6 Challenges in Single-Family Property Management

The single-family housing market is a thriving segment of the real estate market. It makes up more than half of all residential sales in many areas. While this type of property management can be challenging, it also offers some unique benefits that other types of properties don't have.

This post will talk about some of the most common property management challenges faced at single-family homes and how you can overcome them.

What is a Single-Family Home?

Before we go to the apartment challenges part, why not understand what a single-family home is? A single-family home is a stand-alone housing unit that is not attached to any other units.

This type of home has characteristics that are unique when compared to other types of housing such as apartments, condos, and townhomes.

For instance:

• A single-family home doesn't have common walls. That means it doesn't share any wall space with another unit.
• They are built on their parcel of land. That land is usually fenced in and may even have a yard.
• Single-family housing has private access to the outside. There are no shared spaces like stairwells, lobbies, or elevators.
• The utilities in a single-family home such s electricity, water, heating, and cooling are not shared with any other unit.
• This type of property often features a single kitchen. Adding another kitchen affects home zoning classification and generally isn't allowed.

Increasing Turnover Rate

As much as you like to retain renters, it is inevitable that some will move out. There are many reasons why renters leave. This is not only for single-family apartments but also for other types of rental properties. Let's look at some of the most common reasons why renters leave.

• Renters might need to relocate because their job requires them to. They might get married or have a baby and need a bigger place. Some renters might graduate from college and want to move into their first real home.
• They might have a bigger budget and want to live in a nicer property.
• Some renters might not be happy with the landlord or the way the property is being managed.

While there are other reasons, these are some of the most common ones. As a property manager for single-family homes, you have to find a way to at least minimize the turnover rate.

You can do this by:

• Regular communication with existing renters - by understanding your renter's situation, you can properly address their concerns and keep them happy.
• Regular inspection for maintenance and repair needs- make sure to deal with work orders. This is a win-win for property managers as they can address property maintenance while giving the renters the convenience they desire.

Collecting Rent

Many properties set a specific date to when renters will pay monthly. But this is not just for everyone. As every renter has unique circumstances, it is best to make the payment easier.

You can achieve this by utilizing third-party software that can automate the entire rent collection process. Not only will it automate the whole process of payment and collection, but it will also give your renters flexibility and convenience.

Online payment is much faster than visiting every property just for collection or waiting for the mail. Better yet, this will also help you keep track of every payment. You can access records anytime and anywhere. If you are interested in such a solution, you can contact ExactEstate to set up a demo. We also have a violation tracking feature that can send a notice to the tenant when they violate property rules.

Choosing the Right Tenant

Choosing the right tenant is one of the most important parts of property management. You need someone who will respect your space, pay your rent on time, and not cause any damage to your property.

This can be challenging if you don't have experience in this area, so here are some tips to help you choose a quality tenant:

• Consider how much they earn - the last thing you want is a tenant who can't pay the rent. With single-family homes, it is easier to attract family renters so make sure to take advantage of that.
• Check references - if possible, check their rental history. Contact their previous landlords and see if they have been good tenants.
• Look into their credit score - a good credit score means that they've been responsible with money before, so it's a good indicator of whether or not they'll pay their rent on time every month.

By following these tips, filter and differentiate your applicants, and choose the best tenant for your property.

Inspecting Properties: Maintenance and Repairs

One of the biggest property management challenges is inspecting properties regularly. You want to make sure that you are keeping up with any maintenance or repairs that need to be done on each property, but you also don't want to spend too much time doing this because it can eat into your profits if you're not careful.

As a landlord, you're responsible for maintaining your property to ensure that it's safe, secure, and up to code at all times. This is especially important when it comes to inspecting single-family homes.

Don't wait for a simple issue to become a major repair. If you catch something early on, it will be much easier and less expensive to take care of. Also, having a regular inspection can help you oversee things that need attention in their earliest stage. 

Subleasing Problem

If you are a property manager, you must be aware of the subleasing problem that can occur at your property. Subleasing is when a tenant rents out their apartment or room to another person while they are still living there.

The most effective solution to this kind of problem is to clearly state on the leasing contract that subleasing is not allowed. This way, if a tenant does try to sublease their apartment, you can take appropriate action. Add a clause to the contract that states something like "The tenant agrees not to sublease the property at any time during the lease period."

Evicting a Tenant

As much as we want to retain every single tenant, sometimes it's just not possible. You might find yourself in a situation where you have to evict a tenant—and it's important to remember that this is not an easy process. 

Ensure to follow all legal and federal regulations when evicting a tenant, as there are many rules and regulations to protect tenants from unfair eviction. The last thing you want is to be sued for wrongful eviction.

Final Thoughts

If you are a property manager, you want to have at least a smooth operation with as few problems as possible. We're hoping that this article has provided some helpful tips and advice on how you can achieve that.

Remember to contact ExactEstate if you need help with your property reporting, online payment and processing automation, and violation management. We would be happy to help you!