What is Real Estate Management?
Dominic Mwangi
Real Estate Management
Property management is the overseeing of residential, commercial, or industrial real estate, including apartments, detached houses, and business centers. It entirely involves the managing of property that is owned by another party or entity. The property management acts on behalf of the owner to preserve the value of the property while generating income.
Duties of Real Estate Management
Marketing and Financial Responsibility
The managers of a real estate have the responsibility of determining the marketing strategies for the real estate occupancy which in return maximize the rental rates. These may include advertising strategies and other promotional methods.
The managers are also obliged to be reporting to the owners on financial matters such as profits, losses, income taxes, estate taxes, and the budgeting of different expenditures.
Tenant Occupancy
The property managers find tenants for a property, collect the rents on the access tenant satisfaction as well as the adherence to the tenant requirements. In case of violation of the requirement and non-payment, the property managers have the task of evicting.
Facility Management
This is the outdoor as well as indoor (for vacated properties) maintenance. Management is tasked with maintaining the roofing, fencing, and disposal of waste. Therefore, the management should maintain a relationship with contractors as well as the repairing companies. This responsibility is necessary for client retentions.
Administration and risk management
The property managers are tasked with keeping all the records about the property as well as the tenants for accounting purposes. This is necessary for liability assessment as well as tax remissions. All property records should always be up-to-date.
Types of Positions in the Management of the Property
Property Manager
The property manager organizes and maintains tenants, reports to the property owners, and manages property finances.
Acquisition manager
The acquisition managers arrange the lease or purchase of property / real estate find the acquisition themselves, the terms of purchase or lease and finalizes the contracts.
Surveys manager
The survey manager supervises the planning of property dimensions, elevations as well as gravitation. They generally determine layout calculation, manages data about the physical location
Letting negotiator manager
This is the intermediary between the tenants and the property owner. they manage tenant application and tenants' references. They also create and distribute advertisement material as well as generates new business for the property.
Benefits of property management to a property owner
Quality tenants
A good property management has the skills to determine the client that most suits the property. This in turn sees rent long terms, payments of rent on time, reduced wear and tear of property and fewer problems in terms of tenant relationships with the management as well as the other tenants.
Shorter vacancy periods
Since the management conducts the marketing, the property will only be vacant for a short period of time compared to where the management was absent.
Long term tenants
Since the management screens tenants before admitting them, the property will have reduced expenditures on repairing paintings since clients rent for a relatively long time which also reduces the marketing of vacant spaces.
More efficient rent collections
The management oversees the adherence to the property occupation policy, it becomes simple for the collection of dues as well as the vacation of non-compliant tenants.
Reduced maintenance cost
Since management is charged with oversight of the priority, there are reduced chances of destructions by irresponsible tenants, which reduces the expenditures for repairs compared to when then management is absent.
