Have you been looking for a lucrative career that doesn’t require formal education or for you to pay for expensive degrees? If so, property management is an intriguing option.
A property manager is a person who is responsible for overseeing and managing real estate properties on behalf of property owners or real estate investment companies. Their role is to ensure the smooth operation, maintenance, and profitability of the properties under their care.
Property managers handle various tasks related to the day-to-day management of residential, commercial, or industrial properties.
Skills Required to Be a Property Manager
Because property management primarily relies on practical skills that can be acquired through hands-on experience, you are unlikely to need a formal degree to get into this field. Most of the key aspects of property management can be learned on the job.
Plus, as you acquire experience and a track record of success, you can advance your career by managing larger properties or even start your own property management businesses. When it comes to creating financial freedom, starting a business is one of the most rapid methods of wealth creation.
In some states, like Virginia where I live, you will need a real estate license to work in property management. This requires taking a 60-hour pre-licensing education course, paying a fee, passing a state licensing exam, and passing background check. This is a bit of work, but nothing insurmountable and it will help you to command higher pay.
On average, property managers in the U.S. earn an annual salary ranging from $50,000 to $80,000. However, in addition to base salaries, property managers can receive additional compensation from bonuses or commission structures. Bonuses are usually be tied to factors like meeting or exceeding occupancy targets, reducing vacancy rates, or reducing expenses.
Wondering how to become a property manager? If so, keep reading to find out exactly what you need to do to achieve your goal.
1. Start Your Training
The first step to becoming a property manager is to get a license (if needed) and start your on-the-job training. It is certainly not required, but it can be helpful to have prior work experience in a related field such as business management, real estate, or finance.
Once you start your on-the-job training, you’ll learn the ins and outs of property management, such as hiring, leasing, and collecting rent and other fees.
2. Know the Landlord Tenant Laws and Regulations
Next, property manager jobs requires knowledge and familiarity with landlord-tenant laws and regulations. You can learn these rules though real estate courses, online, or on-the-job. Specifically, you must be aware of regulations related to the following:
- Tenant rights and responsibilities
- Landlord rights and responsibilities
- Security deposits
- Rent
- Foreclosure protocols
- Eviction procedures
- Discrimination laws
As a property manager, you’ll also have to learn about both state and federal regulations. It’s important to note that regulations can differ depending on where tenants reside. You must also be familiar with local ordinances and codes that can affect the leasing process.
Thankfully, the same common circumstances tend to occur over and over in real estate, which means that you’ll learn what you need to know over time.
With this knowledge and experience, you can become a seasoned property manager.
3. Developing Your Management Skills
To become a property manager, you’ll also need to focus on building your management skillset. This includes boosting your skills in areas such as the following:
- Problem-solving
- Dealing with stakeholders
- Budgeting
- Marketing
- Tenant communication and management
As you develop these skills, you will become competent not just in managing property, but at working in the real estate industry at large.
Meaning, you’ll be well positioned to get move into the fields of real estate investing, real estate fundraising, or working in investor relations, if you so choose.
4. Securing Prospective Tenants
Finally, as a property manager, you have the important responsibility of finding and screening prospective tenants. This step is essential, because it is what drives income for the properties that you manage.
This step typically involves advertising your property online, as well as doing in person showings. It also involves screening tenants to determine if they are good match for the property based on their income level, credit score, and rental history.
To do this, you must have the necessary tools in place. Switching banks in Appfolio for property managers is one way to simplify this process. The reason is that software like this allows you to quickly and easily switch banks for rental payments. It also allows you to review rental applications, determine creditworthiness, set up security deposits, and create payment reminders.
With the right property property management tools in place, finding and screening tenants can be a simple and streamlined process.
Ready to Become a Property Manager?
Becoming a property manager can be an interesting career path for those who enjoy working with people and don’t mind solving problems on a daily basis. It offers flexibility, upward income growth, and the opportunity to make an impact.
If you think you have what it takes, take the first step today to become a property manager.
Did you find this article helpful? If so, explore other articles in the real estate section of this blog.