How to choose the best Property Manager

In general, having a property for lease is a fairly simple process mostly composed of “reaction”, reacting to malfunction, a tenant’s request, maintenance, and taxes. In this, excerpt from our ebook we’ll explain how a vacation property is more about “action”.

In a fast tourist market like Riviera Maya, property ownership has to turn into a very profitable investment in the last couple of years, significantly with the arrival of Airbnb. Tourists from all over the world have found this business model very comfortable in comparison to the more restrictive all-inclusive approach. With this in mind, expert managers have been able to transform a property into a well-oiled money-making machine, so it is extremely important that for you to achieve the highest level of success, you must be able to choose the most qualifying manager for your property.

Buying an investment property in Riviera Maya is like buying a racing car, you not only need a fast car, you need an expert driver behind the wheel. One can[1]not succeed without the other.

ROI
Each property manager will work on its layout and information, but the most important thing about this is that you would have to be able to answer the following questions:
• How much are the property’s expenses (and which ones are)?
• How many days did the property got rented?
• How much is the property’s income?

A professional property management company would not only be able to reflect this information in a clear and easy-to-understand way but will also explain and provide further details on this statement, its fee structure, marketing outreach, and the overall benefits of working with such a company rather than the competition. From here on, we will refer to the property manager as PM.

PROPERTY MANAGER SERVICES

Accounting
There are different types of expenses when it comes to a vacation property in Riviera Maya:
a) Monthly expenses. All expenses and monthly bills such as water, gas, electric, HOA fees, cable, etc., should be paid on the owner’s behalf from his or her “owner account balance”. Usually, it is required that each unit maintain a balance of USD 600.

b) Annual expenses. All expenses and annual bills such as local taxes, trust fees, in[1]surance, etc., should be paid on the owner’s behalf from his or her “owner account balance”.

Another important aspect is the financial statements. Every certain period (monthly, bi-monthly, or quarter) your PM will provide either via email or through dedicated software a financial statement for you to monitor the expenses of your property

Long-tern Maintenance
It is the PM’s responsibility to maintain and clean the property to ensure that you enjoy the highest quality of accommodation when arriving at your property. Each PM company will develop and implement a preventive maintenance program to reduce unexpected issues and prolonging the use of all electrical utilities. The more expert companies will generate a weekly inspection report which will later be attached to the financial statement and allow the owner to approve any major repair.

VACATION RENTAL SERVICES 

Marketing
Exposing as much as possible and listing your property in multiple online services is a big responsibility and requires the right strategy for each listing. All these listing services should be aside from your PM’s listing website and in many cases, include also a dedicated website, allowing guests to book their reservations and pay online.
It should be your PM’s highest priority to ensure that the property is rented to its maximum throughout the year for the highest rate possible while ensuring that the guests are fully satisfied.

Accounting
For a Vacation Rental Property, the monthly and annual expenses are similar to a regular property, with the addition of having dedicated software and an online booking system, for example, KIGO, which assists in the management of all the properties and helps ensure excellent customer service to all guests who are booking their stay online. This software offers real-time reservations including online booking and credit card processing. For owners, this system includes detailed information regarding the rental property, routine maintenance, cleaning services, and of course in[1]formation regarding rental income received.

Hospitality
As mentioned before, meeting the guest’s expectations and offering a great experience will become extremely positive with the Average Daily Rate (ADR). Your PM will ensure that any visit to any of your rental properties is as perfect as possible and guaranteeing a great experience and most importantly, collecting as many positive reviews as possible!

Maintenance
For a Vacation Rental Property, the monthly maintenance is very similar to a regular property, the main difference is the weekly maintenance. Since these types of properties are more propensity to faster wear, the PM’s maintenance team must keep a very strict log before and after each arrival of guests to minimize potential high-cost repairs.

Another important issue is the furniture. With a few exceptions, each owner is usually in charge of furnishing and decorating their property to meet certain standards and maximize rentability. The few exceptions we mention are usually condo-hotels, where they provide and renovate furniture, amenities, and decoration to standardize their development.

To download the full ebook on how to properly choose your property Manager, visit the this link.