Did you know that the property management industry is worth nearly five billion dollars?
Between 2019 and 2020, the market value soared nearly eight percent. Prior to this time, it grew only 2.5 percent a year.
Needless to say, the pandemic has played a large part in this shift. At first, it was difficult for Harrisburg property management companies to adjust. The fluctuations in the market were beyond anything our country had ever seen.
Given this positive outlook, you'll want to seize the opportunity to increase profits. Check out these three tips for Harrisburg property management in 2022.
1. Set A High Standard
When the pandemic hit, it set off a frenzy of house-buying as the prices of homes dropped. Unfortunately, this resulted in homeowners and landlords getting innodated with applications. Many of these applications were not from high-quality tenants.
To combat this problem, property management companies in Harrisburg, PA set prices higher. While this weeded out less desirable applicants, it also lead to a spike in prices by early 2021.
Now that we're at the end of the year, it doesn't look like those prices are lighting up. Understandably, this means more people are going to be deterred from buying.
This may sound alarming, but it's important for you to stick to your standards. You'll be more likely to find tenants who know the terms of the lease and want to keep the property maintained.
2. Be Prepared To Spend Money On Repairs
In 2020, tenants spent a large amount of time inside because of lockdowns. When tenants' leases were up, property management companies in Harrisburg, PA needed to spend more money on repairs.
While there's nothing you can do to holt the need for repairs on your property, you can still lower the cost.
Do this by taking time to consider your options. You want to pay a reasonable price for repairs, but you also want those repairs to be of high value. That's why an in-house maintenance team should be a strong contender.
Secondly, stay away from site-unseen rentals. You don't want tenants to arrive and request a number of costly aesthetic changes. Either you spend the money or risk a rocky relationship with your tenant from the start.
3. Know What's In Your Lease
When it comes to Harrisburg property management, you want to have good relationships with all your tenants. This starts by establishing clear boundaries and rules outlined in your lease.
Here are a few questions you need to ask yourself:
- Are pets allowed?
- Do you allow subletting?
- How many guests can your tenants have? For how long?
- What utilities are they responsible for?
- What are the consequences of overdue payments?
Harrisburg Property Management Tips For 2022
In 2020, COVID-19 shattered every expectation we had for Harrisburg property management companies. Thankfully, renters are adapting to this new normal by implementing some much-needed changes in 2022.
For more tips on property management in Harrisburg, PA, reach out to us here. We'll be happy to speak with you about your plans for investing in the area.