Has anyone ever used a property manager to rent their house?

Question

I am trying to rent out my house and i was wondering if anyone has ever used a property manager and if its worth it or better to take care of it yourself.

Answer 1

I guess it depends on where you live and who the property manager is.  My cousin owns property in Texas and uses a property manager.  My aunt said it's great.  The property manager takes care of everything and my cousin gets the rent.  My parents own property in WV.  After my aunt talked about how great it is to have a property manager my parents decided to try it.  It didn't work out so well for them.  The guy didn't do a very good job of renting the houses or keeping them rented.  Of course, he collected the first month's rent when he did rent them but they didn't stay rented.  I don't think he did much maintaining the property either.  My parents decided he wasn't doing much more than they did but they were having to pay him.  They didn't renew his contract.  So, I would suggest you might want to ask for references.  If you are in an area where properties rent fairly well then it might be better.

Answer 2

I once owned several rental houses, and always handled the rental process by myself, except once.  That time, I hired a manager who was supposed to "screen applicants" collect rents, and take care of small maintenance issues. I was hands - off the process.  The agent the first month rent as their fee, and the renters were not responsible and I took a beating.  Then,  nine months into the lease, the tenant skipped and the manager found another, and collected a month rent as fee, again!  

Thereafter I handled the advertising, showing and management by myself.  I guess it boils down to the fact that just as there are good tenants and not so good ones, the same holds true for managers.  Screen the manager as closely as you would a prospective tenant!  

A good property manager should sure make you life easier, but they don't come cheap.  I would ask for a list of three properties that they are currently managing.  Then go right to the owner and ask for reference.  You can also go to the tenants, and ask them how the manager has been, and if there are any issues.  Don't be bashful.

As for paying the manager, he should get no more than equivalent of one month rent per year, and that should be spread over a year, monthly, only as the rent is received. That is fair for the management company and YOU.