Self-managing your own rental property, is it a good idea?

31-Jul-2015

A question we quite often get asked from property investors is, “Why can’t we just manage our rental property ourselves?” It’s great question.  

The main motivation for most would-be self-managers is one or more of the following factors:

  • They have the time,
  • They are keen to take control and manage the details themselves, and/or
  • They want to save on property management fees.

The question is though, are you really saving any money at all?

What’s more, have you considered the time and potential stress involved in managing your own rental property? When it comes to self-management here is a list of things to take into consideration:
  • Could you bring yourself to evict a person or a family?
  • Would you be able to represent yourself in a tribunal or court and argue a case?
  • Would you want to be on call with your tenant 24 hours a day?
  • How would you manage when things go wrong, if you were away or overseas?
  • Would you be available to arrange and supervise tradespeople at short notice, if required?
  • How would you verify a tenant’s identification and check if they have a possible defaulting history with a previous rental property?
  • Are you disciplined and proficient at record keeping and maintaining a ledger so that you could produce it on request for your tenant?
  • Do you know the warning signs of a bad tenant, and even the signs of illicit drug production?
  • Could you access the best landlord insurance should you self-manage?

These are all reasons why most property owners choose to have their property managed by a professional agent.

At the end of the day, what you’re really buying is peace of mind for yourself and your family.  All agent fees are tax deductible and you can have more quality time spent focusing on other real and more urgent priorities than the day-to-day management of your rental property.

Managing rental properties professionally is what we do best. Our services and expertise allow you to focus on what you do best and enjoy life without all the hassles that come with rental property self-management.