Is it actually “passive income” if you manage your own rental properties? Of course not, but that doesn’t mean it’s necessarily a bad idea to do so. For some, managing real estate is a hobby or a second job
Dr. Cory S. Fawcett managed dozens of units himself as a general surgeon, and he’s got lots of tips for those who’d like to do the same.
Dr. Peter Kim, an anaesthesiologist and the author of today’s post, has previously written about how much time it takes to manage your own properties.
All of the tasks I mentioned above aren’t necessarily difficult – on their own. They become really problematic when they start to stack up.
As we know, there are plenty of tasks involved in making sure the building is and continues to be a good investment. To get these tasks done right, you need to know how to deal with multiple issues that might arise.
I’ve found that for smaller properties, property managers will look to receive 8-10% of gross rents. As the property gets larger, you might see closer to 5% in management fees.