interviewing new management company

Here are some questions I asked:

1. Ask about their background: how did they get into the business, training, certificates. How long they’ve done this. How long have they been in the area and know the area.
2. Describe other properties that are similar to yours. If they manage many properties ask about how they manage their growth so they have enough resources to manage all their properties.
3. Walk you through a budget process/decision making process/dispute resolution.
4. Have them talk about their contractors: how long have they used them, how do they develop relationships with them; how do they put work out for bid.
5. Ask to see sample financial reports.
6. Given them some emergency scenarios and ask them to tell you how they would handle it (from something very serious like a fire to sewage pipes backing up)
7. What are the best practices they use to keep people happy and operations running smoothly?
8. Have they managed/implemented an assessment before: What went well/what went bad and how did you deal with it.
9. If it’s an issue for you...do they have experienced with foreclosed property that’s been abandoned or collected delinquent hoa fees.
10. Do they need to manage rental units? Ask about marketing the property/managing renters.
11. Map out all costs: Contract costs and what is covered. Are you locked into pricing for the length of the contract? How are increases determined? Are their discounts, saving opportunities...etc.
12. Ask them directly: If I talked to your other clients what are the positive things they would tell me and what are the things they’d say you need to improve.
13. Communication: How do they best communicate (email, phone, visit their office, do they have a “service ticket” system. Do they have a website where information will be available (finances, condo docs, self help menu…etc.). Also, what are the best practices for engaging them (only trustees call or anyone calls…how does it work?).
14. If you’re unhappy with them what is the termination policy. Also, have they ever fired a client and if so explain the circumstance?
15. Ask for references and ask to visit one of their properties. Tell them you’ll want to speak to trustees at 2 or more of their properties.
16. GOOGLE THEM! See if there’s any positive or negative feedback. Look on yelp and if there’s nothing you might want to post to see if anyone has feedback. Just an observation: pay attention to property managers that have negative feedback from renters. If they people are complaining, “they were going to evict me because I had loud parties every night…” that might be a positive review as it speaks to their ability to maintain order and enforce rules.

Also, make sure they are responsive during the search process. I had firms who failed to show for scheduled appointments or did not follow up after we met. I told them if they acted this way in the sales process how could I trust they’d be responsive after we were contracted with them.

Get as much in writing and try to think about everything that’s important to your association and review it with them.

Best of luck!