Having a rental property of your own can be a great source of extra income, especially if you can manage to make it profitable. There are quite a few things that need to be done to turn your property into a cash cow. It should be prepared to meet the needs and expectations of a wide range of prospective tenants. You should apply a marketing strategy to get prospect tenants just to see your rental property. You must screen these prospective tenants carefully to ensure that trouble makers don’t move into your property. Regular maintenance should be done so that small issues don’t turn into costly problems. These are just to name a few. You have two options: either you manage your rental property by yourself, or you hire a professional property manager, like Bloor Property Management to help you with it.
The key to making the right decision lies in being honest with yourself about your own skills and experience. Quite a few successful real estate owners decide to hire someone to take care of the day to day management activities. It is up to you whether you would like to delegate property management to someone else, or to completely self-manage it.
To run rental property you should possess a few basic skills, including accounting, marketing management and people skills. You obviously don’t need to a have a University degree and heaps of experience just to give it a try and see if you are fit to property management.
To manage your property successfully, consider examining your own personality. You should be a people person because you will have to constantly deal with lots of people (and not only your tenants). You should love your job and if you don’t like dealing with people, then you will most likely hate it. In this case you are better off outsourcing this role to someone else. Also, it is quite handy to know how to work with your hands because every now and then there will be a few things that will need to be fixed and calling a contractor every time there is a small problem is not very cost effective.
Below I list a dozen questions that you can answer to determine if property management is your thing. Make sure that you are honest with yourself when answering these questions:
- Do you enjoy working with other people?
- Do you have a patient and tolerant personality?
- Can you keep emotions away from your business decisions?
- Can you manage your time effectively?
- Can you handle problems and respond to tenants service inquiries in a rational manner?
- Are you computer-savvy?
- Do you have an eye for a detail when it comes to dealing with paperwork?
- Do you know at least something about bookkeeping?
- Are you good at fixing things with your hands? Can you fix a leaking tap?
- Do you have time and desire to respond to telephone calls late in the evening or even on weekends?
- Can you read people’s personalities? You will need to be able to distinguish a good potential tenant from a troublesome one.
- Are you willing to learn the laws relevant to property management in your state?
If you answered yes? to each of those questions, then you may consider managing your rental property by yourself. If not, you are better off outsourcing this job to someone else because it requires lots of commitment to be successful at property management.
Remember, having a rental property of your own can still be great, even if you don”t manage it on your own! Talk to the Team at Bloor Property Management , we can help you get started.