Dallas is an exciting city in which to own property, especially when that property is making money for you. Therefore, to ensure that you receive timely collections, it pays to align yourself with a company that offers services in property management in Dallas and the surrounding area. Seek out a property management company that is well versed in the collections process or in obtaining rents and security deposits.
The Collections Process
To make sure you are on the same page with a company that specializes in property management in Dallas, you need to make sure you have a good understanding about collections and how they are overseen by the company. Possessing this knowledge is essential if you want to receive the optimum income from your property.
Monthly Payments: How Are They Disbursed?
Ask if the property management company holds back a month when making payments to owners. After all, do you really want the money to collect interest in your own account or sit for a month in your property manager’s account? Also, ask if direct deposit is offered for payments. Does the property manager make it a practice to provide property owners with an IRS-1009 and a summarized profit and loss statement for tax reporting purposes? Can the company that oversees property management in Dallas also provide advice on tax deductions and accounting?
Maintain an Easy-to-Follow Audit Trail
Your goal, when working with a company that specializes in property management in Dallas, is to make sure you have an audit trail that is clear and transparent for each of your properties’ accounts. Therefore, the company you choose should be able to provide you with all the documentation you need in this respect. Maintaining this kind of paperwork is essential for tax and legal purposes.
Property Management Reporting
The firm that covers your property management in Dallas should also send out standard monthly reports that include income and expense statements that can also be viewed online. Because reports serve as a window for investment performance, you need to make sure that any reporting you receive is clear and accurate. Reports should be presented so they feature the collected rents, deducted fees, net dollar amounts and itemized maintenance.
Safe Recordkeeping
Not only should reporting reflect itemizations for maintenance and collected deposits, it should also extend to security deposit reporting. Companies involved in property management in Dallas should know the law with respect to any regulations about holding deposits in accounts.
Know Where You Stand Financially
Any company that specializes in property management in Dallas should communicate with the property owner regularly. Know where you stand, especially, when it comes to rental fees, leasing income, and maintenance expenses. Choose a company that can provide you with all the information you need with timeliness and accuracy.
