I got off of the phone the other day with a guy that
is looking at buying his first property. One of the things
that we spent some time talking about is property management.
Like many people he really does not have an interest
in property management BUT he does NOT want to
purchase any real estate with partners..wants to own
the real estate (apartments is what he wants) 100%.
No problem. But…
He does not want to manage the property.
Here is what I recommended to him and I would tell the
same to you to IF you are wanting to own your next
property 100% yourself.
Manage the property yourself for at least 12 months.
That is right, I recommend managing the property yourself.
Why?
So you will now what to look for, what to expect, how to
read the financial statements, how to know if your rents
and expenses are high or low, etc. To be the best
owner and to have your properties producing as much
cash flow as they can then you need to get hands on
experience so you CAN EFFECTIVELY direct your
future management folks (management company).
This is important. You will need this experience to not
only do a great job of overseeing the management of
the property but also to make the right decisions.
Now, if you do not plan on owning your property 100%
then this is not a big deal but I would suggest doing
so on your next investment if you want to own the
whole enchilada!
Boyd McClean
www.noteswilltravel.com