How to Select the Right Property Management Firm for Your Building

A Guide to Making the Best Choice Based on Your Building’s Unique Needs

Choosing the right property management firm is one of the most important decisions a co-op or condo board can make. A good firm ensures smooth building operations, keeps costs under control, and helps maintain property values. The wrong choice? It can lead to unnecessary expenses, mismanagement, and endless frustration.

But with so many property management companies in NYC, how do you know which one is the right fit for your building?

The truth is, there’s no one-size-fits-all solution.?

What works for a large luxury condo might not be right for a mid-sized co-op. That’s why it’s crucial to take a strategic approach when selecting a property manager—and that’s where expert guidance can make all the difference.

We do not encourage boards to leave their existing property manager or management firm. However, when a board calls us to tell us that they have lost all trust and will need to rip off the bandaid with or without us, we’re here to help.?

If you’re thinking about making a change or want to ensure you have the right firm in place, here’s what you need to consider.

1. Your Building’s Needs Come First

Before diving into your property manager search, you need to assess what your building truly needs.

• Are you struggling with slow response times?
• Are maintenance issues piling up?
• Are financial reports unclear or inconsistent?
• Does your board feel out of the loop on key decisions?

These are just some of the signs that your current firm may not be the best fit. The right property management company should align with your building’s size, complexity, and service expectations.

Rather than sorting through endless proposals, many boards find it helpful to work with an expert who understands the landscape and can narrow down the best options.

If you answered “Yes” to at least two of these questions despite already having a property manager, you’ve come to the right place.

2. Not All Property Management Firms Are the Same

While most firms offer similar services on paper, the reality can be very different. Some specialize in large, full-service buildings, while others are better suited for smaller, hands-on properties.

Key questions to ask when evaluating potential firms:

• Do they manage buildings similar to yours?
• How many properties does each manager oversee?
• What’s their process for handling maintenance and emergencies?
• How transparent are they with financial reporting?

These are just the basics—there are many other factors that can make or break a successful relationship with a property management firm. Having an advisor who knows what to look for can help avoid common pitfalls.

3. Cost Should Never Be the Only Factor

Many boards make the mistake of choosing a property management company based on the lowest fee, only to realize later that hidden costs add up quickly.

Beyond the base fee, you need to consider:

• Additional charges for work orders and maintenance
• Vendor markups and contract negotiations
• Staff management and payroll fees
• Compliance and legal costs

A perfect example of this came up in a conversation on our podcast, where we discussed how a board’s decision to go with the cheapest management firm ended up costing them far more in unexpected fees and mismanagement. What seemed like a cost-saving move turned into a financial and operational headache.

?? [Listen to the full episode here] to learn why cutting corners on property management can end up being more expensive in the long run.

Understanding the true cost of property management requires a deeper look at contract terms and fee structures. This is another area where an expert review can help prevent costly mistakes.

4. Communication Matters More Than You Think

One of the most common complaints about property managers is lack of responsiveness.

A good firm should:

• Provide clear and timely updates to the board
• Offer a reliable system for handling resident requests
• Be proactive, not reactive, when it comes to building needs

Before signing a contract, it’s important to test how a firm communicates. How quickly do they respond to inquiries? Do they provide direct access to decision-makers? These details can make or break a successful relationship.

If your current property management company is failing in this area, it may be time to start exploring better options.

5. The Right Technology Can Make Life Easier

Modern property management firms should offer digital tools that improve efficiency and transparency. If your building still relies on outdated systems, it may be time for an upgrade.

• Do residents have an online portal for payments and requests?
• Are financial reports easily accessible and up to date?
• Can maintenance requests be tracked in real-time?

If your property manager isn’t offering these tools, you might be dealing with unnecessary inefficiencies.

6. Switching Management Companies Doesn’t Have to Be Difficult

If your board is hesitant to switch firms because it seems like too much of a hassle, you’re not alone. Many buildings put up with poor service simply because they don’t know where to start with the transition process.

But here’s the reality:

• There are clear steps to ensure a smooth transition.
• With the right guidance, financial records, contracts, and maintenance plans can be transferred seamlessly.
• A well-managed transition can actually improve building operations from day one.

The key is knowing what to expect and how to manage the process—something that’s much easier with the right support.

So, How Do You Find the Right Property Management Firm?

Finding a property management company that truly fits your building’s needs takes time, experience, and a deep understanding of the NYC market.

Rather than navigating this process alone, many co-op and condo boards choose to work with experts who can: ? Assess their building’s specific needs ? Vet and compare top management firms ? Negotiate fair contract terms ? Ensure a smooth transition if a switch is necessary

At The Folson Group, we know that choosing the right property management firm is about more than just contracts and fees—it’s about creating a partnership that enhances your building’s long-term success. A well-managed property isn’t just about maintenance and finances; it’s about building trust, fostering transparency, and ensuring seamless communication between the board, management, and residents.

When these elements are missing, frustrations mount, inefficiencies grow, and boards find themselves constantly firefighting instead of focusing on long-term improvements. That’s why we help co-op and condo boards find the right property management solution—one that aligns with their unique needs and strengthens their community.

Let’s Connect

If your board is looking for a property management firm that truly understands your building, we’re here to help. Whether you’re considering a switch or simply want to assess your options, let’s connect and explore the best path forward. Together, we can ensure that your building is managed efficiently, transparently, and with your community’s best interests at heart.

I'm Tina Larsson, the author of From the NYC Co-op & Condo Desk. Like what you read? Give it a like, comment, and subscribe! Have a co-op or condo challenge you'd like me to explore? Reach out here on LinkedIn or visit our website to start the conversation.