5 Questions to Ask Your New Property Manager

Recently a renovator posing as a property manager in Edmonton has gone bankrupt. Because this company was not a legal property manager, all rents and security deposits are probably gone.

If you were one of the victims, it is critical that you file a written complaint with RECA (the Real Estate Council of Alberta) at www.reca.ca.

These investors are also at risk of being sued by thier joint venture partners because as the real estate expert, they can ask what due diligence did you do before you hired the ” renovator/property manager”?

5 Critical Questions to Ask Your NEW Property Manager (in Alberta)

1. Are you licensed with RECA? Yes or No.

All Property Managers in Alberta must be licensed with the Real Estate Council of Alberta (RECA). All funds must be handled under “trust conditions”, which means strict handling and report requirements for all trust funds. Investors are protected by an industry Assurance Fund for up to $35,000 per client for cases of Fraud.

If Yes, go to www.reca.ca and check license status. Check out your current property manager.
If No, DO NOT HIRE

Word of Caution, for a Realtor to act as your property manager, he must have the written permission of the Company’s Broker to do so.

2. How Long have you been in Business?

There are many long term property management companies in Edmonton. The shorter time in business, the more check you must do.

3. What is your primary business? Real Estate Sales, Condominium management, or renovations?

You want someone who does property management of the same type of building that you’re trying to buy. If you need a renovator, hire a renovator. If you’re buying condos, look for someone who has delt with condominiums or managed condo-rental units in past.

4. How do you manage property?

This includes tenant selection, maintenance, accounting and reporting, how do you pay the proceeds to the investors? When?

5. Get references from other investors with similar types of property.
Call and ask the hard questions.

In the Edmonton yellow pages, there are about 150 property mangers listed.  Many Property Mangers restrict the number of properties that they handle, and many new investors discover that they can’t get a manager for the new single family home they bought.

Property Management Companies in Edmonton who do or have done single family units:

This list is not complete and we do not endorse or guarantee any of the companies therein. Please leave a comment if we’ve missed anyone and we’ll add it to the list.

Bermont Realty (St Albert)
Bella Management
Davies Management* (waiting list so please, don’t call)
Economy Management
Esquire Management
Inland Property Management
Kelly Management
Keywest Management
Kirkside Real Estate
Libertas Property Management
McCrea Management
Milligan Realty
Realty Canada Inc
Realty Corp
Oakwood Management (Fort Saskatchewan, ask for Don Grey)
Redford Management
TRC Management (Spruce Grove)
York West Asset Management

* I am the Broker for Davies Management.