Property Management is defined as the operation, control of (usually on behalf of an owner), and oversight of commercial, industrial or residential real estate. It involves the processes, systems and work force required to manage all the acquired property including acquisition, control, accountability, responsibility, maintenance, utilization and disposition.
It is the process of managing property by maintaining and handling all the day-to-day activities that are centered around the piece of real estate. Property management may involve seeking out tenants to occupy the space, collecting monthly rental payment, maintaining the property, and upkeep of the grounds.
Properties that are residential will often have a caretaker that lives on the property or in the main house they are to care for. Their responsibilities include taking care of a main house along with the yard or property that surrounds it. They are also responsible for collecting rent on a rental house or unit on the property, depending on the owner’s requirements.
Property management for a commercial piece of property can be for an apartment building or house, and can include both renting out the units or house through the generation of a contract, collecting rent and taking care of the property surrounding the main building.
The only difference between property management for a retail property compared to a commercial property is that the building is normally leased for a company to use, rather than an individual.
A good property management company could be really useful to the investor or property owner who does not have time to dedicate to his or her real estate investment.