Skip to Content

Insightful Statistics About Gluckstadt Property Management

Gluckstadt Property Manager Presenting a Lease Agreement For rental property owners, a key decision must be made whether to manage your properties or hire a professional Gluckstadt property management company. On the one hand, do-it-yourself property management can be sensible for owners with repair and maintenance skills who enjoy interacting with their renters. However, managing rental properties daily is a genuine job that can be incredibly time-consuming. This is why for others, professional property management makes more sense. Engaging with a professional to undertake all the day-to-day management frees up a lot of time, which rental property owners can use to develop leads and expand their investment portfolio.

So, how do rental property owners who hire property management companies compare to rental owners who manage their properties? To explain how it works, below are a few recent statistics about rental property management that provide significant insight into the practices of rental property owners nationwide.

Individual Investors Own 20.5 Million Rental Units

Of the approximately 50 million rental housing units in the United States, around 41% – or 20.5 million rental units – are owned by individual investor landlords. Also described as “mom and pop” landlords, individual investors make up a significant percentage of rental property owners nationwide, specifically in owning single-family rental homes.

More (Multi-Family) Rental Units Are Owned by Businesses than by Individuals

At the same time, around 25.8 million rental units aren’t owned by individual investors but by some other business entity or collective. The rental units that aren’t owned by individual investors or families tend to be in multi-family properties and apartment buildings.

The Average Landlord Owns Three Properties

On average, landlords own about three rental properties. And for several landlords, the actual value of these three properties is below $400,000. Around 40% of landlords own properties with a combined value of less than $200,000, while 30% own properties valued between $200,000 and $400,000. Another 30% of landlords own properties with a total value above $400,000, with just 7% owning properties worth $1 million or above.

Single Property Landlords Tend to Buy as a Primary Residence

Even though owning three properties is the average nationwide, many landlords got their start in rental property ownership by changing a primary residence into a rental. In fact, about 50% of landlords who own just one rental property procured it as a primary residence before turning it into a rental.

Half of All Landlords Manage Their Own Properties

In connection with property management, statistics show that about 45% of property owners manage their own properties. Many of these are individual investors and own three or fewer properties.

On the other hand, 44% of property owners delegate their property management responsibilities to a professional. These rental property owners tend to be investors who own properties in more than one state, those looking to grow their wealth via investing, and those who own multi-family properties.

The other 11% of landlords are individuals who manage properties owned by others, or professional landlords.

The Benefits of Hiring a Property Management Company

When looking at these statistics, it’s essential to remember that landlords who manage their own properties tend to find their investment opportunities limited. It’s no coincidence that landlords who manage their own properties tend to own a smaller number of rental properties. When conducted correctly, managing rental homes takes a significant investment in time and resources.

Investors who seek to run their investment properties like a business – which they are – are more inclined to get a qualified professional to manage their properties for them. Most DIY landlords find that professional management is an important portion of their strategy to continue to invest in rental properties.

Savvy rental property owners appoint professional property managers for several reasons. But in general, these factors include perks such as saving time and being able to focus on other important aspects of the rental business. Other advantages include having access to more resources, such as for marketing purposes, and better financial management and reporting. Finding the right property manager can give you significant insider information into local rental markets, assist you in locating off-market bargain properties, and save funds on maintenance and repairs through preferred vendor programs.

Suppose you’re a rental owner considering hiring a property management company. These statistics show that it can be a smart decision that will enable you to grow your rental business. Whether you’re looking to save time, maximize your rental income, or simply grow your rental portfolio faster, hiring a company like Real Property Management Omega can benefit you in many ways.

 

So why wait? Contact us online today to learn more!

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.

The Neighborly Done Right Promise

The Neighborly Done Right Promise ® delivered by Real Property Management, a proud Neighborly company

When it comes to finding the right property manager for your investment property, you want to know that they stand behind their work and get the job done right – the first time. At Real Property Management we have the expertise, technology, and systems to manage your property the right way. We work hard to optimize your return on investment while preserving your asset and giving you peace of mind. Our highly trained and skilled team works hard so you can be sure your property's management will be Done Right.

Canada excluded. Services performed by independently owned and operated franchises.

See Full Details