How can YOU self manage your properties from AFAR????

Question

Good mornin’ everyone!

A few crucial members of your team that you need to self manage your property include:

1.) Go to handyman! - A go to handyman is absolutely crucial to take care of some of those miscellaneous and labor intensive tasks that come up!

2.) Go to Plumber! - A go to plumber is a huge necessity to take care of challenges from cleaning drains, to replacing water heaters, etc!

3.) Go to Electrician! - Having an awesome electrician is another key role to fill for many different projects!

4.) Go to snow plow person/landscaper! - This is another big one that can be forgotten about easily. If you are residing far away from your property, you DO NOT want to be spending your valuable time to go and mow the lawn every couple weeks or clean up leaves or snow. Your time is more efficiently spent in higher earning areas of your business!

I HIGHLY recommend having multiple “lines” of your team as well, so if your power play line is busy or unavailable, you have a few folks to be able to text to try to get someone out there!

Who else do you like to have on your team?

Happy Friday guys! 😁•••••#househack #massachusettsrealestate #realestateinvestor#Gardner #leominster #worcester #massrealestate #multifamily #realestateinvesting #Candorealty #realestateagent #realtor #investor #assets #cashflow #Lowell #Boston #Duplex #Triplex #Quadplex #smallcommercialmultifamily #commercialmultifamily

Jeremy H. · Answer

So you need great people to manage long distance - this is nothing new (not to be rude).

I think there's a lot missing here - dealing with tenants problems/concerns/requests. Dealing with property condition - will likely have to make 2-3 trips there a year to inspect. Too naïve to think a plumber is going to tell you about anything other than plumbing work. Need someone to verify what work was done, how it was done and make sure it satisfactory. On top of that you need someone to screen the tenants/show the units/lease agreements. Why "real estate investors" want to become "property managers" is beyond me. It's 2 separate businesses.

I had a friend that did this - went he actually saw his property after a couple of years there were doors/tables screwed over windows that were broken and contractors straight up hadn't fixed problems. Handyman work was absolutely horrendous. It was 27k to fix a few units to how they should have been fixed the first time around.

While this can work, and does for many people. I'd say it turns into a nightmare for just as many. You've seen the weekly ohio threads I'm assuming?

Allen Tackett · Answer

Unpopular answer - we don't have a team.  We have over a dozen properties, in 6 states, and we do just fine self managing them.  We get maybe an email or phone call once a month, and it's usually asking for permission to call a plumber.  We take 5 minutes to reply and say, "sure, go for it. Find anyone you want on google.  Look for 4 stars.  Please call me if it's going to cost over $100 to diagnose or over $300 to repair.  If not, just deduct it from next month's rent".  That's it.  Pretty simple.

We tried a few property managers and they were a nightmare.  They charge too much, do too little, and approve exorbitant and unnecessary repairs.  We later found out that most PM firms have a maintenance team so they are usually hiring themselves - a potential conflict of interest.  Plus, most are simply unresponsive and rude to the tenants - our clients.  Be nice to folks and they'll be good to you most the time.

It sounds so great to have a "team".  Makes me and others feel good?  But is the the plumber I found online and call once per year (or two) really part of my team?  I mean, I don't need him more often than that, and most investors doing their first few deals won't either.  So, if you have a "team"..that's great.  But don't let these types of articles pressure you or make you feel like you're doing it wrong if you don't.

People will shout "But what about all the evictions!?  Who are you going to call?"  Thankfully, that's never been needed in 17 years.  If you're buying in a C or D class neighborhood, homes for under $150k, your situation is clearly different and your calculus should be as well, but be mindful that good advice "in general" or for another investor, may or may not be good advice for you.

Chris Seveney · Answer

@Bob Stevens

I agree, 100%. Besides, a potential risk and liability, people do not understand the value of their time. Paying a property manager is well worth the cost and aggravation.

Steven Foster Wilson · Answer

Hey Kyle, you could manage to make it work somehow however, the risks are high. I agree with everyone here. Hiring a PM definitely makes it a lot better than to do the business with no quality assurance. There are a lot of things to consider that your contractors may never do at all. Keep in mind that the cheapest route is not always the best decision to move forward with. Security of your business is one of the many things you have to keep an eye on.

Eliott Elias · Answer

Who is going to show up to court when you are evicting? Who is going to pick up late rent? Hire a PM.

Bob Stevens · Answer

Dont, Just hire a PM co, why would you want to deal with this? What about evictions, late payment, screening tenants.? Everyone tries to PM themselves. I read horror stories daily.

Good luck

How can YOU self manage your properties from AFAR????

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