Canceling the Management Company on Rental #1

Some might consider this a step backwards, but for the short term I have decided to cancel the management company on Rental #1.

I have no complaints about the management company. For 6% of rent collected they basically collected rent, handle maintenance and tenants facing issues during the lease, and deposited what was left in my account. This did not include finding tenants, putting a lease in place, and handling turnover once the tenants left.

I had never considered hiring a management company before last year, but my assignment in China took me too far away to handle a lot of the details myself so it was really my only option. I feel much more comfortable using a management company and its definitely something I would consider using again once I have hit my limit with my limited time resources. However, for now when we return to the US I will go back to managing the rental myself.

I do feel like I might be taking a step backwards. If I freed myself of this responsibility I could use that time to pursue other things that could potentially have a bigger payoff: finding another rental or business opportunity, investing more time in my job, etc. However, I can always revisit this when I find something that would have a better payoff or I run out of time with the other demands in my life. My fear is I could waste the time doing something insignificant like watching tv, for now I would rather handle a responsibility like this to help us reach our financial goals faster.

Related in Rental Property:

2012 Passive Income: Rental Property (Feb 10, 2013) Its been several years since I did a thorough analysis of our rental property performance and investment return. Here is an analysis of our 3 rental properties for 2012 that should give a pretty reasonable view of how these investments...

Why Invest in Rental Property (Mar 13, 2012) The real estate investing infomercials of the housing boom suggest that real estate could make you rich - the benefit of real estate being exponential returns of your investment. While I only have a few small real estate investments there...

Rental Property Investment Breakdown (Sep 27, 2011) Here is some overdue financial record keeping from our latest rental investment in August 2011. This breaks down all our out of pocket costs to purchase the property and get the 1st tenant in place. Out of Pocket Investment in...

Comments (0)


Post a comment

(Comment moderation enabled.)

About 2millionblog.com

A personal finance weblog of my journey to reach my goal of $2 million + the value of my primary residence.
Current Net Worth: $1,574,185

Sponsors

New Personal Finance Articles




PF Blogs