risks involved in self managing a property?

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Jpcashflow
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@jpcashflow
Join Date: 2007
Post Count: 575
April 30, 2012 - 3:05 am
Hi Michael,
Nice short answer, Get an agent to do it!!!
Spend your time learning how to invest, working towards a goal etc,
Like Xdrew said you might save a cent here but it might cost you a dollar some where else.
Jpcashflow | JP Financial Group
http://www.jpfinancialgroup.com.au
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Your first port of call in finance :)
Verity01
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@verity01
Join Date: 2011
Post Count: 16
April 30, 2012 - 4:32 am
soloinvestor wrote:
The insurance risk is not worth it. After successfully managing my 4 properties for years I finally got caught. Tenant did $10K worth of damage and insurance paid for $800!!! BECAUSE I did not have a property manager doing the required inspections etc etc!!
perfect example! we see this scenario often and one I often give my prospective clients something to think about. I think people forget that they have an assett worth a few hundred thousand dollars but arent prepared to spend say $4000 a year (tax deductable) to minimise risk and ensure the value of their assett is maintained.
Jamie Moore
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@jamie-m
Join Date: 2010
Post Count: 5,069
April 30, 2012 - 12:51 pm
Verity01 wrote:
[
perfect example! we see this scenario often and one I often give my prospective clients something to think about. I think people forget that they have an assett worth a few hundred thousand dollars but arent prepared to spend say $4000 a year (tax deductable) to minimise risk and ensure the value of their assett is maintained.
I understand the sentiment but assuming the $300k IP is fetching $300 per week rent then a $4k PM fee p.a is 25% of rent – it's a bit steep. I wouldn't pay it.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
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