State Specific Question About: GEORGIA (GA)

Hi Forty.. and thanks for the post

Having been in practice as a PM for 30+ yrs you'll find like any cross section of the country.. some state require a license and accreditation, some don't

Think of it like dating.. this person should do what you outline, short of something illegal or immoral

You should have a written agreement that outlines the duties.

Many have professional associations.

Usually they work for a fee, no commission, and may offer a hourly and mileage arrangement for items you ask beyond the agreement.

Forty,

I'm using one right now, temporarily.

I pay 10% of month rent,60% of one month's rent if they place a new tenant, a $200 "lease fee" every time they have to create a new lease (for new or existing tenant). And I have to keep a $200 balance on each property that they can use for repairs. There are probably some other fees that I can't think of off the top of my head.

They've done one repair so far. They let me keep some of the existing companies I already use (HVAC, plumbing etc) but I have to pay the bill directly to those places if there's a repair.

If you use a PM, be sure to interview them. Ask a lot of questions. Look at their written criteria. It is likely to be looser than whatever you are doing. For example this place I'm using will accept an eviction that's over 5 years old.

What aspects of the business need to be hired out?

Repairs? Find a good handyman.

Showings? Find a college kid or very mature high school junior/senior who needs pocket change and can unlock a key box.

Mowing? Same deal as Showings.

Posting online ads? Same as Showings.

Taking calls? Virtual assistants.

Collecting rent? Set up a deposit only account at your bank and let tenants take money there. Or autodraft their checking account.

PMs cost a lot and don't always do things the way you want. What they offer is a one-stop shop that seems easy at first, but you still have to manage your PM to ensure they are diligently posting ads and promoting YOUR property vs. the 10 other clients they work for. They will NEVER care for your property as much as you do...ever. Also, you'll have to check the books to ensure they aren't skimming rents and late fees or failing to report when properties are rented. In short, you have to manager your manager!

Consider this alternative: hire an up-and-coming 20-something from your local church, synagogue, professional association, neighborhood, son/daughter of a family member or friend who has a head for business and YOU TRAIN him/her in the ways of PMing? Pay them $15/hour or whatever seems fair. I can tell you in my town, a paid internship of $15/hour is a goldmine for a young person. Your hired assistant can do just about anything you train them to do, shy of signing the lease. But they can deliver that lease to you for signing. Spend $100 to verify with your attorney what PM duties can/cannot be subbed out in your state. If you learn your state requires a real estate licensed person to manage property, find a young REALTOR who has no listings yet but who would still like to eat every month and train that person. I bet if you called a local agency with 20 or more bodies there is a young Go-Getter who is bright-eyed and fresh out of realtor school and broke as can be....starving for some work...ANY work, to put food on the table.

We make money with our brains, not our bodies. I bet you can do this and keep a ton of money in your pocket, and more importantly, CONTROL!

Forty GA-- sell them to me if they're worth a darn? Where are you located? my properties are on the south side of ATL in R'dale, J'boro, Stockbridge and Hampton. With 50+ whats a few more? my office is in fayetteville and been doing this since 86..

YMMV, but I would holdf on to a good PM for dear life! Even 20% would be worth it as rents will be higher and the houses kept filled.