Common Pitfalls in Self-Managing Your Tempe Property

Common Pitfalls in Self-Managing Your Tempe Property

Is it in your best interests to self-manage your Tempe investment property or would it be more ideal to hire a property management company to manage your investments? Are you really saving money, or are you losing money? It may be the illusion that you’re saving money that keeps you self-managing. Today, we’re breaking down the potential costs of self-management.

Losing Time and Money with Self-Management

Think about the amount of time you’re spending doing a job that you are not professionally equipped to do. There are things you would probably prefer to do with that time, and you could surely earn a higher return if you spent your time elsewhere and allowed a professional to manage your property.

Emotional Involvement with Investment Property

Self-managing owners are at risk for getting too emotionally wrapped up with their property and the occupant. This can lead you to lose sight of the real objective of your investment. The goal of your investment should be to maximize returns. And to maximize returns, it’s important to control and contain costs. Self managers often pay for everything the tenant asks for. You might not be sure about which costs should be assigned to the tenant and which costs are your responsibility as a landlord. If the tenant isn’t paying for repairs that they’re responsible for, you’re losing money.

Rental Income and Professional Management

Are you truly aware of fair market value, and are you getting that fair market value for your property? This is important to the income that comes into your rental property. You need to collect rent consistently, and be quick to respond when a tenant stops paying rent or is about to break the lease and vacate the home. A professional manager can help you earn more and enforce your lease agreement.

At the end of the day, professional property management services are tax deductible. If the IRS will allow you to pay for your management services and deduct them on your taxes, why are you bothering yourself and wasting your time and your money? Why are you creating emotional hassles for yourself?

Contact us at Crest Premier Properties, and we’d be happy to tell you more about the benefits of professional Tempe property management.