DID YOU KNOW?
Source: Insurance & Financial-AAA Northeast (article)
Prospective real estate investors who hope to buy, hold and rent
out their investment properties should first interview potential
property managers before buying homes. While it is possible to
find property managers willing to manage single family homes or
duplexes, the financial resource Bankrate.com notes that many property
managers prefer to manage large apartment complexes instead.
Managing properties is hard work, and without skilled property managers
on their side, real estate investors may become overwhelmed by the
responsibilities of being of taking care of their real estate
investments while simultaneously trying to maintain their own
residences. Before buying investment properties, prospective real
investors should interview various local property managers or property
management firms, inquiring about their fees and what is included in
those fees. If the cost of hiring property managers drastically
cuts into the profits investors hoped to make off their investment
properties, they might be better off looking to invest their money in
areas other than real estate. Prospective investors can
compare the potential return on investment after the cost of property
managers has been factored in to the return they might get from more
traditional investments to determine if investing in real estate is a
sound financial decision.