One of the biggest choices a rental property owner will have to make is choosing a property management company. The right company can help secure your investment, ensure that residents are happy and make your life as an owner easier. This can result in longer periods of vacancy, communication problems and undue stress.

When looking at property management companies in San Diego, it is essential to ask the right questions and make informed decisions. Below are 12 questions that all rental property owners should ask before making a decision.

How Long Have You Been in Business?

A person's experience is important because managing property encompasses so much more than just leasing, coordinating maintenance, communicating with residents and providing

financial reports. Larger companies that have been around for a while have often adapted to ever-changing rental rates and regulations. Companies that have been around for a while have had more time to refine the processes and systems that go into effective property management.

Penny Realty has been serving property owners in San Diego County since 1965 and has gained decades of experience. The company has been in business for more than 60 years and has managed rental properties through changing market conditions over that time.

What Types of Properties Do You Manage?

Not all management companies cater to all types of properties. Inquire whether they manage properties similar to yours, such as a single-family home, condominium, apartment, townhome or multifamily investment property.

Penny Realty manages single-family homes, condos, townhomes, apartments, and multifamily properties throughout San Diego County. The company also specializes in long-term rentals, short-term vacation rentals and mid-term rentals.

How Do You Market Rental Properties?

Vacancy periods can be minimized through an effective marketing strategy that reaches qualified prospective residents. Inquire about where properties are listed, whether professional photos are provided, and how properties are marketed.

Penny Realty uses a five-step marketing process, professional photography and online advertising to help maximize exposure to prospective residents.

How Do You Screen Tenants?

Property management is largely dependent on resident screening. Inquire about the standards assessed in the screening process and whether the company has standardized screening.

Penny Realty follows Fair Housing guidelines through a comprehensive resident screening program that includes verifying identity, income and employment, reviewing credit history, rental history, and additional background screening.

How Are Repairs and Maintenance Handled?

All rental properties will probably need some maintenance eventually, whether it be routine work or a surprise. Find out how maintenance requests are made, who is in charge of repairs, who the vendors are, and how owners are informed during maintenance. Proper maintenance management can help address problems efficiently while maintaining a well-maintained property and positive living experience.

Repair and maintenance is an important aspect of Penny Realty when it comes to property management. Repairs are managed via reputable companies and owners are kept informed

about the process. Maintenance issues are resolved swiftly, which helps in keeping the property in the best condition. It helps contribute to resident satisfaction and preserve the property value.

What Happens After Business Hours?

A property management company's response to emergencies is different when it's closed on the weekend and during holidays, so you should know what to expect. Questions to ask include: Do residents have access to emergency maintenance support, how emergencies are prioritized, and how owners are notified when major repairs are required?

Penny Realty has a full-time receptionist who answers calls during business hours, and someone is always on call to handle after-hours emergencies. These emergency calls are answered by a live person in San Diego rather than an overseas call center.

How Often Will I Hear From You?

Clear communication is a key ingredient to good property management. Inquire about the frequency of updates you will get on your property, the kind of financial information that is given to you, and if you can get financial documents and information online. Understanding the communication process reduces the need for the owner to take on the responsibility.

Penny Realty offers owner reporting and online tools for owners to check key property and financial information. The company also offers a 24 business hour response time guarantee, giving owners a defined standard for receiving a response to their inquiries.

How Is Rent Collected?

Rent collection is one of the main duties of a property management company. It covers how the rent is paid, what will be done in case of late payments and how the owner will receive the amount. These are important points to look into because understanding this will help better understand how the company operates in one of the most crucial parts of owning a rental.

Through rent collection and financial reporting, Penny Realty helps property owners track rental income and property performance. Penny Realty averages 99.5% on-time rent collection, giving owners a specific performance figure to consider when comparing property management companies.

What's Your Average Vacancy Rate?

The rate of vacancies can give some indication of a company's effectiveness at leasing properties. However, vacancy rates can also vary depending on the type of property, the price, and the market.

Penny Realty reports an average occupancy rate of 99.5%, equivalent to a 0.5% average vacancy rate. If vacancy performance is a priority, ask how the company measures vacancy performance and how they strive to minimize the amount of time between residents.

Do You Offer Any Guarantees?

Some property management firms provide guarantees for leasing and other services, while others don't. However, if guarantees are important to you, ask exactly what is covered under those guarantees.

Do You Own Rental Property Yourself?

For this reason, some owners would like managers who are also investment property owners, as they may have been able to experience the ups and downs of being a landlord. If it is important to you, then this may not be a deal-breaker, but it's definitely something that should be considered as a part of your evaluation process.

Why Should I Choose Your Company?

Last, but not least, inquire about the company's advantages. The answer should be more about their experience, communication, processes and the value they add, and not about broad marketing claims.

With decades of experience in San Diego property management, Penny Realty provides professional rental marketing, resident screening, maintenance coordination, rent collection, and owner reporting to help simplify rental property ownership. Penny Realty manages more than 500 properties comprising approximately 630 rental units and reports an average of only one eviction for every 1,400 leases placed. The company has also continued refining its property management processes and systems throughout its more than 60 years in business.

Choosing the Right Property Management Partner

Each landlord's objectives will vary, but these 12 inquiries can help you evaluate companies based on what matters most to you. When deciding on a company to hire, do not hire on price only, but also find a business that has good communication skills, provides a clear explanation of processes, and has experience handling properties like yours.

If you're buying your first investment property, or considering a new management partner, you should take the time to ask some intelligent questions. At Penny Realty, we want our owners to ask these questions and know what's going on with their rental property before committing.