I read an article the other day by Seth Williams, in which he posed an interesting question for those who own or are looking to own residential investment rental property. He asked, “Would you rather… create a permanent job for yourself as a manager of rental properties, or…retire early with … passive real estate income?” I would not only pose that question to prospective buyers of rental real estate investment properties, but I would also ask those who currently have such property, this question: “Did you originally intend to create a permanent job for yourself as a manager of rental properties, or were you actually thinking your purchase would result in truly passive income for you in your retirement years?”
I think that perhaps all too often, people who buy rental investment property in Prescott, have no realistic idea of the time, energy and money the management of their property will actually require. And, I think their corollary thought may be, “I don’t want to give 10 [or whatever] percent of my retirement cash flow to some property manager when I am perfectly capable of putting an ad on Craigslist, collecting rent and hiring a handyman myself.” I’ve had a fair number of owners who felt that way early on, come to me wanting me to manage their properties, after receiving an education in the rental real estate school of hard knocks.
Look, the whole point of a “passive income investment” is that your time becomes your own. The paycheck comes to you without you being subject to the demands of someone else’s wants or needs. Some of the often “less fun” demands of owning a rental property, are showing the property to prospective tenants, hearing all their stories and excuses for poor credit and rental history, sorting through them to find those that are actually well qualified, chasing late rent payments, keeping constant and accurate track of all the books, and responding to emergent maintenance calls, just to name a few. All of these take significant amounts of time – your time. That sort of runs contrary to the notion of the income from your rental investment being “passive”.
So, if you have found yourself in the above situation(s), and your passive income rental investment is turning out to be a lot less passive than you had intended, perhaps you should call me. I have a lot of experience at marketing and showing rental properties, screening prospective tenants and dealing with actual ones. I’ve heard most of the excuses and sob stories, and am pretty successful at encouraging timely rent payments and good care of properties. I’ve got a great team of vetted maintenance vendors who do quality work and stand behind it. They enable me to provide excellent and timely maintenance for your investment. I have an excellent staff who are very good at producing a regular, timely and accurate accounting for all income and expenses on the properties we manage.
The upshot of all this is that, my team and I at Far West Realty in Prescott are good at keeping your passive rental investment passive for you. In addition, not only are our rates extremely competitive, but you are likely to be surprised at the money you actually save over managing your property yourself. Think about it. Call Dave at 928-772-0400.