Do You Need a Property Manager?

This has to be the most popular question I get when onboarding new clients to my team. After hearing horror stories of property management companies or experiencing issues of their own...my clients never quite know the answer.

If you’re a landlord, whether new to the game or a seasoned investor, one of the biggest decisions you’ll face is whether to hire a property manager or handle everything yourself.

So, do you need a property manager? Let’s break it down.

When You Might Need a Property Manager

1. You Have Multiple Properties or Units - Managing one property can be manageable, but as your portfolio grows, so do the responsibilities. If you own multiple units, keeping up with tenant needs, maintenance requests, and rent collection can become overwhelming.

   
   

2. You Live Far from Your Rental Property - If you don’t live near your rental property, it can be challenging to address maintenance issues, handle tenant concerns, and conduct regular inspections. A property manager can take care of these tasks on your behalf.

   
   

3. You Have Limited Time - If you have a full-time job, other businesses, or family responsibilities, managing a rental property might not be feasible. Property management requires a significant time commitment, from marketing vacancies to handling emergency repairs.

   
   

4. You Struggle with Legal Compliance - Landlord-tenant laws are constantly evolving, and staying compliant is crucial to avoid costly mistakes. A property manager understands fair housing laws, lease agreements, security deposit regulations, and eviction procedures.

   
   

5. You Don’t Want to Handle Tenant Issues - From late rent payments to noise complaints, dealing with tenants can be stressful. A property manager serves as the middleman, handling communication, disputes, and lease enforcement.

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When You Might Not Need a Property Manager

1. You Enjoy Hands-On Management - Some landlords prefer to handle everything themselves, from screening tenants to making repairs. If you have the time, knowledge, and desire to manage your properties, hiring a manager may not be necessary.

2. You Have a Solid System in Place - If you’ve streamlined your processes with property management software, automated rent collection, and reliable contractors, you might be able to efficiently self-manage.

   
   

3. You Want to Maximize Profits - Property managers typically charge 8-12% of the monthly rent. If you’re looking to maximize cash flow and are willing to put in the work, self-managing can save you money.

   
   

The Bottom Line

Hiring a property manager depends on your situation, lifestyle, and investment goals. If you prefer a hands-off approach, have multiple properties, or live far away, a property manager can provide invaluable support. However, if you enjoy being actively involved and have systems in place, self-managing may be the better option.

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