All Forum Posts by: Mark J.

@Todd Anderson  That's awesome- thanks for sharing!  Sounds like you were able to figure it out and move onto bigger and better things.  I'll shoot you a message to connect and chat more.

@Kerlous Tadres Thanks for the ideas and suggestions.  These are good ideas, it sounds like essentially creating my own PM system using part time employment.  Interesting to think about.  I think at this point it may make sense to try out a PM to really free me up, but this is interesting to consider.  Thanks again.  

Hey @Justin Brown

I'm actually in your neck of the woods- Easton and Bethlehem.  Always wanted to go to one of your meet ups, but was never able to make the trip over.

I like the view point of "an investment in yourself" and freeing up time and headspace to look for deals and ways to grow.  Learning all the renovation and handyman stuff has been interesting, but I think I've learned as much as I want...haha.. and time is pretty finite.  

I'm going to message you separately about PMs recs in the area.

Hey @Shawn Ackerman

Wow- that sounds awesome. Sounds like you've really figured out a system to make it work. I actually did try real estate specific VA's last year and it was a complete mess. TBH waste of time and money. I think I may have just got put onto the wrong company. I had to fill out so much paperwork and their system didn't save any of it, so had to redo it all. And when they got simple maintenance calls, say for a leaking sink, they were calling plumbers 1.5 hours away rather than using the list I gave them, also taking days to get back to tenants, etc...I could on...haha

Anyhow, your set up does sound interesting and effecient- would you mind sharing where you found the VAs?  Feel free to DM if preferred.  I'd be interested into looking into it again, but kind of leaning towards the more hands off PM approach at this point.

Thanks for sharing your system! Definitely something I'm going to consider especially if I 1031 long distance.

Hey @Ryan Spath

Thanks!  Yeah, it's been a grind, but feel fortunate I was able to find things when I did.  I thought I'd go up to 20 units, but the market just became really tough and it was a lot to get into as a newbie, working full time and 1.5 hours away.  Yep, tired landlord on the way to being a burnt out landlord...haha, trying to avoid that.

Appreciate you sharing some of your strategies.  It sounds like you've figured out sound systems to operate with less stress/headaches.  I'll make a list of these bigger ticket items and I'm definitely overdue on a walk through of some of the properties.  Reminds me there's a 3rd floor apartment with a water heater I should definitely check on...ugh...

Yes, I'm in the same boat- older properties that probably had higher cap ex repairs deferred.  I know at some point there's probably going to be a pretty big expense if I continue to hold them.  I think your idea of listing everything will be helpful.

Yeah, I think I should probably give PM a shot and see how it works out.  I'll probably struggle with giving up some of the control and oversight, but I will probably stay somewhat hands on with the maintenance and try to keep an eye on things.  I think it would just be nice not to be the first person call for every issue.

Appreciate you taking the time to share- Best!

Hey @Arn Cenedella

This makes a lot of sense.  I like the idea of testing the waters with a couple of properties.  It would allow me to see if PM is a good fit, see how the reduction of cash flow feels, and free up some of my time/headspace.  I've heard others with the same sentiment as you regarding the relief of hiring a PM.  I think it's probably overdue for me.

Yes, the dream would be to 1031 into a 10+ unit under one roof, but interest rates and valuations make it hard to match the cash flow of the properties I bought 5 years ago.  Also as you mentioned coordinating the sale and purchase is a pretty big feat in itself.  Definitely need to look into it though.

Interesting perspective on the taxes.  It kind of reminds me of the analogy of driving across town to save a few pennies on gas (which I instinctively would do :).

Thanks for taking the time to share your thoughts- it's super helpful.

@Dave Foster This is good food for thought and would open up a lot of possibilities.  I'm going to give it some thought and do some research in this direction.  Appreciate your insight and will reach out if I do go down that road. And you're right- I don't want to manage anymore!...haha

@Drew Sygit A lot to digest here- really appreciate your advice and tips.  I will use them when searching for a PM.  I would have definitely made some of the mistakes you called out- hiring the cheapest PM, not fully reading the contract, etc.  Appreciate your time!

Hello All,

I'm a long time member of the site and learned a ton from the forums and podcast during my initial phase of investing in RE about 6 years ago.  I ended up acquiring 5 properties/10 units from 2019-beginning of 2021.  I stopped buying because the market became too expensive and competitive in my area at the time.  I also self manage from about 1.5 hours away and was working a full time job, so it became quite overwhelming especially during turnovers and renovation projects.

Anyhow 5 years later and I'm still self managing from about 1.5 hours away.  I've always considered getting a PM, but it's hard to give up that 8-10% ($1k/month) especially with everything that I hear/read regarding investors' experiences with PM, also there is a lack of options in my area. 

I'm at the point where I'm kind of over dealing with tenants/all of their problems and the constant distraction.  I have other projects and business' I'd like to pursue and the rentals are a constant distraction and time suck.  Not just the landlording part but all the bills, bookeeping and paperwork that come with it and the constant thinking of improvements and issues that need attention.  The cash flow is ok on average.  Factoring mortgage pay down, appreciation and tax benefits make them pretty solid investments. But it is a job and mental drain/distraction- there's always something.

With all of that said I'm trying to formulate an exit strategy. My thought is rather than just selling and being done with it I will try professional property management first. If that works out I'll hold for, maybe another 5 years and then look to exit the properties, ideally 1031 at least 1 to some kind of vacation/STR/retirement property. If putting under PM doesn't work out I'll probably begin to slowly sell them off. I'd love to 1031 into an apartment building, commercial or something that is a little less hands on, but I have not seen anything that would make sense in my area. I think I'd have to go long distance to figure that out and not sure I want to do that.

Anyhow hoping to hear from others who have been at this point in their journey and hear what worked for them.   Whether it's someone who sold and regretted or was elated or finally hired PMs and it went well or didn't or created better systems to self manage, etc.  Kind of just wanting to get some perspective, though I know everyone and their situation is different.

Also I'm will to share more of my journey and info, just let me know. 

@Leon G.  What did you end up doing with the properties?