How to Manage Low COCROI

[Devin Duval]

Hello BiggerPockets Family,

I recently purchased my first rental around 6 months ago and it didn't turn out to be the best rental purchase. It cash flows currently around $150. I put 25% down on $188,000 duplex. So I wrapped up a good bit of capital in the purchase. After all expenses the COCROI is around 3.6%. The markets rents are around $1000 on each side, but since I bought it the rents were $893 and $950. My management company can increase those rents by 2% - 5% each year negotiable with the tenants. If a new tenant comes in them I can start out with the $1000 rent payment. Even if I get them both at $1000 each side my COCROI is 6.4%. The market rents could be pushed to $1100 I believe in the future, but with this being my first rental I am not sure what that will look like.

So the questions are: Do I try to sell the property and get out? Do I change property management companies? Try to mange myself? What advice do you guys have on what to do in this situation? What would you do if you were in this situation?

Thanks for any and all responses!!!