I wondering if anyone (I guess mostly Property Management companies) has added a Handyman (not remodeling) service to there business. If any of you have lets talk about how this looks.
I wonder to if this isnt the forum for this. I have seen where lots of people post "Where to find, Or need to find or This Handyman did me wrong......" But, I havent seem much talk of or if any talk about owning or operating a handyman service along with Property Management
What I see lot of with property management companies is that one of the employees husbands takes care of handyman stuff and they both take care of cleaning. I've seen it work if they are honest, if not, it's a license to steal as the husband may not keep his prices competitive since it's usually no bid .
I do agree with that @Brian Mathews
I was wondering more on the side of advertising to the general consumer. Not just the homes my company manages. I'm looking at a 2-3 employee based start up with plans for expansion.
I used to do it a few years ago, it's a hard business to be in. The problem is that people, especially investors want everything on the cheap. For you to make enough money to pay a worker, provide insurance and you make a little, you'll have to price yourself out of the range of a man doing it by himself. You won't be the cheapest guy.
Usually, I see property management companies adding this as a service to their business. It's more of a support service to help clients than anything else.
Hope that helps!
I did exactly what you are referring to. I own a property management company and had a property maintenance (not remodeling) division for three years. I dissolved that part of my business back in January-I highly discourage going that route. The worker's comp and liability insurance is exorbitantly expensive in this classification.
I switched from having w-2 employees to 1099'ing my contractors and have found it to be much more successful. And I have more control over quality of work with 1099's than w-2's and negotiating powers.
I would be more than happy to talk more in details what my experience was like-feel free to private message me.
This has been a slow development do to a couple reasons. First finding the man power to push this business has we worried. Just like subcontactors there are a lot of people but hard to find ONE you trust and does good work. Second my volume of management for other owners has gone up. So for now this is setting on the side burner. I have advertised just a little and plan to keep one guy slightly busy between my own repairs on our managed properties. This will give me time to set up systems, business formats and..... I'll keep everyone updated as we move forward!
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Join the Largest Real Estate Investing Community
Basic membership is free, forever.