Challenges That a Property Management Company Face in 2020
Updated: Feb 19
2020 has been a crazy year. With the Australian bushfires, the pandemic, travel getting shut down, the world basically came to a halt. With that being said, we are sure that the pandemic has truly impacted you and your business as a property manager in 2020.
We know that with everyone having to stay home, you might not have been able to even have any house viewings or even close any deals because people are worried about money. Apartments and condos didn’t allow anyone to move in or move out for almost 3 months and we can only imagine how this would have affected your business.
Here are some of the issues we know you might have come across during the pandemics.
Challenge 1: Rental Prices
With a lot of people getting hit with retrenchments, pay cuts and even just being made redundant, a lot of people were worried about not being able to pay the full amount for rent. This would have posed a huge problem as we are sure that tenants would have tried to look for a reduction in rental prices.
This brings about a whole new discussion because no one has ever been this affected by a pandemic and all solutions will be novel as the problems. However, the problem also does lie in the landlords as well because most landlords are not extremely rich but rather they rely on the rental to pay their mortgage for their other property.
So it becomes a domino effect and the entire industry becomes affected. This is where your documentation and negotiation skills come to play. You will need to facilitate the discussions between both the landlord and tenant to come up with the best solution for both sides .s
Having proper documentation software is extremely important so that you write everything down and keep it where it can be referred to if contested in the future.
Challenge 2: Tenancy Agreements Ending Earlier
Some people, especially ex-pats might want to leave earlier to go home because the travel restrictions are so bad. This would have caused a lot of tenancy agreements to be ended much earlier. Luckily there is the deposit to cover any of these issues but having to deal with the logistics can be a pain. Without property management software, you will be lost really fast.
You will need to have all of these agreements on paper and keep all of your documentation up to date.
Challenge 3: A Rise In Property Management Requests
A lot of people who own property might also be in a different country and we realised that you might be getting a few more calls that they might need a property manager to help them manage the properties they left behind.
It could also be the case of needing a little extra help during the lockdown period. Some landlords have elderly parents or children to take care of. So going to house viewings and dealing with exchanging of contracts and meetings.
This is great news because you will still have more business but with more work, you will need to be able to manage all of these new requests.
With a property management software, you will be able to keep on top of everything and be able to survive this pandemic.
If you have been affected by this pandemic, let us know what you faced and how you overcome them?