While landlords and property managers have similar goals and responsibilities, these terms are not interchangeable, and they have significant differences. For example, if you’re working with a property manager, there’s most likely a landlord involved somewhere along the line; however, a landlord can work without a property manager.
All of this begs the question: landlords vs. property managers: what’s the difference?
What Is a Landlord?
Landlords are the property owners of a rental space. They invest in the property, whether by flipping it or buying an already completed home, for a profit. They may invest in one or more properties, and they manage the marketing, repairs, and tenants on their own.
Landlords may hire a property management team to help take some of the work and legal onus off themselves, but it certainly isn’t a requirement.
What Is a Property Manager?
A property manager does not own the property of a rental space but instead manages the property for landlords. Think of them as the go-between for a tenant and landlord. Property managers will do background checks on tenants, collect rent, call repair services, etc. Property managers receive pay from the landlord who can continue to collect revenue from their investments.
Property managers are great for landlords who have multiple properties and don’t have the time to tackle all the details.
Do Landlords Need a Property Manager?
While it certainly isn’t required, working with a property manager makes your life a lot easier as a landlord. If you find yourself struggling with background checks, turnover rates, marketing, rental collection, or anything in between, you’d certainly benefit from a property manager. This is especially so if you manage more than one property or manage properties that are a sizable distance away from you.
The biggest difference between landlords and property managers is that a property management company can make a landlord’s passive income a little more passive. So if you’re struggling to keep up with your rental properties or just want the extra help, contact a leasing and property management company today to make your life easier!
