Property Management

[Jon Nolen]

Hey everyone!  I'm going through and planning out my next 12 months and trying to determine if I should manage my properties myself as long as I'm able to or if I should go with a property manager out the gate.  I recently sold the one rental I had, and I never had many problems with it, but I'm hoping to add 5-10 properties of the next 12 months.

Everything comes down to dollars, so what is the common percentage for property managers here in OKC?

Thanks!

Jon

[Aaron Vergason]

Hey Jon,

If you are able to manage yourself,  I would do that starting out.  When you run the numbers prior to purchase though, I would add in the normal local percentage for a professional property manager.  15% to 18% is probably the average when you consider they also typically take the first month's rent when leasing a unit.  If you run the numbers with that going to a PM, you could take that for yourself starting out, and if you every had to/ wanted to turn it over to a PM it wouldn't take from your cashflow.

Depending on the number of units it shouldn't take too much effort to manage 5-10 properties.

good luck!