You probably manage your rentals on your own to save money. Paying for professional management is too expensive when you can take care of your properties and handle tenants on your own.
We hate to be the bearer of bad news, but many real estate investors discover that self-managing rental properties aren't always the money saver they thought it was. If you're holding strong to the idea that outsourcing to a Wilmington property management company is an unnecessary expense, here's why it could be costing you more than you think!
Why DIY Property Management Is Not a Money-Saving Idea
Cutting corners by handling your own maintenance or leasing process can lead to costly mistakes and lost opportunities to make more money. You could be doing "just fine" with your rental property and income—but what if "just fine" was leaving money on the table every month?
Outsourcing your property management services is a big decision. However, when many property owners see what they're losing every month by hanging on to DIY strategies, they quickly see the value of a property manager! You could be making the following costly mistakes without realizing it—but the right property manager in Wilmington can resolve these issues and boost your bottom line.
Pricing Your Rentals Incorrectly Leaves Money On the Table
The right monthly rental amount is critical to generating enough income to meet your goals. As a DIY landlord, you know that if you price your rental too high, renters won't want to pay that much for your property—and your rental sits empty while you lose money.
If the price is set too low, you might find tenants—but you lose money every month when they pay the rent.
How can Wilmington investors find the ideal rental rate? If you've guessed at it lease term after lease term and never seem to land on the best monthly rent amount, a property manager can help! We conduct thorough market research and analysis before setting the rental rate. With our insights and expertise, investors see better returns with ideal monthly rent amounts.
Making Repairs Yourself Is Expensive
In theory, it sounds like a smart way to save money: handle repairs yourself instead of overpaying a contractor to do them. However, DIY repairs can often cost more when you factor your time, multiple trips to the hardware store, and re-doing a fix that didn't work the first time.
Over time, some DIY repairs don't hold up—lowering the value of the property. You might also not have the right training, permits, or certifications to handle some significant maintenance issues. Handling repairs on your own can also lead to your insurance company denying a claim or coverage if you choose not to use licensed repair contractors to keep your property up to code—leaving you with high out-of-pocket costs. Fixing some things on your own can also void the warranty.
The best way to reduce costs and experience quality repairs is to partner with a Wilmington property management company to take care of everything for you!
Accepting Applicants Without Carefully Screening Them Leads to Expensive Problems
Do you know how to avoid a professional tenant? When bad tenants move in, they become expensive problems for landlords. Without rental income, you can't cover the ongoing costs of the rental. When bad tenants cause property damage, property owners are often left with the tab to make repairs.
Avoiding these tenants isn't easy without a thorough screening process. Outsourcing the renter screening process is a smart way to avoid costly tenant problems!
Skipping Routine Maintenance Is Costly Long-Term
"Saving money" is often the thought behind skipping critical maintenance. If it's not broken, it doesn't need a fix, right?
Skipping routine maintenance is one of the most costly mistakes property owners can make. To keep rentals in excellent condition (and tenants safe), your properties need year-round care. A proactive maintenance schedule helps prevent significant repairs and reduce costs.
Not Responding To Emergencies (Promptly) Loses Tenants
How do you handle 3 a.m. emergency calls from renters if you are away or live in another state? What if you have to pay a repair service extra on holidays or weekends for an emergency HVAC repair? Delaying a repair until you get back (or until Monday) can lead to a bigger and more costly repair—and unhappy tenants.
Outsourcing maintenance services to a property manager in Wilmington means you have experts on call anytime tenants need them.
Hiring a Wilmington Property Management Company is the Right Answer For Savings!
Investing in professional Wilmington property management services looks like it will cost extra money. However, it can save property owners more money long-term when they crunch the numbers. The right property manager reduces costs, minimizes expensive risks, and helps property owners maximize their bottom lines!
RentWell makes expert property management an affordable and profitable way to outsource rental property care. Our OneRate™ pricing solution makes it easy for investors to experience more compared to standard property management fees and packages. Learn more about how our services and savings compare! Sign up for the free One Rate Calculator.