Investor · Greater Chicago Area and Northwest Indiana · Member since 2018 · 138 posts · 42 votes
I plan on living in a home and doing a rent by the room. Should I do the landlording myself or just hire a property manager?
I have a W2 job (40-80 hours a week) and a Real Estate business (getting close to quitting my W2 job to focus 100% on my business).
I don't believe managing the property is much work but finding the right tenants to live with could take a ton of work. I don't plan on living in the property for a long time though (1-2 years).
Rental Property Investor · Pensacola, FL · Member since 2017 · 32 posts · 42 votes
6y
Daniel
It will come down to cash flow. How much would it cost to manage the property in regards to dollar amount for paying a property manager and also your time and trying to finding a proper tenants have to work in 40-80 hours per week.
I had a friend that purchased a triplex and he lived in one of the units. He hired a professional property manager anyway. I believe it improves the comfortability of the tenants who lives there.
But it has to make Common Sense, Dollars Sense and Business Sense.
Rental Property Investor · Pensacola, FL · Member since 2017 · 32 posts · 42 votes
6y
Daniel
It will come down to cash flow. How much would it cost to manage the property in regards to dollar amount for paying a property manager and also your time and trying to finding a proper tenants have to work in 40-80 hours per week.
I had a friend that purchased a triplex and he lived in one of the units. He hired a professional property manager anyway. I believe it improves the comfortability of the tenants who lives there.
But it has to make Common Sense, Dollars Sense and Business Sense.
Investor · Colorado Springs, CO · Member since 2016 · 64 posts · 17 votes
5y
@Daniel Guerra, how did this end up working out for you? i want to rent by the room here in colorado springs, and I plan on self managing, but i hear rbtr property managers are few and far between
Real Estate Consultant · Colorado Springs, CO · Member since 2017 · 354 posts · 386 votes
5y
@Jeremy Babin - We have some clients that do the rent by the room (or coliving model) in Colorado Springs and Denver. Both self-manage and live at the property. I know someone else that does it on several different properties in Denver and Buena Vista, and she lives in one of the properties, but the others are self-run. I believe she has tried to identify tenants that could be house managers and reduce the rent for them. This model requires a higher management presence than a long term renter, but certainly is also more lucrative.
@Jeremy Babin I decided to sell the property. I lost my W2 job due to Covid. I became a licensed Realtor in Illinois and Indiana. I still think renting by the room is awesome. I will try it out when I move down to Arizona in 2021.