In 2022, the rental vacancy rate in Austin, Texas decreased to 5%. Since then, it has jumped up to around 8%. If you are experiencing high vacancy rates, there are two ways to find quality tenants.
Consider hiring rental management or tenant placement services to help you out. Although both services can benefit landlords, one might be better suited for you than the other.
Keep reading to learn the differences.
What Is Rental Management?
Rental management refers to hiring a property manager to oversee your daily real estate responsibilities. This professional will handle various tasks to ensure your investment stays profitable. Some of the common operations include:
- Rent collecting
- Tenant relations
- Tenant screening
- Property marketing
A property manager will keep your location in tip-top shape by handling property maintenance as well. This is one of the best ways to attract tenants. Renters won't choose your property if it isn't well-maintained.
What Is Tenant Placement?
Tenant placement focuses on helping landlords find tenants. Not only will you lower your vacancy rate, but you won't have to worry about facilitating lease agreements.
Tenant placement services don't handle ongoing property management, so the other responsibilities will fall on you. If you are great at maintaining your property, but not finding the best tenants, this service could benefit you.
While a tenant placement company advertises your rental property, you'll handle daily operations. You'll collect rent, answer tenant questions, coordinate maintenance, and more.
Rental Management vs. Tenant Placement
Choosing between rental management and tenant placement depends on how invested you are in your property. If you prefer to be hands-off, a full-service property management company is right for you.
When to Choose Rental Management
A property manager is worth the investment if you want more free time. You can focus on adding more to your investment portfolio or spending time with family.
Another reason to choose rental management is that property managers have years of experience in the industry. An Austin, Texas property manager will know the local rental market.
Property managers understand how to keep you compliant by following rental property laws. Additionally, they will help you with tenant placement.
When to Choose Tenant Placement
If you are well-versed in the rental market and can do everything listed above (besides tenant placement), you might prefer being a hands-on landlord.
A tenant placement company will help you find tenants by marketing the property and facilitating lease agreements. After a lease is signed, the rest of the responsibility falls on the landlord.
Maximizing Your Austin, Texas Rental Property Profits
Both rental management and tenant placement services can help you maximize your rental property's profits. The choice is yours and will depend on how hands-on you want to be.
PMI Austin is a full-service property management company in Austin, Texas. We offer complete services, but you can choose to hire us for tenant placement if you prefer to manage your property.
No matter your needs, our team's combined 10 years of experience is the ideal choice. Contact us today to start benefiting from our local knowledge of the industry and more.