RPM’s sister publication Smart Property Investment speaks to a lot of investors and we’ve noticed a trend –most of them use PMs. We take a look at what drives investors to leave their nest eggs in the hands of a property manager.
Investor Mitchell Shad told The Smart Property Investment Show podcast that he uses a property manager because “I feel like it’s not worth the hassle and the stress [to do it myself]”.
“To be honest, work’s pretty full on and I just don’t want to have that hassle,” he said.
Mr Shad, a mortgage broker with four properties in his portfolio, said he would rather spend more time at work, and cover the costs of property management than go through the stress of managing them himself.
Michael Ossit, a design manager with a portfolio of six properties, goes a step further. He uses PMs to help him pick his investments.
“[Use] a really good property manager that comes on a recommendation ... and use them to look at the properties for you and get advice that way,” Mr Ossit said.
Some PMs are happy to offer a rent appraisal service free to prospective clients, using it to build their database and secure future business.
Offering a service like this in your area to investors can also generate word of mouth business as many people turn to their investor friends for PM recommendations.
Eddie Dilleen, a 25-year-old investor with a staggering eight properties already under his belt, uses PMs for a practical reason – only one of his investments is located in his home state of NSW.
Mr Dilleen said his recommendation to other investors would be to “definitely have a property manager.”
“I don’t try and manage them myself or anything like that,” he said.