How to Select Among the Best Property Management Companies in NYC
New York City is among the largest real estate and rental markets in the world. The individual markets of each of the five NYC boroughs - Manhattan, Brooklyn, Queens, the Bronx, and Staten Island - boast livelier markets than many of the largest cities in the world. When choosing the right property management partner you have to consider the importance of services beyond basic routine management. Insider knowledge and expertise are essential to capitalizing on the market’s unbeatable liquidity, fast-pace, and land appreciation.
At MD Squared, a property management group in NYC, we handle pricing, marketing, and leasing logistics to help our clients maximize profits and grow their investment. We also ensure clients are in full compliance with all local, state, and federal real estate management laws.
There is more to property management than meets the eye. Consider these important responsibilities to find the partner that can best support your needs and ambitions.
What are your legal responsibilities?
Failure to meet your legal responsibilities as a property owner or landlord can lead to costly disputes with tenants and in some cases, hefty penalties. A reputable NYC property management company will help you meet legal responsibilities, including:
Zero discrimination when reviewing tenant applications
Provision of habitable housing
Leasing and rental agreements, including all required disclosures
Termination of tenancy
What are the responsibilities of a managing agent in NYC?
Ensure the efficient operation and maintenance of the property. They hire and manage facility partners, including exterminators, cleaners, HVAC and elevator servicing professionals, and any other services required to keep the building safe and functional.
Manage tenant requests and complaints, including maintenance, construction and safety hazards, commercial use of residential units, and interactions with neighbors.
Procure and maintain insurance policies, manage licenses and permits, and maintain DOB registrations for elevators and boilers.
Collect rent and fees, and initiate legal proceedings on behalf of the property owner when necessary.
Advertise the property in top New York real estate broker systems and classifieds.
Ensure property compliance with all environmental, deed restrictions, and building codes.
Document all invoices and services appropriately, including proof of insurance, proof of repair and maintenance, and proof of all addressed complaints.
What should you look for when choosing a project management company in NYC?
A reputable property management company will publish proof of the quality of their services on their website and social media pages. Check out their online portals for property owners and tenants, and reviews and testimonials. Consider visiting the properties they manage to see if they are clean and well-maintained.
NYC property management companies are required by law to have either a real estate broker’s license or a management license. A license acts as proof that the manager has completed a state-approved property management course and the New York state licensing exam. Credibility can also be confirmed by the number and quality of industry awards a company has.
The first indicator of professionalism is how well a property manager advertises their properties. Go through their ads with a tenant’s mindset and see if you are convinced to rent with them. Another indicator is their commitment outline. A good outline should include how often they will be visiting your property, how they manage tenants and terminating tenancy, dealing with sudden property damage, after-hour emergencies, and other management specifics.
What are some red flags to watch out for?
Vague and ambitious marketing plans - Ask your potential partner how they plan to market your property while maintaining maximum profitability and aligning with your personal preferences.
Fee Structure - Untrustworthy management companies may undercut the average property management fee to appear competitive, but a low fee likely means less access to quality services.
Poor management companies won’t support your business with reputable software or dedicated bookkeeping for accurate accounting.