Biggest mistakes learned from first Rental?

[David Shiling]

What are some lessons y'all have learned from your rentals that you think nobody should make? Best things to put in your leases?

[Account Closed]

My biggest mistake was renting out my primary home and hiring a PM when I moved out of state.  Lost my shirt trusting the PM.  Total nightmare.  I'd never own out of state again unless I was managing it myself and could afford to travel there whenever necessary.

But, basically, the lesson, in my opinion, is to self-manage.  The only time I think it's okay to delegate, would be if the manager was actually your employee and not someone who makes money from your losses.  Hire someone as an employee and give them bonuses for helping you profit, instead.  

Unfortunately, the way the traditional PM situation/contract is set-up, the PM only makes money when you lose money and have problems.  It's not fair for the PM either - why on earth would someone do that much work for only 10% or less of the rental amount?  Think about it.  It's absurd.  Nobody should be expected to do that, and it's obvious why the industry is full of con artists - because it's the only way they can make any decent wage for what they do.

So, hire someone and pay them a fair wage.  Or, self-manage, is my opinion.