If you’re a property owner with rental properties you may be thinking about hiring a property manager. But should you go the extra mile and do a background check on them? Absolutely! While there are some things you can do on your own, you may need to hire an outside firm or internet firm to help get all the information you need. The risk of not doing so means you could hire someone who could ruin your investment.
A property manager or management company will handle many different things for you. They will deal directly with your tenants, have access to tenant’s units and handle money for you. Obviously, hiring someone who is trustworthy is more than important. Do some of the leg work in your background check yourself. Go to their website and see if they are licensed and insured.
Google the property management company and its owners, officers and known employees, check out the companies that pop up with the state’s corporate database and Better Business Bureau. If you don’t find anything objectionable, take it a step further and hire someone to do a thorough background check. It should include: the property management company, owners and employees; prior lawsuits and outcomes; and criminal records for all people involved. The same background check should be done if you are hiring an individual as a manager and not a management company.
Once you have the background check done, then contact the company. Ask them about their licensing, and what kinds of insurance they carry? How long have their employees been working for them?
So why do it? The consequences of not doing a thorough background check can be huge. At the very least, a property manager could pocket all the rent money he collects. At worst, you could end up on the end of a lawsuit for hiring someone who could possibly steal identities, theft from units, damage to a unit or the property in it, or even worse, assault, rape or worse to one of your tenants. It is irresponsible to not check out the people you are trusting your property management to.
We are always pleased to talk with potential Denver property management clients about how we work, our backgrounds and how we are dedicated to sound financial practices in our business. If you would like to find out more about Denver Realty and Rentals, give us a call today! 303-489-9737