With the UK’s rental market booming and more people choosing to rent, property management services are increasingly in demand. Given that you do not need any formal or specific qualifications to become a property manager, it can be a business with a low barrier to entry and the income can be very attractive.
As a property manager, your role will be to manage and handle the property you are responsible for and the tenants that occupy it. This could be for simple residential flats, to large commercial office blocks and huge blocks where people live.
What Are The Roles of a Property Manager?
According to J Property Management, such companies provide a range of services to property owners, including handling tenants, maintaining properties, and ensuring legal compliance.
As a property manager, you will play an essential role in making sure rental properties are well-maintained and that tenants are satisfied. Here’s what property managers typically do:
- Collect rent and ensure payments are made on time.
- Handle tenant complaints and queries.
- Manage repairs and maintenance for the property.
- Advertise and market properties to attract tenants.
- Screen potential tenants to find the right fit.
- Ensure legal compliance, including safety checks and tenancy agreements.
- Handle evictions when necessary.
Do I Need Qualifications To Be a Property Manager?
No. In the UK, you don’t need specific formal qualifications to start a property management business, but having certain certifications can improve your credibility.
For instance, many property managers choose to complete the Level 3 Award in Residential Letting and Property Management, which is recognised by the National Federation of Property Professionals (NFoPP). This certification gives you a solid foundation in property management law, tenant relations, and industry best practices.
Other helpful qualifications include:
- Membership with industry bodies like ARLA Propertymark, RICS, or the UK Association of Letting Agents (UKALA). Membership in these organizations can offer you credibility, ongoing training, and access to resources that help you stay compliant and competitive.
- Continuing Professional Development (CPD) courses in areas such as property law, customer service, and finance management.
Formally Set Up Your Company With Companies House
To legally operate as a property management company in the UK, you need to set up a business structure. Most small property management companies register as limited companies with Companies House, which limits your personal liability.
You will also need:
- A business bank account to separate your finances.
- Professional indemnity insurance to protect your business from legal claims.
- Client money protection (CMP) to safeguard any rental income or deposits you handle on behalf of landlords.
- Data protection registration with the Information Commissioner’s Office (ICO), as you’ll be handling tenant information.
How Much Can I Earn As a Property Manager Each Year?
Property management companies typically charge landlords 8-15% of monthly rent for their services. For instance, if you manage a property with a monthly rent of £1,200, you could earn £120 to £180 each month from that property.
In the UK, the average income for property managers is around £25,000 to £40,000 per year for employed managers. However, if you own the company, your income potential can be higher.
What You Need To Launch Your Property Management Business
To build a successful property management company, start by building a strong network of landlords, letting agents, and trusted service providers like plumbers and electricians. Attending local property events, engaging with potential clients on social media, and joining landlord associations can help you establish valuable connections and showcase your services.
Develop essential skills for property management, including strong communication, organizational abilities, and knowledge of property law. Being able to handle tenant issues effectively and proactively address property problems is crucial.
To streamline operations, consider using property management software, which can automate rent collection, tenant communication, and maintenance scheduling, saving time for growing your business. Some widely used software options in the UK include Arthur Online and Alphaletz.
Marketing your services effectively is key to securing clients. Start by creating a professional website to attract potential clients, set competitive pricing to appeal to landlords, and list your company in property management directories for added visibility. Gathering positive reviews and testimonials will enhance your reputation, making it easier to attract new business. Combining these efforts will help establish your company as a trusted player in the property management industry.
