Is a property manager worth it? Everything you need to know

What is property management?

Property management is the professional oversight of rental properties, covering everything from tenant communication to maintenance and compliance with Rhode Island housing laws. Instead of a landlord handling every detail, a property manager coordinates daily operations, addresses issues quickly, and helps protect the long-term value of the investment. For many landlords, the question of whether a property manager is worth it starts with understanding just how broad the responsibilities of management really are.

This article is not intended to and does not constitute legal advice or create an attorney-client relationship. Property owners should consult their attorney to discuss the legal implications of their decisions or actions prior to proceeding.
 

What does a property manager do?

While every Rhode Island property manager has different responsibilities to cover the unique needs of each property, their core duties can be grouped into a few key areas:

• Tenant management: Rental managers help with advertising vacancies, screening applicants, signing leases, and guiding move-ins and move-outs.
   
• Rent collection: They collect rent on time, follow up on late payments, and keep records accurate.
   
• Maintenance and repairs: Rental managers coordinate regular upkeep and emergency repairs, often through trusted vendor networks.
   
• Financial management: Owners rely on managers to track income, expenses, and budgets.
   
• Local law compliance: Rental managers understand local laws and help keep properties compliant with regulations that affect Rhode Island landlords.

Because Rhode Island rental laws can be complex, having a rental manager familiar with the local market and regulations makes a big difference.
 

Pros and cons of property managers

Hiring a management company for rental properties comes with clear benefits, but some landlords hesitate because of a few common misconceptions.
 

Pros:

• A management company for rental properties saves time by handling advertising, tenant screening, rent collection, and maintenance coordination.
   
• These companies bring local expertise, which is especially valuable in Rhode Island where landlord-tenant laws and housing codes can be complex.
   
• By using proven systems, a management company for rental properties can improve tenant retention, reduce vacancy times, and help protect the long-term value of the property.

Cons:

• Some landlords worry about the costs of management fees. However, many landlords find they save money through reduced vacancies, negotiated vendor rates, and fewer costly mistakes.
   
• Landlords may worry about a loss of control. However, management companies for rental properties work on the owner’s behalf. Landlords set the big-picture goals, while managers handle execution.
   
• Responsive communication is sometimes a concern for landlords who are considering working with a professional management company for the first time. In reality, tenants often prefer the responsiveness of a management team backed by local experts rather than relying on a single landlord who may not always be available to take calls, coordinate repairs, or handle issues quickly.

Is a property manager worth it?

Property managers provide value by handling tenant communication, legal compliance, maintenance scheduling, and financial tracking in a way that most individual landlords cannot replicate at scale. For landlords with multiple units, or those living out of state, the benefits become even more obvious.

David Readinger, executive director at FirstService Residential, explained that “baseline service” as an expectation is a thing of the past.

"In the past, buildings both big and small might have been fine with basic services: someone who can collect the fees, pay the bills, handle the contracts, create a general financial report and handle calls and emails. That’s not enough anymore."

David Readinger, executive director at FirstService Residential

Readinger asserts that, when landlords want to go with the lowest-priced option for management, they are likely to get a manager who is responsible for far too many properties. The more properties that a manager has, the less time can be spent on any of them.

"I’ve talked to many boards who say ‘We have a manager, we like him, but he never gets back to anyone.’ Then I find out they are paying an extremely low price for their management services. The only way to pay that amount and have property management technology, company structure, education opportunities, board support and a career-minded manager — someone invested in certification and continuing education — is for that person to manage about a dozen properties in a portfolio. Of course they don’t have time to respond to anyone."

David Readinger, executive director at FirstService Residential

Learn more about why boards hire a property management company in our video above. Readinger and his team helped turn around a building that was a month from being condemned because it had failed a safety inspection.

"They had deferred maintenance for so long, in an effort to save money, that an inspection revealed problems with stairs, railings, the roof and more. Condemnation would have meant people moving out, so we moved quickly to avoid that. We brought in contractors and created a maintenance schedule that would satisfy local authorities and keep people in their homes."

David Readinger, executive director at FirstService Residential

As all of this was happening, Readinger’s team discovered that the owners didn’t have the money on hand to pay for heating oil — and winter was a few weeks away. “Because of our size, we were able to negotiate with oil companies and set both payment and delivery schedules that worked for everyone,” he said.

His team had to jump in with both feet because all of these problems arose as the transition from a small local management company was happening. The local company had no board education, no technology solutions and no influence with vendors, but the lack of resources for management was the biggest problem.

"It all comes down to time. Management doesn’t have time to get everything done, because they’re doing it the way it was done 30 years ago, and it takes longer. If the owner of the company is still managing properties or producing client financial reports, they often do not have the time to properly coach and support their team, leaving the managers on their own."

David Readinger, executive director at FirstService Residential

Interested in professional property management?

To learn more about how a professional property management company can use its resources to enhance your property values and improve residents’ lifestyles, contact FirstService Residential, North America’s leading property management company.