In today's economy, people are wondering where the best place to invest their money is. For many, the right answer is investing in real estate.
When you're renting out your property, there comes the question of if you should do it on your own or get some help. For rent by owner sounds like a great way to be involved in your investment. But it also seems like a lot of work. This decision can make or break your investment.
Check out this guide on the biggest pros and cons of handling renters on your own before making a decision!
Pro: Know Everything About the Property
Purchasing a property is a big step, especially if it's the first time you've made that kind of financial move. For some, the thought of renting out that property feels very vulnerable. It makes them feel out of control in a sense.
When you choose to handle the renting on your own, you'll be in the know 100% for your property. Since you're handling every detail, all the information has to run through you!
Con: Slower Response Time
There are always going to be many requests for maintenance coming in. Every property is going to have routine maintenance that's necessary to complete. But there are also going to be times when emergencies or surprise requests come in.
When you're doing the managing, you're in charge of it all. Since you won't have all the resources of a management company, your response time is likely going to be much slower.
Pro: Hand-Pick Tenants
The one thing that will make or break your rental experience is choosing tenants. Picking the wrong people will cause you so much stress and, potentially, money.
Being in charge of renting out your property means you will have to do all of the tenant screening on your own. This can be a long process but it means you'll know exactly who is living on your property.
Con: Must Gain New Skills
Chances are if you've never owned a rental property before, you haven't done a lot of the tasks it requires. There are many skills that are unique to property management that don't come up in other jobs. Things like accounting, tenant screening, and property marketing to name a few.
If you're going to take on the job by yourself, you have to be prepared to learn a lot!
Everything You Need to Know About For Rent By Owner Properties
Owning a rental property is a great opportunity. It also comes with a lot of work.
When you choose the for rent by owner route, you're in charge of everything that goes into it. Or you can make your job much easier by working with a management team. Offloading the workload can make the whole experience much more positive!
The property management team at PMI Midwest has the expertise to keep your rental full and profitable! Our team manages tenant screening, accounting, marketing, and more. To see how we can help you, sign up for a free rental analysis today!