As a new investor, you’re likely considering various aspects of managing your properties, and one question that might arise is whether you should hire a property manager or take on the role yourself.
While hiring a professional property manager can provide convenience, there are numerous advantages to taking the reins and doing it yourself.
At Andersen Group Realty, we are a long-serving North of Boston real estate team who specializes in helping investors and landlords grow their wealth. Passing our knowledge on to you, this blog will highlight the various considerations that new and established investors should think about when deciding whether to hire a third-party property manager for their investment.
Want to know more about Andersen Group Realty’s refined services for investors? Click here to discover how we can help you make an exceptional investment.
Why Be Your Own Property Manager?
One of the foremost advantages of becoming your own property manager is the ability to retain a greater portion of your returns. Hiring a professional property manager involves fees that will eat into your income. By taking on management duties personally, you can eliminate these costs. The money saved on management fees can be reinvested into your properties, helping you boost their value or expand your portfolio.
Managing your properties firsthand also allows you to foster closer landlord-tenant relationships. Clear communication and a personal touch can lead to better tenant retention and lower turnover.
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Eager to take on your role as a property manager? Here are a few insights for getting started.
Understanding Your Role
As an investment property owner, you’ll have a few more responsibilities than the average homeowner. However, these duties do not need to be cumbersome. With the right education, preparation, and eventual experience, managing your property and tenants can be relatively easy and hassle-free.
Legalities, Rights, & Regulations
In Massachusetts, tenants have specific rights outlined by the Attorney General. Before leasing out your property, familiarize yourself with these rights to ensure you’re abiding by them. This includes regulations related to security deposits, lease agreements, eviction procedures, and maintenance responsibilities.
Finding a Top-Choice Tenant
One of the most critical details in managing and optimizing your investment property is finding the right tenant. Selecting the right tenant is not just about filling a vacancy – it’s about safeguarding your investment, ensuring steady rental income, and maintaining the overall value of your property.
As a property manager, you’ll be responsible for sourcing a stable and reliable tenant. With this in mind, you’ll want to assemble a comprehensive process for tenant screening. While it will require some upfront effort, the benefits of having a responsible long-term tenant far outweigh the potential pitfalls of a rushed decision.
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When to Seek Professional Support
While there are numerous advantages to personally taking on the role of property manager, it doesn’t always suit every investor. Depending on your circumstances or ambitions, hiring a third-party property manager could be a more appropriate solution.
For most new investors, landlord duties will be far from a full-time obligation. That said, while they may not take up a lot of time, it is still important to take your responsibilities seriously. If your personal circumstances interfere with your ability to be an effective property manager, seeking professional support might be the best option.
As an example, if work or personal commitments require you to spend a significant amount of time out of town, managing your property can be challenging. While it is possible to handle some things remotely, it’s generally not an ideal solution long term.
Alternatively, if you’re an established investor with a growing portfolio, you may find yourself stretched thin and unable to dedicate sufficient time to each property. In these cases, outsourcing to a property management company can help alleviate the burden.
Our Services For Investors
Looking to purchase an investment property in the diverse North of Boston real estate market? Our team can guide you toward a seamless and lucrative venture.
We understand the various complexities of real estate investment and endeavor to make the process simpler by providing guidance, education, and refined purchasing strategies. As investors and property managers ourselves, our support goes beyond the transaction. After finding and purchasing the ideal property for your portfolio, we’ll ensure you’re well-set for a smooth journey as a landlord.
Ready to make a strategic, high-return real estate investment? Discover Andersen Group Realty’s unparalleled buying and advisory services today. Click here to send us an email or call 781-729-2329 to get started.