Are you considering whether or not to rent out your home??
One of the biggest decisions you need to make is considering property management.
As a realtor, a very common question perspective home buyers ask me is in relation to their options for short-term rentals. "Can I have my own property management take care of the property or do I have to use a designated management company?"
People wonder whether their condo, townhome complex or even the property HOA will allow your own property management with short term rentals. This is something you should also consider!
If you can use your own property management, that's what I would suggest. Here are two reasons why
1. More Money
2. More Control
For the income, you're going to make more money, in fact, this is the primary reason why I would manage your own rental property.
You know what is going on. You are in control of what is going on. You are in charge.
What using your own property management might look like...
So if you do have a property and are considering short term rental, here is how one of my former clients does it!
This client does all of his rentals through VRBO. He has hired a couple to take care of the cleaning and maintenance of the place. If there is an issue with the renters they will call him directly, but then he gets a hold of his maintenance team who is on call to go unplug the toilet or whatever.
He gets all of the requests for the dates to rent, so he manages all of that. He also makes sure that they get the key to the renters.
However, as far as the money goes, he says he expects and he has gotten between 10-12% on his money and so that's a pretty good return.
Using the property's management company....
Now like with the lodges here at Deer Valley where you don't have a choice, if you're going to rent your place you have to let it go into the rental pool. The management company will just take care of it all, you don't even know when it's rented. I guess you could find out, but they take care of coordinating the rental, they take care of taking care of the people, the concierge. You know what your income is on that. (The split on The Lodge's is 53% goes to the owner)
So anyway, to put it simply those are your two choices.
If you can use your own property management company then you'll put more time into it, but you'll net more money.
If there is an on-site or a designated property management company then you'll save time, you won't have to deal with everything, but you won't get as much income.
If you have any questions let me know!
I am happy to help you if you have a question about any of this just give me a call, I'd love to help you! Take care.
Contact me for more information and for all your Real Estate needs.
Brian Olsen - Coldwell Banker