Managing Income Property

Flipping Property is a great way to make a lot of money, but I do not know many millionaire flippers and rehabbers. Buying and holding rental property has been and always will be the true way to wealth in real estate.
-Robert Shemin

Management is the most important aspect of owning rental property. Bad management can result not only in loss of rents and/or increased operating expenses, but can lead to lawsuits and even criminal prosecution. Good management requires significantly different knowledge and skills than the investing aspect of income property.

Property managers are an intrinsic part of the rental housing business, but they are often ignored by the get rich quick book and tape offers presented in TV info-commercials. When an investor decides to manage their own property, they quickly learn that the job requires totally different knowledge and skills than the investing aspect of the rental housing business.

Professionals also learn that it is best to have a third party between the property owner and their tenants. We all tend to develop relationships that become personal and those between landlords and tenants must be kept on a business basis. One of the things you will learn here is if you manage your own property, you should at least do it through a company name and treat it
like the business it must be.

We have managed hundreds of properties, from single family houses and multi family properties and one thing we have learned, effective property management is the key to success in accumulating wealth through holding rental properties.

The collection of forms and letter available here, over 100, is the cumulative effort of years of trial and error. Leases, letters of eviction, pet agreements, move in check list, letters about cars in the yard, loud music, etc.

Almost everything you could think of is included. When I started in the rental business, I came from a background of 16 years in corporate America. I was comfortable with an operations manual, a policy and procedure manual, in other words a system.

So I spent the 6 months before I left my job, to do this business full time developing a system. You see I understood it was possible to manage a house or two without a system, but I started with a group of 70 rental properties. That's right, my first full time transaction in the RE investing business was to buy 70 houses, with tenants.

That, my friends, required a system.

Interestingly enough, after putting the system in place, I hired a property manager with over 5 years experience managing over 100 properties. I had never managed over 2 properties in my life, and that was on a part time basis. I made too many mistakes to count The interesting thing is that as issues would come up time after time, I had already anticipated them and addressed in my Property Management Manual. Angel my property manager would say to me, "I can't believe we never thought of this before."

When something would come up that neither of us had thought of or dealt with before , we would simply address that by implementing an upgrade/addition to the system.

That system along with the additions and improvements is what you have before you.

Click Here To Order. Happy Investing!