A few years ago most people who got into Real Estate Investing did so out of choice. The market was hot and folks were jumping into the market with the intent to quickly flip properties or to hold them as rentals for a short time and then sell when values increased. Many of them never intended to be Landlords on a long term basis but all that has changed now.
You may be one of those who bought with the intent to flip and then got caught in the market downturn before you were able to sell. Or, perhaps you bought during the up market and now need to move but simply cannot afford to sell at a loss... so you've become a Landlord by default.
In either scenario, you may have quickly discovered that finding qualified tenants and managing real estate on your own is much more difficult and time-consuming than you might have imagined.
You're now ready to hire a Professional Property Manager. But who should you hire? And, what considerations should you make in choosing the right company?
Why not just call around and find the company that has the lowest price?
Aren't all Property Managers pretty much the same?
Does lowest price equate to lowest cost?
CONSIDER THIS: When making purchasing decisions, we typically look at price rather than at cost. Both are important, but paying the lowest price often ends up costing us more. For instance, a paper towel is about the same size as a wash cloth. The price for a paper towel is far less than the price of a wash cloth... however, the cost of using paper towels to bathe with each and every day far exceeds the cost of the wash cloth.
The same concept applies in property management. All too often, homeowners jump at the lowest price and end up paying far more over time than necessary in terms of vacancy losses and property depreciation due to lack of adequate tenant placement and management oversight. The lowest priced item or service often costs the most!
Comments(2)