Tag: #selfmanagement

Property Management: The Pros and Cons

Posted on | by Allison Zuck

Two weeks ago, before the holiday, we covered the pros and cons of self management. Although we are a property management business, we want to be completely transparent with what you are getting into. We want you to make the best choice for your real estate, even if that’s going with self management instead of using us. However, we also want you to be fully informed. So, here are some pros and cons of hiring a property manager.

Cons of Property Management

First, you do not get to dictate how the property is maintained. When hiring a property manager, you are saying you trust them with your investment. If you hire the wrong property manager, this could potentially backfire.

The other biggest con is the cost. You have to be able to afford the rates property managers charge. They’ll take a cut of your profits. Additionally, they’ll take a fee for the new tenants they bring on board. However, as long as they fit within your budget, that shouldn’t be too much for you to handle.

Pros of Property Management

They make your life easier. After you hire a property manager, you are essentially earning income while hands off. They have more specialized knowledge of the market, as they keep track of many properties.

Additionally, property managers don’t have the same emotional connection to your property. That means they can make objective decisions about your property that you may not be able to do.

They also have a network of maintenance services, so that you don’t have to scramble to find someone to fix issues in your property. Essentially, with just a monthly fee, they’ll take care of all the day to day decisions about your property, leaving you to focus on more important things.

Essentially, you need to decide what’s best for you! You know your property the best. If you think it will flourish more with a property manager, get one! If you think self-management is the way to go, stick to that plan. You can always change your mind and go a different route if the first doesn’t work for you. Just do what’s best for your business!

To learn more about this topic, check out the article that inspired this post: https://www.biggerpockets.com/blog/property-management-vs-self-management#the-bottom-line-no-one-cares-about-your-properties-like-you-do

Self Management: Pros and Cons

Posted on | by Allison Zuck

Property management is an essential part of real estate investment. There are pros and cons to the two options you have: doing it yourself or hiring a property management company like All County Legacy. Often, it can boil down to costs and your own personality. So, lets dive into some of the details of self management this week and next week we’ll cover what the advantages and disadvantages of hiring property management is.

Self Management

Self management is when you are the only one responsible for your property. You get all the profits, but you also do all the work. Here are some pros and cons:

Pros:

You don’t pay a property management fee. Because you are doing it all yourself, you are saving the cost of their services.

You also get to choose your own tenants. If you are very selective about who lives in your property, not hiring out to a property manager can make sure that you get to choose your own tenants, instead of relying on someone else to make the selection for you.

Cons:

It’s a large time commitment. Many real estate investors are looking for a stream of income that does not consume their days. Fully managing their own property would take up quite a bit of time.

Additionally, you don’t have an expert on hand to ask questions to. You will have to keep your real estate knowledge current, to make sure that you are making smart decisions and following the law. Not only will your property manager have up-to-date knowledge, but they will also have connections and experience that will help you make financially sound decisions; something that could be harder for you to do on your own.

Next blog, we’ll look into property management. Taking a look at both ways to care for your property will help you make the best decision for you, which is most important for your investment business.

 

For more information about this topic, check out the article that inspired this post: https://www.biggerpockets.com/blog/property-management-vs-self-management#the-bottom-line-no-one-cares-about-your-properties-like-you-do