Should I seek to start a Property Management company?

[Grant Wieczorek]

I (believe) I am about to enter into a PSA on a MF building ~ 100 units in size.  I am going to do Agency debt and will have to have a 3rd party PM.  However, this has got me thinking, if I do want to start buying large MF properties, should I start a PM company myself?  I have heard it is a drain, but Ken McElroy notes on his podcast that PM experience is invaluable and I have the time to do so.  I would have to relocate but leaving NYC for anywhere that I wouldn't pay obscene rent is not something that's going to hold me back.  I know it will probably be a process before I am able to buy with Agencies and use my own PM, but I think I should consider right out of the gate as opposed to if/when I get 1,000+ units under control.  Thoughts?

[Jeff Kehl]

@Grant Wieczorek Have you ever done any property management? Years ago I tried my hand at it and was TERRIBLE. It is a hard business and takes a certain personality type.  I think if I started one today I would be much better at it but I certainly wouldn't find it to be a natural calling.

Ken McElroy started in Property management so it was natural for him to form a large company that is great at property management.

You might also look into @Gino Barbaro and their podcast. I think they do their own.

I think it is probably better financially to do it in-house if it's a passion and you focus on it. Otherwise I would outsource it to someone who loves it and works it every day.