Is it time to hire in house support?
Good Day All,
I have a question relating to bring Property management and/or maintenance in house vs using a 3rd party manager.
Some Background:
I have about 135 units in my portfolio - ranging from SFH - Apartment buildings mainly in Rochester, with 10 in Buffalo. Currently, I have a property management company that covers both cities. As you can imagine, as my portfolio has grown so have my maintenance costs and property management fees. This year, I will spend approximately $90k in property management/Leasing fees and another $275K in maintenance (this is material and labor combined). I am in out of town investor.
I think it is time to move operations in house and hire people as there is some opportunity to save money (I think). So I wanted to get some advice on if my logic is sound and if so, how do I go about getting started. Here are some specific questions:
- Outside of the obvious cost savings, are there other considerations to bringing operations in house or or not to evaluate?
- What's the best way to identify people with the right skills to hire? Do you know of anyone is looking for a job in this space in Rochester?
- There are a number of added expenses with NY State when you start hiring full time employees. Anyone has experience in how much those costs might be?
- Suggestions on safeguards I should put in place since I am an out of town investor. Note, I do go to Rochester/Buffalo for at least a week a month
Thanks in advance for your thoughts.
Cheers!
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