There are 2 schools of thought when it comes to property management. You have the hands on investor, who manages his own properties and saves money. It does take a lot of his time, but he believes that the money saved is worth it.
You also have the investor that hires a property management company from the get go. This investor either doesn’t have the time due to another career, or he thinks that free time is more valuable than the money he would have saved managing the investment property himself.
You can do it either way. You would learn quite a bit from managing the properties yourself. I would say that it is good to know these things just in case. Nothing beats experience.
Personally, I prefer to have property managers. I think free time with family is worth more than managing the investments myself. If you have financed your investment properties correctly, and have comfortable positive cash flow, then the 10-15% fees are worth it.
Try both ways and see what you prefer. You may want to stay hands on and manage the properties yourself. It is totally up to you.
Another thing to remember. If you have managed properties yourself, you know what to look for in a good property management company. Otherwise use real estate professionals that you have become acquainted with and find what company fits best with what you want.
when purchasing rental property, especially rental property out of state, you're likely to encounter higher homeowners insurance rates, higher mortgage interest rates and higher down payment requirements because lenders will consider you a riskier borrower than an owner-occupant. You'll also complicate your tax situation by owning rental property and earning income in more than one state. That's the reason why I invested my own house property to earn a living.
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