Property management companies can be a massive asset to your business, but there are pros and cons that you should consider. You need to weigh the following thoughts before deciding between a property management company and being a landlord.
What is a property management company?
A property management company takes care of the responsibilities associated with prospects and tenants. They can deal with marketing, rent collection, maintenance issues, and sometimes even evictions. A good management company will bring its own expertise and know-how so you can ensure that your property is in good hands.
Property management for passive income investors.
Is your property a source of passive income for you? A property management company may be the way to go. Being a landlord can be time-consuming and labor-intensive. Dealing with the day-to-day can make renting out homes less of a passive income source and more of a second job. Property management companies are a way to offload this work.
Property management is good for multiple home investors.
If you own multiple rental properties and feel overwhelmed by the maintenance of them all, consider a property management company. These companies are equipped to handle all the issues that arise while renting your properties and understand the local laws and regulations.
Can you afford property management?
When consulting with a management company, expect to hear quotes of 5%-10% of what you collect in rent revenue. If this is a figure you can afford, then it may be worth it to have the weight of being a landlord lifted off your shoulders. You should consider this before deciding if you want to rent through a property management company - or before investing in property.
Finding the right company can be time-consuming.
Finding the right property management company can be time-consuming and frustrating. You should consult with a few companies before deciding who is the right fit for you and your tenants. While a property management company may save you time in the long run, finding the perfect company could be a long process.
At Regalway Homes, we help investors make the right real estate investment decisions based on their situations. By working with us, you get a personalized investment strategy and the opportunity to partner with others to expand your investment portfolio. If you are interested in property investment, visit https://www.regalwayhomes.com/services to book a consultation.