David Crown, CEO and Founder of L.A. Property Management Group and Crown Commercial Property Management.
I’m always surprised when I talk to a real estate agent or broker who doesn’t have a rock-solid property manager in their back pocket to refer clients to. An agent or broker’s success often hinges not only on the ability to close deals but also on the ability to provide value that extends beyond the transaction.
Let’s explore why a strong partnership provides a powerful boost to a professional’s long-term success.
1. Fostering Long-Term Relationships With Clients
Real estate is a relationship-driven business. While some agents and brokers focus purely on the transaction, I’ve noticed the most successful ones focus on the connection built during the transaction. They understand the long game and the value of being more than just a resource for buying or selling.
Not every deal closes neatly. There’s often a list of tasks that need to be handled before the sale is complete, and sometimes after as well. This is where a good manager becomes an advantage. A clean hand-off to a manager who will professionally resolve issues related to tenants, repairs and other matters will allow an agent or broker to stay in their lane, moving to the next actions that propel their production, all the while knowing their client’s needs are being met.
There’s real synergy that can be created between professionals in these situations, and the value is transferred directly to the client. When the client enjoys a more stress-free experience with their new property, this reflects positively on the agent or broker.
2. Access To Expert Market Insights
I never pretend to know the real estate market the way an active broker does. They’re plugged into the ebbs and flows of the market in a way managers aren’t. In the same way, a good manager has a pulse on certain components that play a key role in the performance of rental properties that aren’t as common to brokers—specifically rental trends, maintenance strategies and the ever-changing legal landscape that surrounds our industry.
The best agents and brokers I know are always hungry to provide clients with up-to-date, data-driven advice about which properties are likely to generate a high return on investment. Good managers become a second set of eyes, sometimes pointing out additional value or benefits in a property that only a manager might spot.
Agents and brokers who have a go-to manager for specific insights are often better off than those who rely on more generalized industry speculation. Their clients appreciate this.
3. Property Value Optimization
If the primary goal for a property owner is to increase the value of their property over time, the best way for an agent or broker to strengthen that relationship with their client is to set them up to succeed in the long term. And few things will accomplish this as handily as placing them under the care of a sharp manager.
By recommending a property manager you know and trust, who is focused on maintaining and enhancing property value, the broker can help clients get the best return on their investment.
4. Increased Referral Opportunities
Last but not least, it’s important to remember that referrals can flow both ways—property managers might refer owners to the agent or broker when they need to buy or sell.
If an owner comes to me looking for an agent they can trust, the agents who cared enough to take the time to make sure their clients ended up in the right management hands are the very same agents who I’m most likely to refer when they’ve made the decision to buy or sell.
Start Building Connections Before You Need Them
Take time to develop ties now if you don’t already have this type of relationship. If asked for a reference, you don’t want to Google a few companies with decent reviews to send over and then simply hope your client fares well.
As a real estate agent or broker aiming to recommend a trustworthy property manager to your clients, here’s my two pieces of advice. First, seek references from other real estate professionals or clients who have worked directly with these managers to gain insights into their performance and reliability. Online reviews and a sleek website are great, but nothing beats the firsthand account of someone who has worked with them.
Second, assess potential managers based on their responsiveness and clarity in interactions at the start of the relationship. If you’re getting a delayed response up front, you can’t expect better results after that management agreement is signed. The best managers will prove their transparency and promptness in those first conversations together.
The alignment between real estate agents, brokers and property managers is not just a business strategy—it’s a proven formula for success that ensures properties are maintained, investments are profitable, and clients are satisfied. When all parties are served well in this manner, the end result is often that it’s just a matter of time until repeat or referral business lands in that agent’s lap. Deservedly so.
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