The Official AppFolio Blog

Once a month, you need to not only collect rent checks, but pass that money along to the property owners you work for. As a property manager, it is up to you to find an option that is effective for you and appealing for the owner. There are many different ways that you can manage the process. Here are just a few examples:

You can pay in cash.
Some owners prefer to deal in cash, since they can simply collect it from you when they see you. However, dealing with large sums of money can be confusing and can lead to poor accounting practices. Plus, if renters don’t pay in cash, you need to make the exchange. There is more margin for error if payments are submitted in this manner.

You can send a check.
This old-fashioned method is time consuming, as it requires preparing physical checks and getting them in the mail. You must collect all the funds you’ve received from residents, both in cash and check form, and change it all into checks for your owners. It is cumbersome from an administrative perspective and costly too – stamps, time and the paper really add up. Plus, there is always the risk that the mail will cause a delay, or that the check will not arrive in the owner’s hands at all. That can result in additional time spent dealing with the payment, and in some cases, direct cost.

You can use AppFolio’s electronic payment option.
Another option that reduces the need for excessive paperwork, while providing greater security is electronic, or ACH, payments. AppFolio software allows you to collect rent from residents electronically and send the money that’s due directly to an owner’s bank account. The process is also built right into the rest of the system, so it is easy to track the money going out and tie it to particular properties and individuals.

When owners begin to understand how a payment method may benefit them in the long-term, they may be willing to explore alternatives that they hadn’t in the past – like AppFolio’s ACH. You’ll appreciate the convenience and how it’s tied into a system that offers complete accounting software for property management.

When a property owner is looking at hiring a property manager, it becomes an interview process – after all, you’re about to take on the care and maintenance of what may be their biggest asset. When they hire you, it’s not simply a question of how experienced you are, or whether your personality meshes with theirs. There are unique criteria that most owners will consider to determine if you’re right for the job. In many cases, whether they choose to hire you will depend upon whether or not your way of operating is in line with their expectations.

So, there are a number of questions that you can expect to be asked, and you should be prepared to answer them openly.

What is your fee?
Most property owners are more focused on bringing in profit from their investment than anything else. Have your price in mind, and answer directly when they ask. Trying to avoid the question while continuing to market yourself will only waste your time and theirs if your fee is not in line with what an owner is able to pay.

How will we communicate?
Some owners are hands-off, while others will contact you for updates all the time. Either way, owners like to know that they are able to reach you one way or another. It’s a good time to set those standards. For example, if you are most available by email, let them know that.

What kind of reports can I expect?
If you’re using AppFolio Property Manager, you can offer your owners access to many types of monthly reports. Let them know that your owners are given access to the Owner Portal of your property management software where you will post your monthly owner statements and reports (such as the Cash Flow Report, Work order reports, etc).

How are repairs completed?
Owners want to know who will take care of their property. Are you an independent property manager that happens to be a jack-of-all-trades, and you’ll take care of it yourself? Do you have your own maintenance team? Do you outsource the work depending on the type of maintenance required? These are all things you need to have answers to.

How do you advertise?
Owners need to know that their properties are getting exposure! Go over your preferred methods and see how they respond. You also don’t need to hesitate to mention the success you’ve had with new-media options and how you use software that streamlines the process so you’ll have time to increase their property exposure even more!

As a property manager, it is essential that you maintain a great relationship with owners – after all, they are very important to your business! You may not need to get along with them on a personal level or meet for 18-holes on Sunday afternoons, but you do need to ensure that you stay on positive terms. This can look different for each owner depending on their specific expectations of you, but there are some basic things that all property managers should focus on doing in order to show owners that their property is in great hands.

Keep The Residents Happy
To keep the owner happy, you’ve got to keep people in their properties. To keep vacancies to a minimum, you’ve got to keep the residents happy. Generally, ensure that you meet any needs that are reasonable and that were agreed upon in the lease. Keep the property well maintained and communicate openly with residents as necessary. Do what you’ve got to do to keep the property rented out.

Be Proactive
Never wait for an owner to tell you that they haven’t received a rent payment for a specific property, or that you’ve failed to provide essential reports. If ever there is an issue, you should be the first one to know and in a position to communicate it to the owner. As long as everything is running as smoothly as can be expected, stay on top of your game. Get them their money before they ask for it, and stay on top of rent collection and the like!

Keep The Money Coming In
Money isn’t everything in life, but when an owner hires a property manager, the point is that they want to be hands-off and simply receive the profits. So that always has to be on your mind!

Leverage Your AppFolio Owner Portals
To make the process of dealing with an owner even easier, we offer Owner Portals through AppFolio. You can give owners access to all the necessary reports so they can download them whenever they’d like. The portal is designed simply enough that you don’t need to worry about providing them with IT support, either! This part of the property management app provides one more way for you to get your job done and keep owners happy.