Managing 2 family Houses

[James Liess]

Hi Everyone, 

First time posting and just getting more into real estate. Took over a 2 family residence in northern NJ and wondering if anyone as experience with property managers here or just handle themselves. I tried search online but it seems like most of the property managers manage large apartment complexes. Thanks 

[Jonathan Bombaci]

@James Liess I'm not too familiar with NJ but I do run a Property Management Company called Simplified Management out of the Greater Boston MA. We do manage some condos and duplexes for some owners, so I don't think size is the issue I think it's who you've been reaching out to. Just for a reference we do charge smaller portfolio owners the full 10% because it is quite a bit of work doing all the reporting on just a couple of units and time does not scale well, however as they grow our fee gets reduced. I would suggest approaching firms by saying something like "I currently own a 2 family but plan to buy more in the future and if I find the right Property Manager we would continue to grow with them". A promise of more units if they do a good job will certainly help, assuming it is true of course. To find the right size firms my suggestion would be to ask some local investor focused agents or simply attend a local REI meetup (you can probably find some here under the EVENTS tab) and tell people what you are looking for. You should interview at least 3 before signing a contract.

There are plenty of smaller, more private management companies out there that would be happy to manage a duplex for you but don't expect a discount until you start to scale. 

I hope this helps. 

Best,

Jon