
Learn How To Manage Your Rental Property
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So you’ve just invested in a beautiful property, and you’re thinking, “Hmmn, I can actually manage this myself and save some cash, can’t I?”
Hollup.
The allure of self-managing your property is undeniable. You’re in control, you call the shots, and even better — you’re saving money.
Truth is…property management is not as easy as it looks.
With a rental property comes great responsibility – whether a short-term rental or a long-term lease. In this blog, you’ll discover the top reasons not to manage property by yourself.
Shall we?
Self-managing a property requires time, often more than you may anticipate. Here’s a breakdown of the time-consuming tasks involved:
Many cities have specific rules that must be followed, especially with short-term rentals.
For example, in Dubai, landlord-tenant laws can vary by jurisdiction and often include lease agreements, security deposits, and eviction procedures. Improper evictions can lead to legal battles and financial penalties.
According to the Dubai Land Department, there were over 500 rental disputes filed in 2022 alone. That’s a lot of headaches (and potential financial losses) that could have been avoided with proper legal knowledge or a property management company.
“But I’m saving money by doing it myself!”
Photo by: Nicola Barts
Are you though?
You may think you’re saving 10% by not hiring a property manager. Turns out, you can be losing 15% through management inefficiencies. Here are some hidden property management expenses that can reduce your profit:
Managing a property isn’t just the “property” itself. There are guests or tenants at the other end of the spectrum. You’ll need a sweet balance of professionalism, communication skills, and conflict resolution abilities.
Photo by: Samuel Peter
For one, especially with long term rentals, you’ll need to establish and enforce clear rent collection policies. Late payments and bounced checks can disrupt your cash flow and require time-consuming follow-ups.
You’ll also need to promptly address maintenance issues so guests or tenants are highly satisfied. This requires a reliable network of contractors and the ability to prioritize and schedule repairs efficiently.
Mishandling these aspects of tenant management can lead to increased turnover, property damage, and potential legal disputes.
If you don’t maintain your property properly (what a tongue twister), the value of the property can depreciate FAST.
Photo by: Antoni Shkraba
Unless you’re jack-of-all-trades with infinite free time, you can face challenges like:
The average property requires 1-3 maintenance requests per month. That’s potentially 36 headaches a year, minimum. Save yourself the trouble. Some things are best left to professionals.
Maintaining your property is one thing. Marketing it–is another.
Photo by: Anastasia Shuraeva
Without good marketing experience or a reliable agency, it’ll be difficult to attract guests, and ultimately, increase your revenue. If you’re new to the game, here are some potential challenges you could face;
The psychological impact of self-managing a property is usually overlooked.
Especially for short term rentals, you’ll need to be available almost 24/7 for potential emergencies. This can lead to chronic stress and sleep disturbances. Late rent, damages, evictions can also be emotionally draining. The constant need to make decisions about repairs or financial matters can lead to mental exhaustion as well.
Now let’s talk about the light at the end of the tunnel – using a property management service. Here are the benefits you can expect from handing over your property to a management company.
Photo by: Andrea Piacquadio
First, research companies with a proven history in your property type or strategy. Then, take some time to understand their fee structure and services offered. Read reviews and ask for references as well before making your final decision.
Most property management companies offer customizable service packages. You can choose which aspects you want to handle yourself and which to delegate.
Even with a single property, vacation property management can be worthwhile. The value comes from saving time, increased income, and reduced vacancies. PLUS the peace of mind from knowing your property is being managed by experts.
While property managers handle day-to-day operations, as the property owner, you’ll still be responsible for major decisions such as large-scale renovations or setting overall rental strategies. You’ll need to review regular financial and property reports, communicate your goals and preferences to the management team, and make decisions on significant expenses or changes to the property.
Managing your own property might seem like a money-saving move, but as we’ve seen, it can be a shortcut to stress, legal troubles, and even hidden costs.
Your property is an investment. Whether it’s a short-term rental, an Airbnb, or a long-term lease, the right property management service can turn your property into a source of joy and high revenue.
Take the first step towards freedom today. Your future self blood pressure will thank you.
Get access to our 5-day training course on managing your vacation rental property in Dubai.
Learn More