
- Do you coordinate with attorneys or handle it internally?
- Who covers the court and legal costs?
The best property managers rarely need to evict because they screen tenants so well — but they should still have a clear and lawful process if it becomes necessary.
9. Can I See a Sample Monthly Owner Statement?
A good manager will provide detailed monthly reporting that breaks down income, expenses, repairs, and any outstanding issues. Ask for a sample report so you can see how transparent and easy to read their financials are.
You should be able to understand exactly what’s happening with your property each month at a glance.
10. What Are Your Fees?
Price is important — but don’t just go with the cheapest option. Low fees often mean limited services, poor tenant screening, or reactive management.
Typical fees include:
- Monthly management fee (often 8–12% of rent collected)
- Tenant placement or leasing fee (often 50–100% of one month’s rent)
- Lease renewal fees
- Maintenance markup or coordination fees
Make sure you understand the full fee structure before you sign anything.
11. Are You Licensed and Insured?
Property managers are often required by state law to be licensed real estate brokers — though this varies. Regardless, any professional manager should carry liability and errors & omissions (E&O) insurance to protect you and them in case of mistakes.
Don’t take their word for it — ask for proof.
12. Can You Provide References?
Always ask for references from current or recent clients — ideally ones with properties similar to yours. Follow up and ask those owners:
- Are they responsive?
- How do they handle issues?
- Have they improved your rental’s performance?
- Would you hire them again?
Don’t Rush the Decision
Hiring a property manager is a big commitment. You’re trusting someone to care for a valuable asset, represent you to tenants, and manage legal and financial matters on your behalf.
Take your time, ask the tough questions, and make sure you’re working with someone who is organized, experienced, and responsive. The right manager will give you peace of mind and a profitable investment. The wrong one could cost you far more than their monthly fee.
Need Help Finding a Property Manager?
At Trusted in Town, we connect landlords with trusted property managers who have been personally vetted for reliability, communication, and tenant satisfaction. We don’t just list any company — we build relationships with professionals we’d trust with our own properties.
Reach out today and we’ll help you find a match you can feel confident in.