The Lakewood real estate market is strong and attracting a lot of attention from investors all over the country and even outside of the country. We have attractive properties, high rents, and a stable tenant pool that’s reliable and financially secure. While out-of-state investors have an easy time finding and buying rental properties here, managing them is another story.
It’s difficult to manage your own property when you live in the same city. When you’re outside of the city where you have an investment home, you really need to rely on two things: professional property management and technology.
Professional Property Management for Non-Local Investors
Working with professional property managers is always a good idea when you want to protect your investment and earn as much ROI as possible. However, when you’re investing from out of state, that property management relationship is critical. You’ll need a local resource who can be your boots on the ground and your eyes and ears. You’ll need your property manager to show the home when it’s vacant, screen the tenants, conduct the move-in and move-out inspections, respond to maintenance issues, and enforce the lease.
When a tenant has a maintenance emergency in the middle of the night, you’ll have a hard time getting a plumber or an electrician over to the home when you live elsewhere. You won’t be able to get to the property yourself to assess the damage. A good property management company helps non-local investors by protecting the asset and ensuring the tenants are taking good care of it. You need full-service property management when you’re out of state, so look for a management company that has experience with investors who live elsewhere.
Leveraging Technology for Out-of-State Investors
In addition to great property management, out-of-state investors also need reliable and accessible technology. Most property management companies now provide online portals for both tenants and owners so that rent can be paid online, maintenance requests can be tracked and documented, and information can be shared. You will want to make sure you can receive electronic rental payments through direct deposit. You’ll also want to make sure you can look at accounting statements and run reports online. Find out how you’ll be informed when a repair is needed, and how those invoices are paid.
With technology, you can track income and expenses, communicate with your property managers, and stay up to date on lease renewals, marketing strategies, and lease negotiations. It’s critical that you have access to good technology when you’re investing in properties from another state or another country. Communication will be important, and you don’t want to feel even further away from your investments.
Smart investors gather the right partners, resources, and tools when they’re purchasing an investment property. When you decide to invest in a Lakewood rental home from somewhere else, make sure you’re working with a company that can keep you up to date on the local market, the performance of your property, and anything else you need to know.
We would be more than happy to help, and we work with out-of-state investors all the time. For more information, please contact us at Assured Management.