Investing in real estate, assured profitability, at what price?
If you are thinking of making a reliable, safe and long term investment, buying a real estate can be a good option.
Panama, is one of the countries that offers more economic stability in Central America. Thanks to the income generated by the Panama Canal, an economy based on the American dollar, its free zones, the fiscal advantages it offers to foreign companies, and the stability of its banking center, make this country an ideal place to invest.
Now, whether you acquired one or several properties, these are going to need a good administration to obtain the desired results, but at what price?
Managing a property can be a headache. Once made our investment not without before advising us well of what we are acquiring, it will be necessary to think about the necessary dedication to rent the property satisfactorily and to obtain the wished yield.
Acquiring a professional and qualified property management service should be considered as part of the investment.
These are some of the benefits of working with a property manager:
1. Finding a good tenant for the property
It may be that due to inexperience in the real estate sector and the rush to rent the property, the owner does not take the necessary precautionary measures when minimizing the risk and renting to people who may damage their property or cause unpaid rent.
By having a professional company, the tenant first goes through the filter of the manager who can also act as a real estate agent and then collect the necessary information and perform the “due diligence” that allows to elaborate a risk profile of the client.
During the term of the contract, in case of suspicion or irregular situations that may occur with the tenant, the manager will implement an inspection and evaluation plan of what is happening in the property and may take action as soon as possible in case of having to evacuate the tenant, minimizing the cost of legal measures and possible damage to the property.
2. Improved relations between landlords and tenants:
Working with a good manager will help in the communication between the owner and the tenant, and will act as an intermediary in the resolution of conflicts.
Benefits for the landlord:
You will have the peace of mind of knowing that any claim or damage reported by the tenants will be addressed as soon as possible.
The property manager has access to different service providers to assist the tenant
The administrator will handle the complaint, find the service provider, quote and follow up until the problem is resolved.
Benefits for the tenant:
You will have peace of mind knowing that your claims will be handled professionally and quickly, at any time of day.
You will feel comfortable not having to “bother” the landlord with an emergency on a holiday, or if you have any type of situation that requires a professional, which can be complicated if the landlord does not reside in the same city.
3. Greater financial control.
A property manager will be on the lookout for both mandatory management payments, taxes, utilities, and monitoring that tenants are making their rent payments on a monthly basis.
In addition, the manager will prepare a quarterly financial report that will allow you to easily track the profitability that is generated from your property.
4. A team of professional and economical suppliers
A property management company has a qualified team of professionals to take care of your property: electricians, handyman, plumbers, painters,…who will work at a better price than if you look for it on your own.
A good property manager will make periodic inspections and will be able to prevent or be attentive to the repairs or maintenance required before the situation degrades and causes damage that requires greater expense.
5. Improve profitability
A happy tenant is a tenant who stays.
Good landlord-tenant relationships greatly reduce the time the property is vacant. The tenant will feel cared for and will extend the time of stay in the property.
A property manager is an advisor who can help you at the time of evaluating the best price for your property being your priority to rent your property in the best conditions.
6. Peace of Mind” Benefits
Zero stress: The peace of mind of leaving your property in good hands without having to personally attend to complaints, emergencies, tenant payment problems.
More time for you: you can enjoy the time spent promoting or inspecting your apartment in you, in dedicating yourself to other activities or simply enjoying your time.
In summary, relying on the “expertise” of a property manager will allow you to obtain a return on your investment, enjoying your time as you prefer, feeling the peace of mind that your investment is in good hands.
Beatriz Alvarez placeholder image
Head of Real Estate
To learn more, contact us at:
info@kb-familyoffice.com
July, 2019
