Blog Post

Are Rental Agencies Property Management Companies As Well?

Dustin Edwards • Dec 29, 2023

Navigating the intricate real estate business can take time for new landlords or established investors. It's important to distinguish between rental agencies and property management companies. While property management companies and rental agencies often fill similar roles, there are a few key differences between them.


Below, we’ll review three differences between property management companies and rental agencies.


The Scope Of Services

One of the differences between rental agencies and property management companies is the general scope of services provided. Rental agencies primarily focus on the tenant side of the business. This includes services such as tenant placement, marketing, screening, and enabling the lease signing process. Their goal is to find a suitable tenant to fill your vacancy. Once the lease is signed, their involvement decreases.


Some rental agencies will continue to offer services like rent collection and financial reporting. However, this isn’t typically the norm.


Property management companies
, on the other hand, provide services that include the aforementioned services of the rental agency. Except their involvement continues long after the lease is signed. Property management companies are also heavily involved with minimizing the duration of a vacancy through marketing and preparing the rental for the next tenant. It is well known that a vacancy can negatively affect your bottom line. Not only are you not collecting rent, but you frequently must pay utilities and repairs while the rental property is being marketed. 


Ongoing Involvement With the Property

As previously stated, most rental agencies back off after signing the lease. They usually have an approach akin to a transaction. Once the service is completed, they are no longer needed and tend to withdraw until they’re needed again. This approach can be convenient for owners who can manage the property yet have difficulty marketing and dealing with lease agreements.


Property management companies, once hired, remain involved with the property for the duration of the established contract. This means a property management company should deal with the day-to-day affairs once a tenant has moved in. This includes rent collection, general or emergency
maintenance, and the overall obligations involved with managing a property. They are often the personnel a tenant contacts in case of questions, requests, or complaints. Unlike rental agencies, property management companies continue to communicate with tenants for the duration of the lease term. 


Different Specializations

Ultimately, the main difference comes down to their respective specializations. Only some landlords need a property management company. It's common for first-time landlords to manage their own rental property. Especially those inclined to do the maintenance themselves to save money. For these landlords, it's likely that they only need to find quality tenants without the additional services that a property management company could provide. As the old saying goes, “Different strokes for different folks.”


A full-service
property management company, on the other hand, is a generalist. While not specializing in any single aspect of property management, a property management company can reliably handle taking care of your property. This allows you to enjoy your free time as you wish, whether with friends and family or investing time in expanding your real estate portfolio.


Every landlord needs a different tool to manage their properties. Some owners can handle the majority of the work involved. At the same time, others may need a more comprehensive approach to property management due to the size of their portfolio. If you need help managing your rental, we invite you to call us today at (562) 888-0247 or fill out our
Owner Application online.

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By Dustin Edwards 01 May, 2024
Everyone wants to feel safe in their homes. As an investment property owner, it's up to you to decide whether or not to include security measures in your property. Many of the costs associated with the security measures can be included in the rent, meaning not only can you keep your property safe, but you can earn more income in the long run. However, you would still want your tenants to have renters insurance to protect their assets. Today, we’ll discuss the top five security measures you can add to your property and why they're beneficial to you and your tenant. Security Cameras Cameras are probably one of the first security measures people think about when asked about security. Cameras provide more benefits than just surveillance. They provide an extra level of security for the safety of the tenants and their belongings. Additionally, security cameras can be useful when repairs are required. Cameras can aid in supervising repairs and maintenance to ensure you’re receiving the agreed-upon work. During vacancies when the property is empty, security cameras can help keep the property safe from potential intruders. Doorbell cameras are incredibly popular now. They provide the aforementioned safety of a camera that can be accessed remotely, as well as the ability to communicate with visitors. Although one must be careful never to say you're not home, just say you're unavailable to strangers. Security Lights Security lights with motion detectors are another effective tool when adding security measures to your property. These lights brightly if a potential intruder attempts to get near your home. They can provide enough illumination to see the intruder or, at the very least, scare them off. Nowadays, you can find a combination of security cameras and motion-activated security lights, such as the floodlight cam wired plus from Ring . Additionally, because these lights only turn on when motion is detected, they’re more cost-effective than traditional lights with a switch. Illuminate the Property Light generally deters intruders as it's more difficult to hide. Adding lighting to the landscaping can increase the security of the property while creating a relaxing atmosphere. Lights can also be used in other areas of the property to accent features such as trees, benches, or artwork. This can help your property stand out while giving your tenants an additional feeling of safety. Keyless Entry Keyless entry is seen as both a convenience feature and a security feature. They usually use an electronic passcode, biometric data, or grant access through a smartphone app. Physical keys can be lost, stolen, or duplicated. You reduce the risk of unauthorized entry by eliminating the need for a physical key to enter the property. Many keyless entry systems include several features, such as remote locking and monitoring. Although keyless entry is a great new technology for keeping your tenants and properties safe, they’re best used with other security systems. Security Company Nothing beats having an extra pair of eyes on your property for security. This is where security companies like ADT and SimpliSafe come in. While companies may deal with security in varying ways, they aim to protect your investment. While safety is the primary role of a security company, remember that many tenants may be willing to pay more for a premium amenity like a home security company. Keeping your property and tenants safe is incredibly important to the longevity of an investment property. If you’re looking to improve the security of your Long Beach rental property or need help managing your beach city rental property, we invite you to call us today at (562) 888-0247 or fill out our Owner Application online .
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