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Advantage |
Drawbacks |
1 |
Do It Yourself: You find tenants and manage the property yourself. Call me when you need help. I charge flat rates for evictions, repairs or holding your hand. |
You can stay on top of your own investment and get all the revenue. |
Unless you have property management experience, you are going to struggle. |
2 |
Full Service: I charge 10% of the gross income for the property + 10% over invoice for repairs. |
You can kick back and let me deal with the headaches. |
You will get the least amount of cash out of your property. |
3 |
Tenant Placement: I charge 75% of the first month's rent. I will evict them at no charge if required. You get all the monthly income. |
I'm very good at finding quality tenants and you get all the monthly revenue. You have a choice between using your vendors or mine for repairs. |
You are on the hook for repairs. |
4 |
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This gives you the most cash out of your property as your tenants are responsible for most repairs and they pay a monthly premium. |
You can lose money at the back end of a lease/option. |
