I hired a professional to manage my stock assets, so why wouldn’t I hire a property manager to hire my real estate investments?
I was chatting with some friends a few days ago and they told me they didn’t want to diversify their investment portfolio with a rental property because they didn’t want to be landlords. And I realized that perhaps many people who are seeing their stock portfolios grow would like to diversify, but don’t know how.
Even though I am a licensed real estate professional, I will be the first to tell you I am no expert in tenant law. I’m not sure what comparable properties are renting for either. And I can tell you that I do NOT want to spend time fielding calls from tenants late at night about repairs or spend one minute of my free time scheduling or managing those repairs.
Benefits of a Property Management Company
Luckily, your real estate assets can be managed just as easily as your stock portfolio. I use Summit Sotheby’s International Realty’s Property Management team for my long-term rentals in Park City and Salt Lake City. They take care of everything. They advertise the property using the same photographers we use to market our listings. They screen tenants, check credit, and work with the owner to set the rental rate. They use an excellent lease, which will protect you, the owner. And then once the tenant is in place, they handle tenant relations, property repairs and rent collection. They have licensed sub-contractors in place so repairs are made in a timely manner. At the end of the month, your rental income is directly deposited into your account. At the end of the year, you receive excellent records documenting income and expenses for use on your tax returns.
I understand real estate better than I understand the stock market and enjoy the passive rental income. I prefer to diversify my family’s investments between both types of assets. I look at real estate like an annuity. It appreciates over time and pays a monthly dividend.
So, if you are thinking of diversifying your portfolio but were afraid of the hassle factor, I can help you find the best property to buy. Summit Sotheby’s International Realty can help you manage it.
Read about the home we bought for our college-age son here.
Finally, I just closed on my 5th investment property last month. This little cutie in Salt Lake City. It is not too late to buy rental properties in Utah.