Investment property leads to property management like sex leads to babies. Both of the formers are a lot of fun. Both of the latters take a lot of work, patience and the will to never give up on the situation until it’s just gone too far.
Look, buying and analyzing investment property (or rental property, if you will) are both kind of sexy. It’ s fun to be attracted to new property and imagine how your life could be a little different. Better even. If only you had this new relationship (buying another house) you would be happy.
But after the deal is done (closing, not sex) you find out you’ve just become attached to a very needy partner. And this partner has partners (tenants) that you didn’t even really think about too much when you were in the attraction stage. And yet these partners that come with the new relationship are one of the most important cogs in whether or not this relationship will be successful…or not.
Property management, whether done yourself or farmed out to a professional property manager, is a lot of work. You have to feed your new relationship (find good tenants) and then you have to nurture it (take care of tenants) but eventually, your relationship hits the teen age years.
Replace “I hate you!” or “You don’t understand.” that your 15 year old daughter was yelling at you last week with “My son has asthma and there is black mold in the basement!” and “I will have the rent to you next week because…”
Rental property, like kids, is very rewarding. But do not go in to this thinking it’s all blue skies and pretty flowers. There has to be rain and there has to be manure for you and your investment property business to grow. Trust me.
Reprinted from Chris' BBQCapital.com blog about real estate investing and property management.