Finding Property Managers for Scattered-Site & C/D Class Neighborhoods in Pittsburgh

Finding Property Managers for Scattered-Site & C/D Class Neighborhoods in Pittsburgh

Lender · Nationwide · Member since 2024 · 76 posts · 24 votes

Hi everyone,

I renovate and sell turnkey rental properties here in the Greater Pittsburgh area, specializing in buying, renovating, renting, and delivering stabilized assets to hands-off investors.

While I have a few solid property management relationships for A and B-class core neighborhoods, I am expanding my network to find managers who excel in tougher, working-class neighborhoods (C/D class) as well as the outlying secondary markets farther out from the city core.

For those of you successfully scaling portfolios in the more challenging pockets of Pittsburgh or the surrounding suburbs:

  1. What specific operational metrics or questions did you vet for to ensure a PM could handle the unique tenant dynamics and collections in these tougher areas?
  2. Do you find that localized, smaller PM firms handle these outer submarkets better, or do larger regional firms have the boots on the ground required?

I would love to hear your experiences or general advice on what to look out for. 

Thanks in advance for your insights!

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Jamie DietzBusiness Member
Lender · Pittsburgh, PA · Member since 2015 · 175 posts · 90 votes
2mo

I learned this lesson the hard way that owning scattered small rentals even within the same market is challenging, whether you self-manage or hire a property manager.

Over the long term, I'd encourage you to consider consolidating your portfolio into one smaller geographic area or transitioning into a larger multifamily property. This can simplify management, reduce operating costs, and make the portfolio much easier to scale.

In the short term, let me know where your properties are located around Pittsburgh. I am happy to refer you to my network of local property managers.

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  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    2mo

    Managing Class C & D TENANTS is NOT easy!

    We actually charge MORE for managing them.

    We have not seen larger, regional PMCs manage these well.
    - Their systems are built for Class A and B, so they do not identify issues quickly enough.

    Small, "mom & pop" PMCs is also not the answer. 
    - They rarely have the systems necessary to succeed with Class C & D properties/tenants. 
    - They are usually too reactive!

    So, you want a local PMC with at least 200-250 doors under management. They should have a decent, updated website and owner/tenant portals. 

    Ask them for proof of their written procedures & processes. Also ask them for a live screenshare of existing owner & tenant portals to see what EXACTLY they share. 
    - We've taken over doors from competitors using the same PM software as us, and owners give us their logins so we can quickly download transfer info - but there's nothing there! No leases, no utility bills, no maintenance bills, pics/videos, etc.

    DM us if you'd like to discuss more about this.

    • Lender · Nationwide · Member since 2024 · 76 posts · 24 votes
      2mo
      Quote from @Drew Sygit:

      Managing Class C & D TENANTS is NOT easy!

      We actually charge MORE for managing them.

      We have not seen larger, regional PMCs manage these well.
      - Their systems are built for Class A and B, so they do not identify issues quickly enough.

      Small, "mom & pop" PMCs is also not the answer. 
      - They rarely have the systems necessary to succeed with Class C & D properties/tenants. 
      - They are usually too reactive!

      So, you want a local PMC with at least 200-250 doors under management. They should have a decent, updated website and owner/tenant portals. 

      Ask them for proof of their written procedures & processes. Also ask them for a live screenshare of existing owner & tenant portals to see what EXACTLY they share. 
      - We've taken over doors from competitors using the same PM software as us, and owners give us their logins so we can quickly download transfer info - but there's nothing there! No leases, no utility bills, no maintenance bills, pics/videos, etc.

      DM us if you'd like to discuss more about this.


       Thank you Drew for the valuable info!

  • Jamie DietzBusiness Member
    Lender · Pittsburgh, PA · Member since 2015 · 175 posts · 90 votes
    2mo

    I learned this lesson the hard way that owning scattered small rentals even within the same market is challenging, whether you self-manage or hire a property manager.

    Over the long term, I'd encourage you to consider consolidating your portfolio into one smaller geographic area or transitioning into a larger multifamily property. This can simplify management, reduce operating costs, and make the portfolio much easier to scale.

    In the short term, let me know where your properties are located around Pittsburgh. I am happy to refer you to my network of local property managers.

    Next Door Capital514 Reviews
    • Lender · Nationwide · Member since 2024 · 76 posts · 24 votes
      2mo
      Quote from @Jamie Dietz:

      I learned this lesson the hard way that owning scattered small rentals even within the same market is challenging, whether you self-manage or hire a property manager.

      Over the long term, I'd encourage you to consider consolidating your portfolio into one smaller geographic area or transitioning into a larger multifamily property. This can simplify management, reduce operating costs, and make the portfolio much easier to scale.

      In the short term, let me know where your properties are located around Pittsburgh. I am happy to refer you to my network of local property managers.


       Thank you Jamie.

      I will shoot you a DM.

  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    2mo

    @Simcha B Shedrowitzky This has to be one of the worst endorsements for your product....The product is so lousy I can't even find quality property managers to manage the real estate. Do not fear, there's still plenty of investor's thousands of miles away who will buy C/D real estate because of websites such as BiggerPockets which has aligned its messaging with people who promote this strategy for years and as a result there remains a marketplace for this product.

    • Lender · Nationwide · Member since 2024 · 76 posts · 24 votes
      2mo
      Quote from @Stuart Udis:

      @Simcha B Shedrowitzky This has to be one of the worst endorsements for your product....The product is so lousy I can't even find quality property managers to manage the real estate. Do not fear, there's still plenty of investor's thousands of miles away who will buy C/D real estate because of websites such as BiggerPockets which has aligned its messaging with people who promote this strategy for years and as a result there remains a marketplace for this product.


       LOL!

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