That is one of the key questions when we talk about management of your properties. As in many other cases, there is no single correct answer. If you have started with only one property that is close to where you live, you can probably manage it yourself. If you have built up a large portfolio of 100 properties across the globe, that are all rented out, you will most likely not be able to manage them yourself.
So, what are your options and which considerations are there? You can either manage your properties yourself (which might include help from your spouse), have a professional property management company do it for you, or you could employ somebody as your property manager. Which of these options is most suitable for you depends for example, on the size of your property portfolio, your strategies, the time you have available, and the location in which you invest.
Managing your properties yourself has the advantage that you are in full control, you know what is happening, can make the decisions that you think are most appropriate and you do not have to pay any management fees. If your portfolio is still small or your strategy mainly involves flipping instead of renting out your properties, this might well be suitable for you. As your portfolio grows, or you are not comfortable dealing with tenants overseas in other time zones, managing your properties yourself might get somewhat time-intensive and you might want to seek professional help.
Professional help comes in the form of property management companies. There are many of them available in the mature property markets and likely in the more frontier ones, too. A property management company will help you collect the rent from the tenant, make sure you get paid on time, deal with contractors for maintenance and repair issues, and all other details that involve managing your property, so that it is hands-off for you. The quality of their services and the fees they charge might vary greatly though, so be sure you select one with a good track record and reputation and not always necessarily the cheapest one.
Once your property portfolio has grown sufficiently large and is potentially also distributed over a few different locations or countries, and you see that you have to deal with several property management companies costing you a substantial amount every month, you could consider employing your own staff to manage your properties. If you are a private individual rather than a company, this can be done with a person whom you know and trust, to whom you pay an agreed amount of money every month to perform an agreed scope of tasks, but that person does not have to be a formal employee of yours. There are also several outsourcing companies available that can help, without you having to formally employ anybody. Be careful in the selection of this person and be clear about responsibilities. You might also not want to necessarily give them full access to your bank account – to check whether the rent has been paid, a view-only login Internet Banking ID for them to your bank account will be sufficient. To draft the contract between you and this person, please consult the legal professional on your team.
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