The way I see it you have 4 options.
1)You can do it yourself. 2)You can hire a Realtor to find a tenant. 3)You could hire a management company. 4)Go short term vacation rental depending on your neighborhood rules and deed restrictions.
#2 option-Hiring a Realtor to find a renter and then you/owner manage the term and duration of the lease directly with the occupant. Expenses on this range from 60% to 80% (varying 10% plus minus) of first months rent. This hypothetical 60% - 80% is the commission to both Realtors involved. Value in your Realtor is background check, running credit check through a formal agency and casting a wide net for finding a good tenant plus showing the home to candidates.
#3 option-Hiring a management company will handle most of the details day in day out. This cost is around 6% to 9% of each months rent. There could also be a commission added when a new tenant is needed. Typically having more than one property makes this route more popular.
#4 option is one I will defer to your own investigation. With my own investment property I am intrigued but have not experienced it yet.
Monday, October 17, 2011
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