What do you hate about your property management company?

Madison, Wisconsin
Multi-Family and Apartment Investing
10moFollow

What do you hate about your property management company?

Nathan Alwin
Investor · Madison, WI · Member since 2022 · 3 posts · 1 vote

I'm getting close to retiring from my W2 job and I'm considering starting a property management company.  It seems like there could be room for a new model of operating a management company.  I'd like to hear about what investors would change about their management company and how the structure of the relationship could be changed.  Thanks!  

1Reply
96 views

Most Popular Reply

Jill F.
Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
10mo

I hate a model that is by design, counter to the property owners best interest. One that rewards churn and that doesn't hold a manager accountable for bad decisions. One that requires legal turf protection to stifle competition.  I have not hired a property management company and probably won't until I have enough units and solid process to hire a w2 manager that reports to my company.

1Reply
See this reply in the discussion

6 Replies

Jump to latestLatest
  • Adam BartomeoBusiness Member
    Real Estate Broker · Cape Coral, FL · Member since 2015 · 2k+ posts · 1k+ votes
    10mo

    When people with zero experience get into the industry claiming greatness, ruin people's portfolios, and I have to clean up their mess. 

    [email protected]239-339-3969
    Bartomeo Property Management4.7150 Reviews
    WebsiteView Page
    0Reply
  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    10mo

    Owners hate that PMCs charge them - for anything!

    They expect everything for free, thinking everything takes 5 minutes and costs $0.05!

    [email protected]248-209-6824
    Logical Property Management4.9451 Reviews
    WebsiteView Page
    0Reply
  • Jill F.
    Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
    10mo

    I hate a model that is by design, counter to the property owners best interest. One that rewards churn and that doesn't hold a manager accountable for bad decisions. One that requires legal turf protection to stifle competition.  I have not hired a property management company and probably won't until I have enough units and solid process to hire a w2 manager that reports to my company.

    1Reply
    • Nathan Alwin
      OP
      Investor · Madison, WI · Member since 2022 · 3 posts · 1 vote
      10mo
      Quote from @Jill F.:

      I hate a model that is by design, counter to the property owners best interest. One that rewards churn and that doesn't hold a manager accountable for bad decisions. One that requires legal turf protection to stifle competition.  I have not hired a property management company and probably won't until I have enough units and solid process to hire a w2 manager that reports to my company.

      I agree that sometimes the owner's interest and the PM company's interests are not always aligned.  I understand when PMs charge more for repairs and turn over because they have more expenses for those things.  Is there a middle ground model where a certain number of hours are included each month and then owners are charged if the needs exceed that?  What about if the PM gets paid according to number of months occupied vs vacant?  I'm just spitballing ideas here.
      0Reply
  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    10mo

    @Jill F. interesting!

    So, how would you structure lease renewals to properly incentivize a PMC or a W-2 worker?

    [email protected]248-209-6824
    Logical Property Management4.9451 Reviews
    WebsiteView Page
    0Reply
  • Mike Dymski
    Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
    10mo
    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free