All Forum Posts by: Account Closed

Owners have called us frequently about offering this hybrid service. Our screening is rigorous and so far, owners have been satisfied the handful of times we've done it.

Very interested in some other opinions too. Anyone else chime in?

Vandalism comes and goes. Keeping a low profile and not putting "For Rent" signs out deceases vandalism. If you're doing work on the property, try to be discreet.

Try to get to know a few neighbors. You'll find some are just as concerned as you.

An old thread but great advice in all these posts.

Sounds goofy but we recorded on our 24/7 emergency phone line "If this is a medical emergency, hang up and call 911, but if this is a maintenance......" and also the same written in our tenant handbook.

I know, I know but we have all kinds of tenants.

Well, tell us what happened.

Did she hit the bricks or what?

What on earth is your property manager doing?

Do you have a management agreement?

Excellent point!

I suppose the same should apply to real estate agents too.

Why pay 6% when a flat-fee would do?

DJIA has doubled since '09. It crossed 14,000 to historic highs. If stocks peak at all time highs then funds search for alternative investments with their cash. They won't keep buying over valued equities.

The S&P Cash-Shiller Index 20-City Home Price Index has been creeping up the past year.

Sooooooo, when home prices increase and the stock market recedes, then fund companies will end their buying spree.

Verify rumors too- some of this is psychological.

My background was finance and accounting so naturally I'm concerned with ROI.

However, I don't read about anybody factoring in the massive amount of time and energy required. Real estate is labor intensive, especially if not well managed. If the end goal is a decent investment return, you really need to step back and consider time.

The reason I bring this up is because I am always comparing the business of real estate to other investments such as stocks, bonds, mutual funds, CDs, etc.

I'm always asking- What is the real rate of return considering monetary investment, time and energy included? What is your time worth?

For example-

For the past 3 years my S&P Index fund returned a net of 11%. My time and energy was nearly zero except for completing some paperwork.

However, the SFR rental returned me 19% based on equity when purchased, cash flow, etc. My time and energy was a significant investment. Such time was spent coordinating contractors, a HVAC professional, roofing claim, quarterly inspection, small repairs, advertising, credit checks, switching utilities, angry neighbor, talking with insurance agent, time with CPA, time with lawyer, researching info, looking for deals, networking, even my time on BP,etc.

Now considering some of these issues are initial purchase activities, still a large amount of time is required to manage the property. So my time used was significant, nearly 150+ hours or almost 3 weeks of 8 hour.

So was my time worth the additional 8%? Maybe.

I am wondering if anyone else considers the above. Perhaps, its only an exercise for an accounting nerd such as myself.

Do investors really consider the amount of time they're investing? Just leasing a property start to finish averages about 20 hours.

If a property manager is charging less than the others be sure to ask about ALL fees. A solid discussion regarding every possible fee item should be included.

It has been my experience that managers that offer a low rate make them up somewhere else. Maintenance is a favorite.

Discount shops have tricks too.

Instead of the PM showing the property the PM will just hand over a key and have the prospective tenant show themself.

Few people here will be versed in European or Spanish housing laws. Then again, this is Bigger Pockets! Many smart people here and someone may prove me wrong.

Good luck.