Hiring right property manager matters

Dubai is currently the fifth most important city in the world for the ultra-wealthy.

Professional property management services are fast gaining demand in Dubai and the UAE. A robust portfolio of world-class developments in the country along with a large number of overseas investors seeking to secure their share of the cosmopolitan city of Dubai has driven demand for the service.
According to the latest Wealth Reports, Dubai is currently the fifth most important city in the world for the ultra-wealthy. With several investors, especially from overseas, viewing their property assets in Dubai as long-term wealth, they solicit the services of property managers to ensure the day-to-day management of their assets.
Local investors with multiple assets also prefer the services of property managers for the upkeep of their assets, in addition to commercial real estate owners who value the convenience offered by professional property management firms.
To understand who makes the right property management partner, it is important to review the difference between an asset manager and property manager. Asset managers are often focused on strategic level consultancy with emphasis on assessing portfolio risks and monitoring market conditions.
Property managers are tactical experts, who oversee a property on behalf of the owner. Their services are sought to manage day-to-day tasks. They undertake the management of apartments, villas and commercial buildings in line with the local real estate guidelines and regulations.
Time saver: The service of a property manager is valuable for those who have neither the time nor resources to ensure the timely upkeep of their assets, which makes it important that they choose the right property management firm.
Industry credentials: There are several prime considerations in choosing the right property manager. Firstly, they must have good industry credentials. The number of years that the firm has been in operation, its reputation and track record must always be considered as it is the first statement on trustworthiness and competency.
Size of portfolio: The portfolio size of the property management company is also important as it will help ascertain the firm's market reach and areas of expertise it offers. This will provide potential clients with a fair idea of the services they can expect, and whether the property management firm has the experience in managing specific assets.
Market understanding: A professional property management firm will maintain a clear classification of its portfolio. Potential clients must enquire about classification as it will help them understand the nature of services offered - and how they can gain additional value in the short, medium and long-term. This is crucial because each asset class - such as individual property management, commercial property management and mixed-use property management - calls for a distinctive understanding of the market and a different management approach.
Only professional entities with dedicated teams of experienced professionals can provide the right service needed for the respective asset class. An evaluation of any legal issues pertaining to the property management firm is another indicator of track record.
Tenant screening process: The tenant screening process followed by property managers must also be deliberated upon. Investors who seek services must have a clear picture of how property managers make a decision relating to tenants, as wrongly qualified tenants can cause havoc for all concerned.
Communicating your property right: There are other factors too that merit consideration, including the professionalism with which a property manager communicates about the portfolio. Investors do not want to under-sell their property and only a property manager who will communicate their property in the right fashion so as to reach the right client can bring value.
Understanding laws and regulations: Other fundamental aspects, including their understanding of real estate laws and legislations, and ability to multi-task and pre-empt issues must also be given due consideration.
Round-the-clock vigilance: A property manager's role calls for round-the-clock vigilance and a deep commitment to the investor, not only in ensuring the upkeep of assets but also in creating lasting value.
As the representative of the building investor or owner, the right property manager can increase the net operating income and value of the property. So, it is critical that the right property manager is selected after following due diligence.
Choose package carefully: It is important for clients to understand what package suits them best. Choose one that best fits your requirement.
The writer is the general manager of Hamptons International, a full-service property company. Views expressed are his own and do not reflect the newspaper's policies.