There is no doubt vacation rentals can increase your income two-fold but they can also increase your stress level.
Being a vacation rental property owner can be stressful enough, add 3,000 miles, you just might have a recipe for disaster—if you don’t do your research.
There are two options when deciding how to manage a vacation rental: hire a property manager or manage the work yourself. Both are feasible and have many benefits.
Hiring a property manager eliminates most of the daily hassle associated with renting a vacation property. Most agencies will handle advertising, tenant interviews and screening, rent collection, emergencies, and evictions. Cost can vary and averages anywhere from 10% to 15% of gross rental income or they can charge a monthly flat fee. They might also require you to keep emergency money for the agency to use in case an issue arises.
You can also manage the property yourself. Controlling things like advertising, long distance tenant screening and interviews, collecting rent and doing your own book keeping keeps cost down and is something a committed landlord can take on. The distance still poses a problem regarding housekeeping, maintenance and emergency issues but there are housekeeping services available for hire capable of managing all the on-site work you can’t.
Before you make any decisions be sure to do your research. Check out different property managers and make sure to seek testimonials. A good agency should be able to provide them without hesitation. If you decide to do the work yourself make sure you get educated. Use the right leases, make sure you hire a house-keeping service, find exceptional tenant screening and be prepared for the commitment.
Still not sure? Check out this blog… http://online.wsj.com/article/SB10001424052748703956604576110350407001250.html
Want more information and help managing your rental property? Check out our website www.arpola.org