When first considering getting into the real estate game, the idea of making passive money every month can be very alluring. Sure, you may get a call every now and then about a broken appliance, but that money will just be rolling in so it shouldn’t be that much of a hassle. Surely there will be no reason at all to even have to look into a Las Vegas rental property management company.
Many newbie landlords will think this and try to go it alone. Fast forward six months of having to fight with tenants for rent and seeing their property depreciate because they cannot keep up on the repairs because they have their own jobs and families to take care of. Its almost enough to convince the newbie landlord to just sell and be done with it.
How To Know If You Need a Las Vegas Rental Property Management Company
What its really boils down to is your own situation. Some landlords will buy a home, live in it while they acquire some equity, and then decide to buy another home that they can live in and rent out the old one for some extra money.
These sorts or folks normally have full time jobs and families as well as all of the responsibilities that come with them. Often, just managing a single-family home along with your own life can be challenging but doable. If you get lucky and easily find some good tenants that pay their rent on time and don’t destroy your property, it can almost be easy.
However, most of us are not that lucky. Also, if you have multiple properties as well as your own life, the stress of trying to balance everything can almost be enough to send someone to the mad house.
If you are having trouble deciding whether for not you need a property management company for your rentals, you should ask yourself the following questions:
- How Many Rental Properties Do You Own? Having multiple properties means having multiple issues. In a perfect world these issues would be spread out, allowing you time to handle each one. Unfortunately, we all know how life really works and that all of those problems will happen at the very same time. Then, if a tenant has to wait to get their toilet fixed, they could go from good tenants to bad real fast.
- Can You Afford a Rental Management Company? The goal of renting out your property is of course to make money. Most rental property managers charge a small portion of the rent for their services. All you must do to answer this question is to subtract the property management fee out of the rent and take a good hard look at your budget. You will often find that you will save money on maintenance and late rent with a management company.
- Do You Have the Time? If you already have a full-time job, a family, or are just trying to make property acquisitions your career, managing your property or properties may just be impossible. If your day-to-day life is so busy that you cannot immediately respond to issues with your property, either your day job will suffer, or you could end up in legal trouble for not having the time to respond properly to the issues with your property.
Now that you have asked yourself these questions, you should have a pretty good idea if you even need a property manager for your Las Vegas properties. Now we will look at the pros and cons of these private property management companies.
Pros of Hiring a Las Vegas Rental Property Management Company
- A property manager will be able to respond immediately to issues due to already existing relationships with contractors.
- You have more time for yourself and your family.
- You don’t have to be responsible for tenet complaints.
- No need to have to collect rent, or deal with evictions.
- In case of a move out, they will handle property marketing.
- Peace of mind.
Cons of Hiring a Management Company
So far we have detailed the many pros of taking the step to put your property into the hands of an expert, and surely there cant be that many cons at all right? Well while that may be true, there are still a couple as follows:
- Loss of Control of the Property. A lot of us like to have control of our assets. Your properties are assets that are likely a large part of your financial portfolio. Sometimes it can be scary to let someone else handle them. You will lose out on control of the screening and choice of tenants, and even small superficial changes to your property.
- The Management Fees. Unfortunately, property management companies are not cheap. Managing a property correctly takes a lot of work and these companies need to be paid for it. However, if you really do the math, in most instances you will actually save money by hiring a Las Vegas Rental Property Management company like us at the Rental Lister.
The only way that you can be sure if a Las Vegas Rental Property Management company is right for you, is to make that call today!