A frequent objection to property management is that it is too expensive. It probably is too expensive if you put no value on your time, but if you value your time read the following analysis.

Let's take an example. Owner Smith has four units and does his or her own management. Two one-bedrooms and two two-bedrooms with a monthly gross rent of $4200 at a 6.5% management fee would be $273 per month. If you work managing your property an average of one hour per day, which given all of the bookkeeping, driving to the bank, inspecting the property, coordinating the maintenance, fielding tenant calls, leasing the units, preparing for taxes and all the other details involved is a reasonable number. What are you paying yourself? $273 divided by 30 hours per month is roughly $9 per hour. If someone offered you a part time job at $9 per hour what would be your response? You would probably consider the offer unpalatable. I submit that if you value your time at any reasonable value you would turn your properties over for management.