Picking A Management Company
The business of picking a management company is tasking. While it may be easy to hinge your decision on cost alone, know that there are other, more important factors.
Money Talks - When deciding on a management company, know that money should not be the only factor. I mentioned this last because for most associations, it's the first and and most important factor. I challenge that idea! Paying a little more can bring a greater of mind, whereas, paying a little less may ensure the board is more involved in the day-to-day management than they'd like to be. You get what you pay for.
Location, Location, Location - just as location is important in picking real estate, it's also important when picking a management company. The ideal company is within the same city, the closer to your buildinng the better. This ensures that your associations is kept in the forefront of their mind and that situations are handled swiftly. A management company in another city or more than an hour away may employ vendors/contractors close to their location, delaying how fast emergency situations are handled. In addition, the closer the management company is to the you association, the more likely they are to tour your building, stop by often, and notice maintenance and repair issues at a quicker rate.
Size Matters - While it may be tempting to go with a big or well-known company, keep the size of your association in mind. Bigger management companies make their money not through the per unit management fee but through the repairs and maintenance that they and their subsidiaries make on your building. In my experience with the bigger companies, the attention your building receives is directly proportionate to your budget. Your association may get lost in the shuffle of a big company and in my experience, frustration leads you to pick up their slack. You make like the glitz and glamour of a big management company, their fancy website and great office location, but is it necessary? While smaller companies may have fewer staff, their turnover is much less than those of their bigger competitors. Would you rather deal with one of two managers who know your building and it's issues or a rotation of property managers who YOU must then bring up to speed when you're reassigned?
Shop Around - You don't have to lock your association into a year-long contract with a new company. While transition can be cumbersome, waiting out a contract may be more agonizing. Before signing that year-long contract, ask for a two or three month test to see if you're a good fit for the company. Anyone who wants your business and is truly interested in the best interest of your association will accommodate this request. See how the company responds to the residents, repair and maintenance request, and emergencies. Do they follow-up with you, if so, how often? How soon do they respond to emails? Do you have a dedicated property manager or is your association handled by a 'team' of managers who may not be as familiar with your specific property. Which is more important to you?