Episode 6

6 - Weighing the Options: Professional Property Management vs. Self Management

In this episode of Get Real Wealthy Season 4, Quentin D'Souza discusses the pros and cons of property management vs. self-management.

Quentin says that there are several benefits to hiring a third-party property management company. Firstly, experienced companies understand problem tenants in the area and can guide the property owner through tenant selection. Secondly, third-party property managers can effectively handle uncomfortable situations and legal issues. They have knowledge of the necessary documentation and contacts for paralegals or legal lawyers. They act as intermediaries between the property owner and tenant, avoiding emotional involvement by the owner. Thirdly, professional management offers peace of mind for those who do not live near their property, as local managers can handle any situation quickly and efficiently. Fourthly, property management companies have a list of maintenance and repair professionals, saving time and allowing the owner to focus on acquiring new properties. Lastly, they have extensive experience managing tenants and assets, making them efficient in handling current properties and tenants.

As for the pros and cons of self-management, Quentin says that the first advantage is that all decisions made align with your business goals as you make them. The second point is that while you save on the cost of a professional manager, you also sacrifice your time. Therefore, you have to determine if the time spent is worth the cost savings. Third, some individuals believe that a manager may not maintain the property as thoroughly as an owner would, though Quentin disagrees. He believes that some owners may have extra time and a desire to manage the property themselves. Fourth, self-managing property owners tend to search for the lowest prices and compare quotes from various sources, which saves money and keeps costs in line. Finally, he says that with self-management, you have complete control over the asset, but it also requires a lot of time.

In conclusion, Quentin adds that considering the time and size when deciding between hiring a third-party property management or self-managing. Self-management may be suitable for one or two properties, but a property manager may be needed for five or more. He recommends the books, "The Property Management Toolbox" and "The Filling Vacancies Toolbox," available on Amazon, for an overview of managing real estate assets and being a property manager."


Links and Resources

·        The Property Management Toolbox

·        Filling Vacancies Toolbox

·        https://www.instagram.com/qmanrei 

·        quentin@getrealwealthy.com

·        https://EducationREI.ca

·        https://GetRealWealthy.com

·        https://DurhamREI.ca

About the Podcast

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Get Real Wealthy
A Real Estate Investers Journey

About your host

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Quentin DSouza

Quentin D’Souza is a multiple award winning Real Estate Investor, and a trusted authority on real estate investing. He is an Ontario Certified Teacher and holds two university degrees, which includes a Master’s in Education. Quentin has appeared on local and national television and radio, interviewed in national publications, and has been a keynote speaker to large audiences of real estate investors. He owns a real estate portfolio in excess of $80 million dollars of assets under management across Canada and the US and transacted on 80+ properties since 2004. Quentin is the author of several books available on Amazon. He is also mentors real estate investors as the Chief Education Officer of the Education for Canadian Real Estate Investors and Durham Real Estate Investors Club.