Self Management - Yay or Nay? Why?

[Jeremy H.]

I'm coming to a bit of a crossroads here - I'm considering self-managing my rental properties (or my wife rather). She's been pushing to work from home lately and the properties are generating enough in management fees (between placement and the 10% a month) to make it a possible option. It would be nice to have that money stay within the company. 

In my state you have to be a RE agent - this is no problem. I have gotten my license but I work out of the country for many days out of the year currently so self managing just isn't feasible for me or something I want to take on. 

Seems like we would be able to use a good landlord/management software, background checks etc - essentially copy what the current management company does as far as background/screening/showing etc. I think it MAY save some $ when it comes to tax time - I think we would have a lot more deductions possible to take, she could possibly have REP status. I have a decent network of plumbers/electricians/handymen from doing rehab work in the area. I think it would take some oversight to their work. 

Then we have the legalities. Most contracts I can download online or through the state real estate commission. Then evictions. It's fairly straightforward process in my state - just time consuming relatively (costs $250 and takes 2 weeks - so pretty easy compared to a lot of states out there). 

I think you could turn this into a small management company in time. I am trying to be more "hands-off" when it comes to things outside investing, but I'm trying to make this make sense at the same time. The numbers on buying a property will always be ran with property management budgeted in. 

Thoughts on self managing vs hiring a management company? Did it help/hurt your current investment company? Is it a part time job managing ~15-20 doors or are we talking a major time commitment? As far a business ideas go - I have always liked providing a service as opposed to a product, so I think this fits that window.