The costs associated with owning a property can feel never-ending. If you're a property manager running rental properties, those costs come at you from every angle. The biggest piece of that financial pie is almost always rental property maintenance.
Property managers like you must have a comprehensive approach to property maintenance duties. One small issue can quickly snowball if you're not diligent. Keeping the property fully functional is foundational to the success of your clients and your business.
No matter how you approach it, maintenance management will be a huge part of your job. But where do you start? In this guide, we'll outline everything you need to know about maintenance for property management companies and give you the tools you need to succeed.
The Importance of Comprehensive Property Maintenance
Whether you're just starting your property management company or you've been a property manager for years, the tasks involved with property maintenance are going to take up much of your time. You must have a property maintenance team with the resources necessary to handle every task on behalf of your clients.
You don't want to be a property manager who has to call the owner for every single maintenance request. You're there to take the load off of their plate, so make sure you've got written and repeatable practices for property care.
Effective Maintenance = Proactive Maintenance
The biggest mistake you can make is to wait for property maintenance issues to happen before you do anything. Successful property managers are proactive property managers. That means acting preventatively to fix minor issues like leaks and faulty wiring before they snowball into larger ones.
Proactive property maintenance also means equipping the rental property in a way that secures it from potential problems. Regularly inspecting and repairing HVAC systems, equipping roofing that protects against the seasons, and having a responsive game plan for emergencies all factor into this.
The way you approach property maintenance will decide the safety and satisfaction level of your tenants, as well as the overall value of the property.
Areas of Focus on a Rental Property
Your location and the type of property you're managing are going to dictate a lot of what you have to focus on in your property maintenance work. A single-family residential property in Florida is going to have much different needs than multifamily apartment complexes in Utah for example.
Start with making a seasonal checklist that gets completed quarterly by your property management team. These checklists should cover the most foundational aspects of the building, such as:
HVAC units
HVAC filters
Plumbing and pipes
Roofing and chimneys
Gutter cleaning
Insulation
Landscaping
Carbon monoxide detectors
These property maintenance tasks will vary, but it's important for you as a property manager to come ready to handle it all in its due time.
The Cost of Maintenance
So how much will all of this cost? This is the question asked first by many property managers and especially their owners. Luckily, this is something you can plan and budget for, even with the varied factors at play.
There are a few general rules of thumb you can use when budgeting for property maintenance:
The 50% Rule: Set aside 50% of monthly rent payments for building maintenance as well as other regular costs such as taxes.
The Square Footage Rule: Set aside $1 for every square foot of a building yearly for property maintenance. (Example: A 3,000 square foot property would set aside $3,000 yearly.)
The 1% Rule: Set aside 1% of the total property value for property maintenance each year.
Whatever method you use, it's important to keep in mind that routine maintenance won't be your only expense. Property managers should also have a fund set up for emergency repairs.
Benefits of Proactive Property Maintenance
When property management is conducted proactively, there are several positive effects you can create for a property owner. Here are the main payoffs for your thorough execution of property maintenance:
Restore Functionality and Prevent Breakdowns
The most apparent goal of property maintenance is to fix what's broken and keep the property in good repair to avoid equipment breakdowns. Always acting in a way that prevents these nightmares entirely makes your job a lot easier in the long run.
It also gives your clients peace of mind knowing they don't have to worry about disasters on their investment property. This is the ultimate goal, as it keeps your business thriving.
Retain (and Increase) Property Value
One of the biggest priorities of your clients is going to be raising their property value. Your efforts in property maintenance can not only take care of them, it can also help achieve higher value for their investment.
Keeping the rentals you manage well-maintained and attractive keeps the value from dropping due to wear and tear. You can also actively raise the value of the building through renovations, regular painting, blacktop resealing, landscaping, and other property maintenance services.
More value on the rental means more money in your client's pockets. That keeps them happy and leads to more business for you as a property manager. It's a win-win!
Ensure Occupant Comfort and Safety
While the owner's concern lies in their investment performance and security, property management is focused primarily on taking care of the rental property, finding good tenants, and keeping the units filled. Property maintenance is an integral part of all those needs.
Maintaining the rental keeps the occupants feeling safe and comfortable. That leads to more renewals, better tenant satisfaction, and an improved reputation for your property management business.
Services Your Property Management Company Should Offer
The services you offer should encompass the whole package for your clients. It's about more than just finding leaks and fixing them. While that is important for property maintenance, it's not great for marketing your property management services.
You have to show potential clients and prove to existing ones that you're able to deliver the best results. Your services should start with preventive maintenance. Preventive maintenance involves routine maintenance and scheduled service to equipment items and existing structures.
Offering these services will lead to cost savings and reduce the need for reactive maintenance tasks. These include regular property inspections performed in the right legal timeframes. Inspections should always be a highlight of your services since they're so time-consuming for owners.
A few other need-to-have property maintenance services include:
Groundskeeping
Upkeep of HVAC units
Cleaning and janitorial work for common areas
A maintenance portal for tenants to submit requests
A team of property maintenance workers and a network of contractors to promptly respond to problems.
Roles Involved in Property Maintenance
Every member of the team has a role to play in daily property maintenance tasks. It takes more than just the property manager, and it starts from the top down.
The property owner should only be engaging with property maintenance at the highest level. They're concerned with the bottom line; how maintenance activities influence the financials of the rental and the property value.
The property manager has the role of coordination and planning. They oversee maintenance and other property management responsibilities to ensure the property is running smoothly.
Maintenance supervisors are members of larger property management teams that coordinate incoming maintenance requests, schedule planned tasks, and handle documentation.
Maintenance technicians handle incoming maintenance requests and service the rental property to keep it running. Maintenance technicians are in-house property maintenance workers hired by property managers to perform simple, daily tasks.
Contractors and vendors are outside service providers that hired to complete more specialized, complex tasks that require a little more expertise. Examples include electricians, elevator technicians, and landscaping companies.
You'll want to make sure that your maintenance team includes all of these pieces so no one person is overwhelmed and every task is handled with care.
Reducing Property Maintenance Costs
Property management companies' primary job is to protect and improve the rental property's finances. The way you conduct maintenance management can also aid you in that goal. Here are a few ways how.
Implement Preventive Maintenance
We've mentioned it already, but it really should be the philosophy your maintenance management lives by! Act preventively in your maintenance work by conducting regular inspections, maintenance schedules, and improvements to the property. This will reduce the long-term costs and extend the life of property assets.
Use Energy-Efficient Solutions
Going green is all the rage these days, and for good reason. It also extends the life of a property while cutting down on energy costs for tenants and the owner. You can accomplish this through things like LED lighting, energy-efficient appliances, and low-flow plumbing fixtures.
Train Your In-House Staff
Your maintenance team should be properly trained to handle your tenants' day-to-day tasks and common maintenance requests. Don't rely on their existing knowledge, investing in their training will cut costs for you in the long run. You should also help them gain any necessary property maintenance certifications.
Negotiate Contracts with Vendors
No matter how skilled your in-house team is, you're going to need the help of a contracted maintenance technician from time to time to perform more complicated jobs. You can negotiate contracts with these vendors to reduce prices and ensure reliability.
Best Practices for Property Maintenance
Outside of cutting costs, here are a few best practices for maintenance management that will keep the property running smoothly and your tenants happy.
Establish Clear Communication Channels
When tenants run across a problem with their unit, it can be a stressful disruption to their lives. Communicating with you for help shouldn't be stressful. Establish clear communication channels for them to submit requests, get updates, and give feedback. Communication is key to resident satisfaction. If your maintenance portal is confusing, it might be time for a rebuild.
Utilize a Scheduling System
Property management lives and dies by its schedules. Your property maintenance work should have the most organized schedule of all. This will help you make sure every task is allocated to the proper maintenance technician, deadlines are kept, and progress is tracked.
Prioritize Tasks Based on Urgency and Importance
Schedules go hand-in-hand with prioritization. Critical issues left unattended can blow up quickly, so your team has to be able to plan their work efficiently. This will boil down to your skills as a manager and the property maintenance software you employ.
Use Technology for Efficiency
You're probably beginning to sense a trend, but it's true, the software you use for property management is going to be what sets you apart with your property maintenance services and your company as a whole. Software like Rentvine can streamline your communication, and ability to manage, and maintain records.
Managing Efficiently with Property Maintenance Software
For the best in property maintenance software, look no further than Rentvine! As the industry leader in property management software, our tools can drastically improve your practices and your relationships with your owners.
Property maintenance can be one of the most stressful parts of the job, but it doesn't have to be. With an easy-to-use software solution that's built for property managers, every stage of the process is made clearer for you.
Here are just a few features of Rentvine that can help you with property maintenance:
The Tenant portal will make it simple for tenants to report any maintenance problems with their units 24/7. Rentvine's tenant portal software is designed to automatically route work orders to the correct property and notify the right maintenance technician to handle the job. As a bonus, our tenant portal also makes things like rent payments easier!
Vendor Invoice Upload allows vendors to upload invoices, create bills, pay them, and close projects all in a snap. No matter hassling over paperwork for contractors!
Create Tenant Charges Instantly. No more going back and forth to charge tenants for any maintenance charges they owe. Our software allows you to charge them for maintenance instantly in the portal.
Easy Messaging allows for instant communication for tenants, maintenance workers, and contractors so no one is left in the dark.
Instant Accounting Updates make your recordkeeping easier. When bills are paid and orders closed, ledgers get automatically updated and the right people are notified.
There is so much more that Rentvine offers in property maintenance and beyond. Your property management company deserves the best, and that includes the best property management software.
The Future of Maintenance and Resident Experience
While the foundation of property maintenance work is still a handy tradesman ready to get their hands dirty, the future of maintenance and property management is in digital solutions. For the absolute cutting-edge in property management software, choose Rentvine.
We offer industry-leading support from a team that cares just as much about your business as you do. Our products cover everything you could need in property management, and we are constantly evolving to meet our client's ever-changing needs.
To learn more about our property maintenance software, start exploring our services here.
