Last modified on March 15th, 2019
By Christina Burch
Finding a qualified company or individual agent to manage rental property is essential for homeowners and investors interested in capturing a maximum return on their investment. However, it’s not guaranteed that every property manager is certified.
What is a Certified Property Manager (CPM)?
Certification is a valuable asset for property managers. CPM status designates a rental partner as a professional who is truly committed to excellent service with a focus on ethical treatment for all stakeholders – buyers, sellers, investors, tenants and company employees.
Each state has a unique set of rules that govern property management. For example, Virginia requires both a Real Estate Brokers License and a Common Interest Community Managers License, while Vermont doesn’t require either to offer property management services. It’s important to realize that although every CPM is not equal, all programs enhance skills that will set certified property managers apart as experts in the field and the community.
Since the goal for investing in a rental property is usually to provide a healthy revenue stream, why wouldn’t property owners want a certified professional to manage their assets?
5 Reasons Why Investors & Owners Deserve to Work With Certified Property Managers
- A CPM helps owners identify changes in the market by accessing current financing terms, market price fluctuations, and the status of competing properties in the area. This ensures rent values are competitive, while also allowing investors who are looking to expand their portfolios to access insider information about new listings as soon as they become available.
- A certified manager also possess resources to help owners continuously monitor asset performance. Whether it’s with streamlined technology or market comps to help owners evaluate rental prices, a certified property management team should be able to best guide owner decisions that boost revenue potential.
- Certification ensures managers are educated with best practices and training modules that teach how to market rental property to maximize profit and control expenses. These skills reflect a knowledge of where and when to market each property, and how to make sure these activities comply with local, state and federal statutes.
- Negotiating skills are crucial, and CPM programs help managers develop exceptional communication techniques. Professional rental management teams often negotiate contracts to lower operating expenses. It’s also ideal for owners to leverage the power of scale to ensure lower costs for everything from maintenance and office supplies to landscaping and utility contracts. A property manager trained in these matters will find opportunities to budget wisely and efficiently.
- A team led by a CPM is well equipped to provide better service to their clients, which commonly leads to overall job satisfaction. With the knowledge and skills gained during the certification process, managers are better positioned to evaluate property management software, telephone systems, and other necessary equipment to make sure their front-line team is fully equipped to succeed.
The benefits of obtaining a property management certification demonstrates the importance for owners to partner with a qualified and knowledgeable individual. With access to top-level resources and support, a certified property manager knows how to best value an owner’s investment and leading a successful team to do the same.
More Information On Property Management Certification & Professional Development
The National Association of Residential Property Managers (NARPM) and the Institute of Real Estate Management (IREM) offer readily available certification programs, with some programs offering credit for experience as a licensed real estate agent or broker. Additionally, individualized programs are available for residential, industrial and commercial property management. In some states, such as South Carolina, special licensing programs for property management teams are offered at community colleges and trade schools.