Do I need a Property Manager?

[Norb Schneider]

Hello BP Team,

I'm an out of state investor looking to purchase a cash flowing property in the Charlotte area within the next month. My question is: do I really need a property manager for my first rental property?

Thanks for your advice.

[Troy F.]

Norb,

I've tried out of state investing with and without a manager.  With a manager you can almost forget you have a property except for those few and far between large maintenance expenses.  I found it exceptionally valuable to have a manager if your property is empty.  Taking pictures, marketing, screening tenants, and even selecting the right ones was a little stressful for me in the beginning.  Oh, and don't forget tracking expenses and income necessary to be prepared for tax time. I also noticed putting my time into these activities puts a strain on other activities such as expanding my portfolio and researching for other great deals.  However, you can absolutely do all of that without a manager.  Be prepared for the call from the little old lady who's heat has gone out and it is -17 degrees outside.  Of course this usually happens at the most inopportune time, like when your boss asks you for a new report or something is really pressing at work. I often bounce back and forth between work and real estate throughout the day.  If your property is empty and you plan to rehab you will likely spend hours tracking down good contractors for plumbing, electrical, drywall, etc. Once you have your go to contractors the process becomes almost instinctive but getting to that point takes some work. To wrap up, if you are going to go without a manager, walk through the steps you will take to get the tenant in place, collecting rent, managing maintenance, and maybe even eviction if it ever came to that. Explore the BiggerPockets Forums, review their guides on these topics and make a game plan.