When you enter the real estate game, where the score is counted in dollars, you understand it’s important to spend less and earn more. In short, the bigger your positive cash flow is, the better.
Toronto has a great many amazing properties that will yield just that – if managed properly.
The overall value will appreciate, and the property itself will pay its own expenses, leaving a nice monthly income for the investor. The more of those properties you have, the bigger the cash flow is going to be. But that’s obvious to any investor, of course.
What’s not so obvious is the vast difference that a really good property management company can make for this.
A poorly managed property will cost more annually, have a slower appreciation curve, and more. A well-managed investment, however, will bloom and rise in value over time, and will be as financially productive on a monthly basis as it was when it was only just built.
So what’s so special about the best property management companies in Toronto and how does it affect the finances?
Rent is Collected Efficiently
A property management company is run from an office where tenants can pay the rent, which means nobody has to meet anyone at odd hours to pass along a cheque. Notices are sent when rent is overdue, and the presence of the management company is usually a strong deterrent for late payment. Knowledge of the law and experience in handling tardy tenants makes this aspect of management go smoothly and efficiently.
Efficient Repairs and Maintenance
When a repair or maintenance is neglected, the property loses money. First, by becoming less appealing for good, reliable tenants that would be an asset otherwise. Second, by creating more problems along the way. Bad pipes cause more bad pipes. Fixing a small problem now will prevent a bigger problem later, and a property management company is always there to notice and tend to those things without delay. The long-term savings this approach brings cannot be overestimated. Access to a list of tried-and-tested repair specialist and contractors also reduces costs considerably.
This is a two-fold benefit as well. First, the best property management companies in Toronto are also the best in interviewing and screening tenants, making sure to rent only to responsible people who will pay on time and keep your investment in good shape. The other benefit from this is long term. Less vacancy down-time, that would cost you, the investor, money. Good tenants are also those who will stay longer. Once they leave, repairs are never going to take extra time and money. And having the property management company there to interview the next candidates, you can be sure someone will move in again in no time.
There is more, much more that a Toronto management company can do to increase the short and long term revenue from an investment, but those main factors are enough to convince anyone that it’s the right thing to do.
If you wish to enjoy the services of one of the best property management companies in Toronto, call HighGate now. We are here for you!