Ok. This post needs a preface. I have been getting a lot of questions lately about brokerages doing Property Management. There are a number of people wanting to try it out for a variety of reasons. My general response has always been this: “Just because Long and Foster is doing it in Manassas VA, should you do it here?” I know, it is kind of a smart aleck answer, but it brings up a great point. (Much like my mom used to make about jumping off a bridge. 😉 )
Rental Properties, Property Management, and the ancillary services that come with them have several characteristics:
- There is a high likelihood of less than happy people. It is HARD to keep a tenant happy. Much harder than a home buyer…and that is saying something.
- As transactions go, it varies GREATLY from area to area in terms of compensation to an agent. No margin, no mission?
- There is liability. Serious liability and not insignificant paperwork headaches to contend with.
- How many people actually turn from a renter into a buyer? It is a low percentage game.
But people WANT and NEED the service. Many continue to own after they have been transferred. And besides Long and Foster do it. (basically the “If my brokerage does it, why can’t I?” approach
So I understand the conundrum with Property Management. People need it. People want it. People (tenants) love to hate it. It can be a marketing tool. It can be a marketing headache. It can make potential clients like me. And it can make people get a lot of negative comments about me on Yelp.
I am not prescribing a solution here. What I want is to start a discussion.
So what is your solution to Rental inquiries?
Are you Long and Foster in Manassas Virginia? (please note that I have used them hypothetically as I noticed that they do indeed offer property management on their website. 😉 The Long and Foster office in Manassas Va was NOT harmed in the making of this blog post. 😉
Do you want to be?
Is it even smart to get in that game?
I would love your thoughts on this.