Property Management - what skills do i need?

Question

I have a few million coming my way and i would like to set up a property management business.

I was just wondering what skills i would need or would be useful?

Any monkey with money can buy a dump and get a builder round - surely there must be something else i should need to know?

I would also like to rent out the properties, not just sell them all on...

Thanks

Answer 1

You have to be thick skinned and not believe a word the general public, contractors or renters tell you:)

Answer 2

You are mixing property development with property management. To rent out propeties whether they are yours or for clients, you must ensure the property has smoke alarms and a gas safety certificate. You must have fire extinguisers on the property and have the electric wiring are being in a safe condition.

The problems you will have in letting properties is collecting the rent. Although you can insist in tenants paying by Direct Debit, these can be cancelled at any time. Even people on Housing Benefit can do this. Housing Benefit is payable to the claiment only unless they want it paid by Direct Debit to you, but they also can cancel a D/D at anytime and have the money sent to them to cash. You can try to get people evicted for rent arrears, but to do this means doing it through County Court only. In the meantime there is nothing preventing people from doing a flit owing hundred s in rent. I have wworked for a guy who had these problems and in the end he was owed £8,000 in rent on his properties and all of the tenants done a flit. Usually when they leave like that, they always trash the property and take the keys with them.

I have seen his properties where they have done a flit and the damage done. Paint all over new carpets. Smashed light fittings. Holes in doors. Grafitti over the walls. Take the Washing machine with them or the gas cooker. These were people with references too. Smashed shower trays etc.