Screening vendors for property management take a bit of time but finding the right one will save you a ton of money and avoid a lot of dangers. Property managers along with landlords will use a vendor at some point for services, whether it be repairs due to maintenance, or even turnovers and inspections. Every vendor should be vetted before service, but maintenance vendors are especially important since the interactions could be a liability for your business. Every vendor is a representative of your business, so you should make sure that you select those that will work with you. You should look to see what you need as well and choose vendors in that way so that once you do have it all established, you can research, and you’ll be able to find the ones that you want to contract out.
The first thing to do is look at the approachability of the vendor closest to rental properties, including how easy they are to contact and if they return correspondence in a timely manner, or if they have 24/7 emergency services.
You should look at the people that you employ on your property, no matter who they are since they can become irresponsible or dangerous to the property, tenant, or themselves.
Also, look at the experience that the vendor has, or how long they’ve been in the business,s and what types of projects they’ve got under their belt, along with testimonials and references they can use.
Look at the insurance overage that they have as well, including any damages, injuries, or liability claims as needed.
Finally, make sure that they have a business license and a professional license that’s valid and up to date. Any vendors that aren’t licensed should be avoided like the plague. If you can’t find this information readily, always ask.
it’s important that, when you are screening vendors, if they’re willing to give you this information, that’s a good sign, and if they are hesitant, or refuse, it’s a huge red flag. If you’re finding it difficult to research on this, you should use vendor screening services so that you can look into the criminal and financial backgrounds of each vendor, and the business that they have.
If needed, you should consider taking it a step further by creating a list of rules and policies that your company takes when it comes to vendors. Demonstrating that you’ve done your part when it comes to diligence is important if thee are issues. This is a formal compliance policy that you can put together that allows you to tell the timeline to look at issues, contact information, documentation, and consequences of not following this, and any anti-discrimination policies.
Finding the right vendor can save you a boatload of time, money, and stress when choosing someone to help you with your rentals. Choose people that best fit your company, and in turn, create a better, more rewarding situation for yourself as a landlord.