Time of Year, Property Manager, or User Error?
Time of Year, Property Manager, or User Error?
The property has been listed for 77 days awaiting for a tenant. My question: Vacant because Time of Year, Property Manager, or User Error?
Listing: 1053 Parksley Ave, Baltimore, MD - https://www.zillow.com/homedetails/1053-Parksley-Ave-Baltimore-MD-21223/36546090_zpid/
Time of Year: My optimism says the reason is the time of year, but at this point, something needs to change whether it’s the Property Manager, discounts/rewards (first month half off, etc.), or I need to lower the rental amount..
Property Manager: This is a property manager that was recommended via a real estate agent. Comes from a large company (based out of two different states) and has standard fees. He communicates well and is analytical. My fear is he is waiting for online leads versus taking action. I have a call scheduled to ask him directly to see what he has been doing specifically (which may remove any concerns I have).
User Error: Rent is too high. Currently at 1150. Rentometer shows Average $1085. MyRentRates: $1195. Rent Zestimate: $1195. PM says it’s good where it is. I asked him to lower it from 1200 à 1150 about 30 days ago.
What do you recommend my course of action? I have several lessons learned for the next rental, but encourage your wisdom and guidance as well. Any assistance is greatly appreciated!
Most Popular Reply
Unfortunately, in my experience, it's really hard or impossible to make a profit when you rely on a property manager for a property far away from where you live. I know there are lots of podcasts, etc., that say you can - but - like any business, can you really make a profit when you are relying on a manager far away from your own eyes and oversight?
I mean, really, if you owned any kind of business other than real estate, just to bring the point home, would you expect an owner of a business to do well when he/she relied on someone they barely met once or twice to make them a profit? Especially when the contract said they could hire anyone they wanted (hello, their pals who give them a kick-back) to take care of anything as long as it was under $250? My own daughter was royally ripped off by a property management company using that $250 amount over and over an over and over until they blew through her account.
Anytime something is too good to be true - it is. There is no such thing as a company that makes money without your personal oversight, or at least without employees you personally know and who are accountable to you and who can't profit without making you a profit first.
Live and learn.