To manage or not to manage? Or what if I just...?

[Jonathan Perez]

So I was thinking about cutting off my PM and managing the other unit in my duplex myself. I figured since it's only 1 unit I've got to manage , I might as well go ahead and learn and do it myself and save money in the meantime till I get my 2nd property (then, I would NEED a PM) I then considered the fact that I could let my PM JUST collect rent, enforce late fees, evictions etc. I can take the work orders/requests. I assume that by taking on the work orders myself I could save a lot of money because I'd be avoiding the maintenance and repair fees my PM charges that seem to be the BIGGEST expenses I have through their service. If I decide to do this I'll just be paying them the straight 10%. What do you guys think about this idea?

[Account Closed]

You shouldn't have after-hours emergencies that often.  Just handle those yourself.  It won't normally require you to be there.  It's usually handled with telephone calls. 

For instance, "Help!  My toilet is overflowing!"

You tell them how to shut off the water to the toilet. Tell them to mop up the water and you'll call a plumber to deal with it tomorrow.  No, sorry, there's nothing you can do until the morning.  

Require your tenants to carry renters insurance with a loss of use rider.  Then, if they can't use the apartment because of some problem like toilets, their insurance will pay for the hotel bill.  And this is what you tell them if they insist they must go to a hotel when their toilet is non-functional.  "No problem.  This is what that loss of use rider was for in the renter's insurance I required you get.  So, if you can't live without a toilet until I get the plumber out there, hopefully tomorrow, you can call your insurance company to arrange for a hotel for tonight."

"But, by law you have to provide a working toilet!  Or the place isn't habitable!"

"True, but the law also allows me a reasonable amount of time to get it fixed."

Then, you call your plumber who goes and deals with the toilet.

If they call saying "The house is on fire!"  You tell them, "Then hang up and dial 911"  Then go on to the part about the insurance.

The only real difference with you going in person to deal with the toilet and calling a plumber, is that it would be cheaper for you to plunge/snake the toilet yourself.  But it's not required.