When to get a property manager

[Mike Sfera]

If I'm a first time rental investor, will I be able to hire a property manager to help me with research, etc. prior to getting my first property or will they only work with you if you already have a property?

[Nicholas L.]

@Mike Sfera

if you reach out to them cold with a bunch of questions, they may not be willing to help.  if you go to a meetup and talk with a friendly PM in a networking setting, they will probably be willing to share information.

[Mike Sfera]

@Nicholas L.Thanks.  If im out of state, does it make sense to join social media groups, etc. to accomplish the same thing without being physically there?  Trying find ways to get some guidance once I settle on a location since I'm new to this.

[Caleb Brown]

They will primarily help when you have a property. If you have a good relationship then they would be willing to answer questions but if you are just going to ask a bunch of questions they won't continue to answer. They can't work for free forever until you have a property ready to be rented. You can learn a lot about areas and rent rates without asking a PM so explore that first

[Adam Bartomeo]

If you conduct yourself as a serious investor truly looking to work with that PM than they will likely help you through the process, especially if you use them as an agent. If you seem like you are just gathering information to self-manage than they will likely blow you off. PM is a service business and time is very valuable. No one wants to waste their time.

[Krystyna Schexnayder]

For me personally, as a property manager and business owner, I truly believe this is not only about real estate, its a business of building relationships, and I think just being aligned with the basic principle that what we put out is what we get back, so I would be remissed not to oblige a new investors inquires. 

With boundaries of course as @Adam Bartomeo expressed. Every PM operates differently, and at the end of the day, there is tons of information you can navigate on your own in the beginning stages online, but surely there will be PM's that would be more than happy to assist you on journey.  And, I think its fair to say that we all may forget what people say or the information they provide, but we all never forget how someone treated us and made us feel! 

So I said all of that to say... lol, Yes, I think you can absolutely find a PM that would help answer some questions, and I hope you find some kind individuals. :-) 

All the best!  

[Kynzie Neal]

What I love about our PM group is that we have an in house realtor to help with these kind of clients! We love to help anyone from start to finish, if we can!

[Peter Mckernan]

This depends on the PM that you are speaking with when you reach out. Some people are growth-minded, which means they are willing to help for a low cost, or not much compensation knowing that the more conversations they have will lead to more clients. The other PM can be a fix-mindset type of person where they are not willing to share anything unless you have a property and are willing to sign a PM agreement in the same conversation. 

You should look for an "investor-friendly" PM company that knows how it is just dipping your toe into the water of buying a home/condo/townhome.. 

[Heath Sizick]

Good stuff already said. Not all PM companies are equal - not just in service but in helpfulness. We are a company of investors for investors so we would be excited to help you - whether speaking to RE agent, getting you connected locally with networking opportunities, putting you on a series of helpful emails that help you know what to look for in PM, self-managing, etc. Our owner also hosts a quarterly workshop for investors. 

I am not sure where you are located, but I'd encourage you to call around to PM's & you may find one willing to help you. Good luck!

[Mike Sfera]

Quote from @Heath Sizick:

Good stuff already said. Not all PM companies are equal - not just in service but in helpfulness. We are a company of investors for investors so we would be excited to help you - whether speaking to RE agent, getting you connected locally with networking opportunities, putting you on a series of helpful emails that help you know what to look for in PM, self-managing, etc. Our owner also hosts a quarterly workshop for investors. 

I am not sure where you are located, but I'd encourage you to call around to PM's & you may find one willing to help you. Good luck!

I'm in New York but the prices (at least downstate) are much too high for me to make my first deal so looking more upstate and out of state.

[Heath Sizick]

Quote from @Mike Sfera:

Quote from @Heath Sizick:

Good stuff already said. Not all PM companies are equal - not just in service but in helpfulness. We are a company of investors for investors so we would be excited to help you - whether speaking to RE agent, getting you connected locally with networking opportunities, putting you on a series of helpful emails that help you know what to look for in PM, self-managing, etc. Our owner also hosts a quarterly workshop for investors. 

I am not sure where you are located, but I'd encourage you to call around to PM's & you may find one willing to help you. Good luck!

I'm in New York but the prices (at least downstate) are much too high for me to make my first deal so looking more upstate and out of state.

Good stuff. If you decide to invest I would encourage you to check out North Carolina. It's a landlord friendly state & many people are moving down here - especially Charlotte, Raleigh-Durham, & coastal carolina. I am in coastal carolina & we have a vibrant rental market. We also have Camp LeJune (Marine base) which is a great tenant pool. Good luck! Glad we connected.

[Mike Sfera]

Quote from @Heath Sizick:

Quote from @Mike Sfera:

Quote from @Heath Sizick:

Good stuff already said. Not all PM companies are equal - not just in service but in helpfulness. We are a company of investors for investors so we would be excited to help you - whether speaking to RE agent, getting you connected locally with networking opportunities, putting you on a series of helpful emails that help you know what to look for in PM, self-managing, etc. Our owner also hosts a quarterly workshop for investors. 

I am not sure where you are located, but I'd encourage you to call around to PM's & you may find one willing to help you. Good luck!

I'm in New York but the prices (at least downstate) are much too high for me to make my first deal so looking more upstate and out of state.

Good stuff. If you decide to invest I would encourage you to check out North Carolina. It's a landlord friendly state & many people are moving down here - especially Charlotte, Raleigh-Durham, & coastal carolina. I am in coastal carolina & we have a vibrant rental market. We also have Camp LeJune (Marine base) which is a great tenant pool. Good luck! Glad we connected.

Thanks.  Both Carolinas are definitely markets I would look at.

[Jordan Ray]

Quote from @Mike Sfera:

If I'm a first time rental investor, will I be able to hire a property manager to help me with research, etc. prior to getting my first property or will they only work with you if you already have a property?

I would say that it depends on the PM, I personally have a great connection with my local property manager in Memphis, TN and he manages over 700 doors and still answers my clients property management specific questions as the broker/owner.

[Clare Pitcher]

I currently do Business Development for our property management company and work with all of the new owners and properties. If someone comes to me without a property, I usually hop on a Zoom call with them and walk through our property map. I talk about areas we like to manage, areas we don't, and why. I then connect them with a trusted realtor since we do not have in-house. This initial conversation before the owner has a property can be very educational especially if the owner is out of state or has never been to our city. I will always hop on a call with an owner if they reach out even before having a property so I am able to help educate them on our city and where a good place to invest would be. 

[Laura Shinkle]

@Mike Sfera some property managers might do this and maybe give you general guidelines on what to expect for Class A, B and C areas, etc. However, this type of work I would say falls more into the Realtor's area of expertise. While you're interviewing PMs, I'd also be interviewing Realtors to help you with this, focusing on ones that have relationships with PM in the area, have helped investors before, etc. If you find a PM that you like, ask if they have any Realtors they could refer you to that work closely with them. For example, I work closely with a PM down here in Charlotte so I know what they're going to be recommending for updates/work to be done prior to getting a tenant in place. That kind of relationship will help things go smoothly, both in the planning phase and the handoff from when you buy to when your PM takes over. Hope this helps, and good luck with your first property!

[Jeff Roth]

Hi Mike-

Congratulations on being a first time investor and you are wondering when to start using a property manager.

The property manager is probably the most important person on you team. They should be found early on by talking to other investors or your investor friendly Realtor.

It is through effective property management that your money is made besides buying well initially. The property manager should be involved before you buy any property to give input on due diligence, how to increase income and reduce expenses, and to make repairs or improvements to maximize occupancy.

Excellent property management is critical to your success before, during, and when planning to sell or refinance.

To your success!

[Dean Harris]

@Mike Sfera

This is a great question and one I get from our client base often here in Memphis, TN. If you plan to scale, I would get one right away on your first property. Make it part of your business model and focus on scaling vs managing. I personally own a large portfolio here in Memphis and I hired a property manager for the very first proeprty and I still use them today. 

[Todd Anderson]

Mike ,

Congrats on getting into Real Estate Investing.  Unless you are planning on investing in your back yard and have extra time to spend, getting a good PM is very important.   If you are planning on investing out of your area a team in general is very important.  

The other option that I talk about with a lot of the investor that I work with is investing in a turnkey situation.  This will also take some research because not all are the same.  For an investor that is looking to create wealth and keep doing what they are doing this is a great strategy.  

Most of the investors I talk with are looking for an easy deal for them that can create early cashflow and long term appreciation with out taking up a page chunk of their time.  This type of investment can also offer great tax deduction, depending on your situation.

Best of luck on your first deal, feel free to connect with more questions.

[Dillon Baumler]

Depends how you approach them and if you’re ready to pull the trigger when you find the right deal. I would advise you to get pre approved from your lender and make them aware as it will help them understand you are serious!

[Michael Smythe]

@Mike Sfera depends on the PMC.

Some only want to do property management, while others have sales teams.

[John Williams]

Quote from @Mike Sfera:

If I'm a first time rental investor, will I be able to hire a property manager to help me with research, etc. prior to getting my first property or will they only work with you if you already have a property?

 Try to find a property manager that also does sales / brokerage. They can certainly help you with both!