The Orange Difference: Why Choosing Orange Property Management Will Increase Your Return On Investment
Whether it’s a first investment property or one of many, any multi-family property owner knows that managing a building full of tenants is far from easy. From evictions to collections, a good property management company can save a building owner time, money, and headache.
If you’re considering hiring a management company, consider these benefits that can provide peace of mind and freedom, while increasing your overall return on investment.
Fewer Vacancies and Faster Turnaround
Many owners, and even some property management companies, may advertise vacancies and even fill their units in a good market with ease. But it’s in a tough market that experienced property management companies are able to help keep vacancy loss to a minimum. Orange has several distinct advantages:
- The team at Orange Property Management plans ahead for move-outs, so that immediately when a tenant moves out, any repairs and cleaning is completed with minimal days between tenants. We have the advantage of a utilizing a full time Director of Maintenance with over 20 years of experience. Plus, each market has an experienced maintenance team on staff to quickly repair and turn units, so they don’t spend weeks sitting vacant.
- Cleaning for turns can cause serious burnout for owners who self manage. When a tenant moves out, the unit needs to be move-in ready for the next occupant. What if a tenant moves out without cleaning? What if carpets are stained and haven’t been shampooed? What if there’s pet odor? Orange not only maintains a full-time cleaning staff in almost every market, we also have exclusive agreements with vendors to keep cleaning costs to a minimum, saving owners both time and money on turnarounds.
- Orange Property Management’s full time marketing staff begins advertising apartments as soon as a current tenant gives notice. We advertise on over 80 web-based platforms and respond to Facebook, Craigslist, and other inquiries personally. In addition, regional leasing agents and office staff are on hand to handle walk in traffic and phone calls. Our full time leasing coordinator is also dedicated to scheduling showings and increasing communication between Orange and prospective tenants from the time the first inquiry comes in until a tenant’s lease is executed and we hand over the keys.
- Tenant retention can eliminate the need for costly turnarounds, marketing, and vacancy loss. Orange works diligently to ensure that our maintenance team is highly responsive and our customer service is top notch. Tenant satisfaction leads to more long-term tenants, which means higher ROI for an owner.
Collecting rents, obviously, is what pays a property owner’s bills and provides income. An experienced property management company has systems in place to ensure rents are collected in a timely fashion, so an owner’s return on investment is maximized. While every property management company is expected to collect rents, an experienced, professional company minimizes late payments through proven, effective processes while also saving owners time by managing outstanding accounts as well. Orange excels in this area for a few reasons:
- Our property management software allows us to collect payments automatically by credit or debit card and ACH payment, so tenants don’t have to remember to pay rent. It’s automatically collected on the first of each month and automatically deposited into the owner’s account. Seamless integration allows money to move fast and easily, with far fewer bank deposits and manual accounting that can lead to errors. Owners don’t have to waste time calling or emailing tenants to collect rents. Instead, Orange manages all collections, from monthly rents to outstanding payments. In fact, Orange now collects 85% of monthly rents on time, with outstanding rents by week two to less than (?)%.
- Collecting bad debt from tenants who have been evicted or break their lease is often a losing battle. However, Orange’s success in collecting bad debt is far above the average. Our operations team exceeds national debt collection companies by collecting a majority of outstanding debt within the first month after move-out. Only a small portion of our current outstanding collections is actually written off as bad debt.
Evictions, Taxes, and Leases…and Other Time Consuming Legal Issues
Hiring a professional management company can pay off most when it comes to legal issues. Most property owners don’t have law degrees or real estate licenses, so when it comes to dealing with sticky situations, such as evictions, one wrong move can cost an owner a whole lot of money. A good property management company is well-versed in laws from fair housing to proper procedures in the case of evictions, plus many other areas of property management law. Not following the law can leave an owner vulnerable to lawsuits. Orange stands out in a few ways:
- The owners of Orange have over 20 years of property management experience, and the company has dealt with innumerable scenarios throughout their property management careers. Additionally, both majority owners also own their own properties, and expect their company to follow the same procedures for all owners as they would for their own properties.
- Many of the staff at Orange carry certifications, degrees, or licenses. Two staff members have real estate licenses and are well-versed in property management rules, regulations, and laws in both North Dakota and Minnesota. Orange offers its staff members career advancement through education related to the business of property management.
- While no one on the Orange staff is a lawyer or accountant, our company retains a CPA firm to assist with tax issues, owner statements, and accounting issues, so all transactions made on behalf of an owner are done correctly and with integrity. Additionally, Orange retains a lawyer who specializes in property law to assist in evictions and other legal actions in protection of an owner’s investment.
Inefficiencies and Lack of Resources
Many property owners in North Dakota choose not to hire a management company because they don’t want to pay fees. They believe they can manage easily on their own, which leaves more money in their pocket at the end of the day. However, time is valuable, and property investors of more than just a few units quickly find that they spend far more time fixing issues and collecting rent than they ever imagined.
Orange Property Management’s systems are designed to trim inefficiencies in operations that ultimately save each owner and investor both time and money. In fact, we work with you to discover how we can cut down on your current expenses and collect money faster to help you maximize your ROI. We have cultivated multiple local partnerships so we have the manpower and expertise to execute on maintenance and turnover work quickly and effectively.
Saving time means saving money for owners. Since Orange is owned by people who own property themselves, we understand how each action affects your bottom line.
“I always tell people, you are not investing in stocks or real estate,” says Mike Sather, President and Co-Owner of Orange. “You’re investing in a spigot. How much cash flows from that spigot and how sustainable those cash flows are in the future determine the value of that spigot. Orange’s systems help owners get maximum cash from their spigot.”
By looking at your asset as a long-term investment, we’re able to help owners protect their assets for years to come, not just manage day-to-day operations.
Another way we gain efficiency is by remaining on the cutting edge of technology by aligning with the best platforms in the business. This platform allows us to cut out inefficiencies in rent payments, maintenance requests, and even accounting and reporting. Every system we put in place allows us to operate with efficiency and transparency, so every dollar you spend and collect is accounted for.
Let Your Headaches Be Ours
One of the best reasons to hire a professional management company is to provide owners with freedom and peace of mind. A trusted property manager can relieve an owner of time-consuming maintenance issues, legal battles, costly turnarounds, and stress. Let us collect rents, promote your properties, and take midnight maintenance calls. Our qualified staff members use proven processes that really do increase your return on investment and keep your property performing at the highest possible standards within the market.
Orange Property Management isn’t your average property management company. For us, it’s more than just collecting rent and shoveling sidewalks. We work diligently to provide comfortable, safe, quality housing for each and every resident. It’s about loving what we do and working with integrity at all times, so that tenants and building owners alike know that we always do what’s right, no matter the situation. We ensure each building owner knows that the asset they’ve entrusted to us is protected to the very best of our ability. So in addition to finding tenants and managing maintenance, we provide services and communication to each owner that are second to none.
Here are some of the additional services Orange provides:
- Monthly owners statements personalized to give you the information you need, including
- Cash flow statements – monthly and 12 month
- Rent Rolls
- Gross potential rents to analyze property/management performance
- AR / Collections reports
- Work order and labor summaries
- Personalized options to fit your needs
- Tax reports (additional charges may apply)
- Open communication between Orange and owners with our management team
- Rental and housing market analysis (additional charges may apply)
- Accounting services (upon request; additional charges may apply)
- Asset management services for preventative maintenance and capital expenditures
- Furniture services for staging and furnished units
- Professional cleaning, lawn care, and maintenance services
- Full-time marketing services (additional charges may apply)
- Professional photography and videography (additional charges may apply)
- Collections services
- Social media management of established assets (LinkedIn, Facebook, Twitter, and Instagram) or creation of new property specific social media accounts