Acquiring rental units as part of an investment strategy isn’t new. Now, with a hot real estate market, more and more investors are getting into the game. Viewing property as an investment is a bit different than if you’re looking to be a day-to-day landlord. Luckily, there are several ways a property manager adds value for investors, like giving you time to grow your portfolio.
Here, we examine four ways a property manager adds value for investors:
You’re uncertain how to maximize your return on investment
This can be true in several ways. Chances are, if you bought rental property as an investment, you aren’t coming to the table as an expert in real estate law, or marketing, or one of the other skills that make for successful property management. But a bona fide property management company with extensive experience will be experts in all those areas and more.
With a local property management company like Greyhaven, you get a significant added benefit: street by street, neighborhood by neighborhood, expertise of the Chattanooga region. Greyhaven’s years of experience give us an intimate knowledge of the type of tenants who are looking for rentals in specific neighborhoods, and the likely amount of rent a property can command.
Related: 6 Reasons to Hire a Property Manager
You want to expand your portfolio with additional properties
Most people who purchase rental properties as part of an investment strategy aren’t looking to own just one (or two). Maybe you start out with a single house, but once it’s occupied and you’re more comfortable with the process, you start eyeing another house down the street, or that apartment building downtown.
An investor who is personally managing their own properties is going to be limited by the time required by each location. There are only so many hours in a day. If you’ve got to be at one apartment because the dishwasher is broken, you probably won’t have available the time required to stand up another rental unit.
Investing your own time is going to limit your ability to expand your portfolio.
You purchased property as a long-term investment, not a day job
Property management can quickly become a full-time job. If daily or hourly responsibilities weren’t something you were looking for when you purchased your investment properties, or if you already have a day job, the time commitment can be stressful and overwhelming.
There are tenants to find, backgrounds to check, repairs to fix, maintenance to schedule, taxes to file, complaints to field and much, much more. An added stressor is the unpredictability that so often comes with property management. After all, appliances don’t break, and roofs don’t leak when it’s most convenient for your schedule.
You want the peace of mind that comes with knowing you’re in compliance
To say real estate law and regulations are complex is a bit of an understatement. There are fair housing and anti-discrimination laws, local ordinances, and taxes to consider. Real estate laws are on the books at the federal, state, and city levels. There are laws that govern the tenant selection process, the condition of the property, and, if you have to evict a tenant, there are laws for that, too.
It’s hard enough keeping track of all the regulations for the place where you live. If you’re not a local landlord, you’re probably even less familiar with the laws and regulations governing your investment. A local property management company does have that knowledge, and partnering with them gives you access to it.
Residential Property Management in Chattanooga
Call us at 423.648.6676 to see to how Greyhaven Realty Management can help you maximize your real estate investment.