Virtual Assistant · Long Island, NY · Member since 2009 · 7 posts · 2 votes
Hey Guys,
As part of DIY discussion, how do you manage your own property and why (or why not) you prefer (or do not prefer) property management professionals to handle it?
Do you use any property management softwares? Do you use internet to collect rent online (via e-check, credit cards)? How do you handly work orders? Do you prefer email correspondence with your tenants or phone calls?
Real Estate Investor · OH · Member since 2008 · 4k+ posts · 1k+ votes
16y
I also manage all of my rentals. You will NEVER find a property manager that will care as much about your property or do as good a job as you (assuming that you do a good job). In addition, I do almost all the maintenance and rehab work myself. I do use a HVAC company for complex HVAC work, etc.
I used property management software when I was a newbie, but no longer use it. I found that I was spending a lot of time putting garbage into the computer and it didn't generate one single additional penny. Now, I simply use Quickbooks Pro for accounting and I use Microsoft Publisher for creating and printing forms. I find this MUCH more efficient than putting duplicate data into property management sofware.
I collect rent IN CASH! I prefer $100 Bills and I check each bill with a counterfeit pen.
I don't handle work orders. When a tenant calls to report something that needs repair, I go repair it.
I use my cellphone for all rental contacts - no email with tenants.
Residential Real Estate Broker · Grand Blanc, MI · Member since 2008 · 885 posts · 316 votes
16y
I'm a lot more hands on than the conventional landlord. I don't use a PM. I hate PMs and find them to be useless (but then again I only invest locally).
As for repairs, I have a different person who specializes in each discipline. I personally take the repair calls when there's an issue. My tenants all have a direct number to me. It's never been an issue, and never been abused.
With regards to rent collection, I either visit the property to collect cash, or they mail me a check or money order.
Virtual Assistant · Long Island, NY · Member since 2009 · 7 posts · 2 votes
16y
Hi Mark,
So you are classic conventional landlord :) Do you use any software to handle / organize yourself? Such as rent reminders, notice writers etc? May be some rent payment collection sites?
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
16y
I also manage them myself. The extent of software is Excel and online banking. Collection is cash or money orders. Communication is via telephone or in person. A "work order" is the tenant calling me and me going and doing something about it.
Residential Real Estate Broker · Grand Blanc, MI · Member since 2008 · 885 posts · 316 votes
16y
My business model is pretty straight forward - everything is due on the 1st. That'd be all rents and land contract payments. If I don't have those items by about the 4th I start making phone calls to the tenants and/or borrowers to check the status. I pay the bills as they come in.
Quickbooks is my friend!
As for break/fix, I'm with Jon - when they call me with something wrong I either go fix it myself or send a guy over to take care of it. It's just that simple.
Real Estate Agent · Saunderstown, RI · Member since 2008 · 40 posts · 6 votes
16y
I use quicken rental Property Manager whihc manages all of my finances not just the properties. There is also a web site which works very well called RentoMatic. Check both out, but I love the quicken program.
Real Estate Investor · Milwaukee, WI · Member since 2008 · 1k+ posts · 671 votes
16y
I have fewer than 50 units and I do it myself with the help of a part time handyman. I use a book keeper for my books. I find it hard to keep track of what expense goes to what LLC though. I own my tools and trucks under an LLC that is just my management company. The rents are made out to my management company and are then put in the right LLC from there.
Real Estate Investor · OH · Member since 2008 · 4k+ posts · 1k+ votes
16y
I also manage all of my rentals. You will NEVER find a property manager that will care as much about your property or do as good a job as you (assuming that you do a good job). In addition, I do almost all the maintenance and rehab work myself. I do use a HVAC company for complex HVAC work, etc.
I used property management software when I was a newbie, but no longer use it. I found that I was spending a lot of time putting garbage into the computer and it didn't generate one single additional penny. Now, I simply use Quickbooks Pro for accounting and I use Microsoft Publisher for creating and printing forms. I find this MUCH more efficient than putting duplicate data into property management sofware.
I collect rent IN CASH! I prefer $100 Bills and I check each bill with a counterfeit pen.
I don't handle work orders. When a tenant calls to report something that needs repair, I go repair it.
I use my cellphone for all rental contacts - no email with tenants.
I'm not much different. I do my own screening, pick my own tenants, keep track of when they pay the rent (I have due dates all through the month)
If they call for repairs, I get over there and get the repairs done. I have a "partner". My son does most of the handyman stuff and I do the people stuff for him for his rentals.
I've got a couple of people I call when the repairs are above our skill level. But I always go over first and assess the damage. Many times tenants call for repairs for no real reason. I flip a switch, hit a reset button, or spray some graphite and we are good to go.
Real Estate Investor · OH · Member since 2008 · 4k+ posts · 1k+ votes
16y
EXCELLENT POINT! So many repair calls are absolutely nothing. Call a plumber and you've got a $100 bill FOR NOTHING! Go check it yourself and it's fixed for 5 minutes of your time!
Virtual Assistant · Long Island, NY · Member since 2009 · 7 posts · 2 votes
16y
Hey all! Happy bi-lated Thanksgiving and season greetings if i get lost again:)
Anyway, I was expecting that most landlords handle the property management personally (including me). But it was shocking /surprising to see classical-fashioned landlords in current tech-savvy world :) Is that because you do not trust to the technology or believe it is just another waste of time?
I understand that you handle maintenance works yourself. What about accounting part, tax preparation etc?
May I ask to include the number of managed properties in your answer?
Real Estate Consultant · yucaipa, CA · Member since 2008 · 233 posts · 109 votes
16y
T-Rex Global is perhaps the best self management software that I have seen. Not only gives electronic rent payment capabilities but it also calculates all of my tax info, depreciation schedules etc, which I send to my CPA.
Investor · Pawleys Island, SC · Member since 2008 · 1k+ posts · 837 votes
16y
I guess I am the odd man out in this group. I outsource property management.
I have rentals in three different states, so no way I would even attempt long distance property management
The advantages of professional property management to me are
(1) I don't have to deal with tenants, toilets, and termites.
(2) I don't have to know the landlord-tenant law in each state/county I have a rental
(3) I don't chase down tenants to collect rents
(4) The property manager direct deposits my rental income to my checking account
(5) If an eviction is required, the property manager handles it and already has the experience in doing it
(6) The property manager updates the rental lease form each year in response to new ordinances that may impact my rental activity.
(7) Since I don't have hands on every day and I am not "on call" 24/7, my rental activity is not a job
Virtual Assistant · Member since 2009 · 6 posts · 0 votes
16y
It is much better if you yourself manage the property than assigning or paying others to run it for you. You can have your choice in each decision that has to be done without anybody interfering with it. And what's better is you can save a LOT of money if you do it yourself. I hope this enlightened you. Thank you.
Indianapolis, IN · Member since 2008 · 244 posts · 36 votes
16y
For Marketing, I use craigslist and any other free listing internet service, also the American Classifieds (Thrifty Nickel) which only cost $9 per week per ad.
Investor · Middletown, NJ · Member since 2008 · 2k+ posts · 1k+ votes
16y
We only have 2 rentals right now and my husband and I manage them ourselves.
One tenant is on Section 8, the other on rental assistance, so the rent checks come directly to the PO Box made out to the LLC.
We advertise mostly on craigslist and with signs on the property. My contractor will show the house (I pay him a set amount for unlimited showings, as he lives nearby). I use Excel spreadsheets to track expenses and rental income.
We have a carpenter, electrician, plumber and landscape guy that we call for repairs that we can't do, or don't have time to do, since we live an hour from the properties.
Our tenants call directly with any issues. We document what gets done, take photos, save receipts, and keep good records, including phone calls and correspondence via texts (tenants love texting). Last night a tenant called and said the thermostat wasn't working. My husband asked her right away if she had accidentally turned off the furnace switch. She had. Problem solved in 30 seconds.
We had an eviction in the late summer that our attorney handled - $300 for legal services.
At tax time, I give our accountant the spreadsheet. I have QuickBooks, but only use Quicken for checking accounts. I find the simple Excel spreadsheet works best. No need to over-engineer the process.