Yes. Always Hire a Property Manager
You should always hire a Property Manager, even if that Property Manager is you.What I mean by that is that you should always allocate enough money for the management of your properties. After all, if you are doing the Property Management yourself you want to make sure you are getting paid for it. You don’t work for free.
The other reason you want to make sure you pay yourself for Property Management is so that you can replace yourself when you get too busy to manage the properties yourself.
Managing your own properties can limit your growth.
Managing your own properties takes time and each additional property adds to that time. At some point you will run out of time.
When should you replace yourself as your Property Manager?
Well that depends on your own skills and interests.
If you like doing the job and are a handyman, then you can wait awhile. But keep in mind that the more time you spend managing your properties, the less time you are spending looking for other deals. In my case, I never managed my own properties.
When hiring a property manager you can hire an experienced property management who is already managing properties for other people.
This could be an individual or a company. The advantage of this approach is that you have really delegated the management of your properties to someone else. You want to make sure that you monitor this activity closely for awhile and that you are very comfortable with their business processes and activities.
The other approach you can use is to hire someone to work directly for you, part time or full time. This can be a handyman who is also personable enough to deal with tenants directly.
You train them to do the work that you were doing the way you want it done. The advantage of this approach is that you still maintain control but have someone else doing the work.
The other advantage is that you could actually grow your Property Management function into it’s own profitable business. This is the approach I use.