Tips for setting up processes to self manage rental

Tips for setting up processes to self manage rental

New to Real Estate · San Antonio · Member since 2024 · 18 posts · 16 votes

I currently house hack a duplex and the other units tenants are managed by a property management company. When I closed on the property I kept the current property management in place (inherited the tenant) for a smooth transition and I was concerned about the tenants learning I was the property owner and coming knocking on my door at 2 am.

The plan was always to self manage and I am ready to get started asap. The tenants seem very low maintenance, I've been in the property going on 5 months, have had one maintenance request, they keep to themselves, seem to take care of the property and have paid on time every month.

i also feel like the property management company I have in place doesn't do much.. they recieve the rent payment on the 1st and I don't get it in my account until sometimes as late as the 15th(not sure if this is standard), it looks like they manage several properties in my neighborhood and they have been sitting vacant for months, the pictures on there listings look like they were taken with a flip phone, etc..

So any advice for someone wanting to put systems in place to transition from property management to self managing my rental would be greatly appreciated. 

Also, I won't be house hacking this unit much longer. I just got a promotion at work that will be relocating me within the next 3-4 months, so want to have transitioned before then. I am on a month to month contract with my property management company.

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Rental Property Investor · Laguna Niguel, CA · Member since 2019 · 175 posts · 116 votes
1y

@Tanner King check out this article on biggerpockets

https://www.biggerpockets.com/blog/real-estate-how-to-expone...

Also, just finished reading the book "The Self Managing Landlord" by Amelia McGee and Grace Gudenkauf. It was pretty good and I recommend that as well. If anything, it will allow you to better manage your PMs or ask better questions.

Lastly - tThere are different levels of property management. Some investors only use them for placing tenants. Some use them for occasional maintenance and inspections. Figure out how much you can or want to do, and what you don't want to do.

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  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    1y

    @Tanner King going to just make a point here, then try to help:)

    How much are you paying for all your insurances: life, auto, home, etc.?
    - What are your agents for them doing for you?
    --- Bet if you really looked, "doesn't do much"!

    PMC's are the same way:
    1) They can make it look easy
    2) They are there for when things go wrong!

    Regarding IDY managing, you'll need to address the following:
    1) Where you'll advertise your vacancies and follow Fair Housing, state & local laws.
    2) How will you do showings?
    3) What rental application will you use?
    4) How will you screen applicants?
    5) What lease will you use?
    6) How will you collect rent?
    7) How will you evict if it becomes necessary?
    8) How will you handle maintenance:
    - Day-to-day
    - Emergencies
    - RentReady's between tenants

    Hope this helps!

  • New to Real Estate · San Antonio · Member since 2024 · 18 posts · 16 votes
    1y

    Drew, thanks for the advice, This is great.

    I should have phrased myself a little better, I understand the benefit of having property management. Just in my situation, only having one unit with low maintenance tenants, not a lot of time is spent on my portfolio monthly. And it's something I should and could be doing myself to gain experience especially since my goal is to scale and grow a portfolio of properties.

  • Rental Property Investor · Laguna Niguel, CA · Member since 2019 · 175 posts · 116 votes
    1y

    @Tanner King check out this article on biggerpockets

    https://www.biggerpockets.com/blog/real-estate-how-to-expone...

    Also, just finished reading the book "The Self Managing Landlord" by Amelia McGee and Grace Gudenkauf. It was pretty good and I recommend that as well. If anything, it will allow you to better manage your PMs or ask better questions.

    Lastly - tThere are different levels of property management. Some investors only use them for placing tenants. Some use them for occasional maintenance and inspections. Figure out how much you can or want to do, and what you don't want to do.

  • New to Real Estate · San Antonio · Member since 2024 · 18 posts · 16 votes
    1y

    Thanks Dale, will give that article a read and look into those books. I appreciate the advice!

  • Real Estate Coach · LandlordSkool.com · Member since 2017 · 113 posts · 90 votes
    1y

    Try LandlordSkool.com it's free for new landlords that want to self-manage their own rentals. Go back to the first BP podcast episode and listen them them all and buy all the real estate investing, sales, and business books you can. I prefer audible audiobooks. Good luck!

  • Justin BrickmanBusiness Member
    Realtor · San Antonio, TX · Member since 2021 · 502 posts · 274 votes
    1y

    If you're gonna house hack, no reason to pay for property management. Managing while you own it and live there will teach you many things and give you tons of experience for your next purchases 

  • Brian TeeterBusiness Member
    Little Rock, AR · Member since 2021 · 75 posts · 64 votes
    1y

    I own and run property management business in Little Rock, Arkansas.  I am an investor as well (for last 27 years).  I absolutely think you should try self management. I did it myself when I first got started. In fact, my first home was also a duplex  also and I lived in one side while I rented the other.  With DIY: You will learn a lot about the business of doing it, by doing it. Will gain a greater perspective, etc and ultimately help you be a better investor. 

    In the end, you may learn the value of your time. For me, I learned that my time was more valuable in other areas. I used that extra time to prospect more deals, make more banking contact, realtor contacts, study areas to target for new acquisitions.  sand I was able to scale up my portfolio while also maintaining my day job. Or, you may learn that you love self managing and thats your thing! There are a number of outcomes. But I do think its a worth a try. Especially starting with just one.  

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  • Aaron ZimmermanBusiness Member
    Accountant · Chicago, IL · Member since 2018 · 2k+ posts · 1k+ votes
    1y

    I would recommend reading the book on rental property investing and then his book about rental property. Both are by Brandon turner and you'll get some great ideas of how to self-manage.

  • Rachid AbadliBusiness Member
    Investor · Sacramento, CA · Member since 2024 · 129 posts · 36 votes
    3mo

    I made this exact transition — fired my PM and took over my Sacramento rentals. Here's what I wish someone had told me on day one:

    The PM handoff is the hardest part. Get EVERYTHING before you cut them loose:

    • Actual signed lease copies (not summaries)
    • Security deposit amounts and which account they're in
    • Outstanding maintenance requests
    • Tenant contact information (you'd be surprised how many PMs drag their feet on this)
    • Move-in condition reports (if they even did them)

    Set up systems BEFORE you notify tenants. Send one clean introduction: here's where to pay rent, here's how to submit maintenance requests, and here's my contact information. Not three emails over two weeks while you figure it out.

    The first 30 days will feel like chaos. Tenants will test the new situation — expect a burst of maintenance requests they've been sitting on, and maybe a late payment to see if you're paying attention. Handle both firmly and promptly. It sets the tone for everything after.

    California-specific: make sure you understand your notice obligations. Your PM was (hopefully) handling AB 1482 annual rent cap notices, just-cause requirements, and related compliance tasks. That's all on you now. Miss a required notice and you've got a legal problem.

    What state are you in? Compliance requirements vary wildly, and that changes the setup process.

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  • Alyssa MarquezBusiness Member
    Real Estate Agent · San Antonio TX / Fort Lauderdale, FL · Member since 2023 · 120 posts · 29 votes
    1mo

    Given your move in a few months I would use these next few months to establish these systems and then, with the help of knowing I have support in town, work the systems before giving my notice to the PM. I would begin by reviewing the lease and the management contract with the existing PM, and then establish online rent payments, a direct maintenance request system, bookkeeping, tenant contact system, and reputable local vendors before giving the notice to the PM. I would be sure to be upfront and communicate with the tenants the details of when and to whom their rent will be made payable and who to contact directly. As the end goal is remote management, I would create a system that accommodates it from day one rather than relying on being next door.

  • Member since 2026 · 8 posts · 0 votes
    3w

    One thing I would add: set up the rent tracking and lease-date system before you give notice, not after. The first month of self-managing is stressful enough without also improvising how you will know who paid and when leases actually renew. I built mine in a spare hour on a spreadsheet before I ever took over, and just having that in place made the actual handoff conversation with the PM much less nerve-wracking.

  • Coral Springs, FL · Member since 2018 · 478 posts · 105 votes
    2w

    i went through this exact transition last year. fired my pm and started self-managing. saved about $7,200/yr in fees which was nice but the real education was realizing how much i was already doing that i could just... keep doing.

    the biggest thing nobody mentions here but rachid touched on it — get everything from your pm before you give notice. signed leases, deposit amounts, where those deposits actually live, tenant contact info, any open maintenance items, move-in condition reports. once you cut them loose they're not exactly motivated to dig through files for you.

    since you're relocating in a few months, build whatever system you're going to use before you tell the pm to walk. even a simple google sheet tracking who owes what and when, a dedicated email for maintenance requests, and a clear process for how tenants pay. zelle or venmo works fine for small portfolios, some people use turboTenant for the rent collection piece.

    the remote management thing is actually easier than people think. tenants who've been there a while and are low maintenance don't need you next door. they need you to respond when something breaks. have a handyman on speed dial in that area and you're 90% there.

    one thing i'd add — your first month is going to feel chaotic no matter how prepared you are. something always comes up you didn't plan for. that's normal. by month two or three you'll have a rhythm and wonder why you were paying someone else to do it.

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