After 4 years of using property managers for my 2 IP’s I recently spoke with the tenants of one property. They sound lovely, however I’ve always taken the advice of keeping tenants at arms distance to prevent the ‘I’m late with the rent mate’, or the late night phone calls to fix a washer. Also a property manager frees up my time. Having recently spoken to my tenants though they informed me that when they first moved into my property that it was filthy. When I checked the inspection report from my property manager before they moved in, the report stated that everything was fine. I’m now obviously going to change property managers which is my fault in part for not keeping more of an eye on the property (due diligence, etc.) My question is, should I keep a property manager or do it myself? The savings may add to less expenses and better cachflow? However, as I intend to buy multiple properties then doing it myself will tie up my time. What do you investors out there do by way of property management with holding many properties? My reason for using a property manager has shifted in the context of seeing the tenant as your greatest asst? I’d be most greatful for your suggestions and advice.
Cheers.I think a good PM is worth every cent.
I read between the lines and have the impression that you don’t REALLY want to be called at night and having to organise fixing all sorts of problems, from plumbing to electrical.
You may also have to listen to every little problem under the sun.
You may even have to take a tenant to the tribunal one day.
A PM can do all that for you.
Yes it will save you some money, but it will take away your time.
Your decision will have to depend on what is more precious to you: your time or your money.
About your inspection report, Gatsby, on my report it has a column that the PM has filled in, and checked off all the points and made comments.
Next to that I find a column that the tenant has to tick, so that he can either agree or disagree with the PM. THe tenant can also make comments on the state that the property is in. There’s a special space on the form for the tenant to fill this in.
Then both parties signed it.
Is that tenant-column not on your form?If not, ask your pm why not, and demand it next time you get a new tenant, or with the next inspection report.
Hi! I use a property manager, even though one of our properties is rented to parents of friends. I don’t want the hassle if it came to a tribunal meeting. I’m no good at playing the bad cop, and let the manger deal with problems impartially. Besides, they know all the tricks. However, a problem I have is I have 2 PMs as properties are in different areas, and both won’t delve outside their region.
Dani
Dear Celivia and Dani67,
Thank you for taking the time out to reply to my post. Celivia time is more valuable than trying to save a quick buck so I gues I’m trying to reassure myself that I’m doing the right thing for me. I should have paid more time (not money!) by doing my due diligence from the start (re: inspection report). ‘Another lesson’ (when will they end!). Again many thanks.
Cheers,
Gatsby.
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