If you are considering renting out a property that you own then you might want to consider hiring a property manager. Property managers can carry out a whole range of tasks that you would normally have to do on your own if your decide to become a landlord, such as selecting the tenants, managing the rent and maintaining the property. But you might wonder why you should spend your money on something you could do yourself, well here are a few good reasons why you might be better off with a property manager.
The first thing to consider is where you are based and where the property that you want to let out is located. If you are based hundreds of miles away from the property or maybe two hours drive from the property then I would recommend that you do not manage the property yourself as the distance is just too great. If you live far away than you could hire a property manager to check on the property and be at hand in case they need to carry out any maintenance. It is not really very practical to be based so far away from your valuable asset as you will not be able to respond quickly to any emergencies that arise, it is also more difficult to deal with complaints from or by you tenants. Property managers situated in a local area to your property will also have a greater knowledge of local tradesmen that carry out any repairs and maintenance required. Another factor that you should consider is the amount of money that it costs you to get to the house especially if you have to make regular trips to rectify any problems that might arise, it might work out to be more cost effective if you hire a property manager.
Think about how many properties you are responsible for, as you increase your property portfolio you might want to delegate some of the tasks that you occur when you rent out properties and a property manager is ideally suited to undertake these roles. Dealing with multiple properties often means multiple problems and it can be difficult to keep on track with every property. Collecting rent from a larger number of properties can also be time consuming and difficult to keep track of. You might also want to consider the locations of your properties, if they are vastly spread out then you might find the services of a property manager invaluable.
If you are considering hiring a property manager think carefully about what they can offer you and how much time and money you will be saving yourself. Property management is not a free service and you can expect to pay between 4 and 10% of your monthly rental in fees but at the end of the day it is entirely dependant on your personal situation. You consider it an unnecessary waste of money but I think the majority of landlords would say that property managers are worth their weight in gold.