We have purchased a ski condo, we may rent it out when were not using it. Has anyone tried managing it themselves with something like VRBO or Craigslist? Pros and cons? Some of these management companies take 40%...ouch. Don't know if it's worth it.
I would use a management company. I don't want to have to rush somewhere at 2AM because there's a problem.
You probably spent a good amount of money on this condo - why not take care of it?
Talk with a management company and negotiate the commission/fees?? If you have someone there year round that you trust?? Why not work with them?
I personally wouldn't list it on Craigslist. While I do sell things on craigslist - I would not list my real estate there.
If you live close enough to the condo - and don't want to pay fees? Do the VRBO. Just make sure you have the right insurance for the property and have a contract that you can recoup costs if you have a bad renter.
You'll know the %40 is worth it once you have people calling you about a clogged toilet at 3am.
If you are not local and cannot manage this on your own... ALL aspects of rental ( rental, upkeep, wirking through issues with renters, emerencies) then go with a company.
Yes it sucks to pay fees but think of it this way... You are paying them to protect your investment.
We've used a professional management company in the past with a condo and it was worth every penny.
Don't go cheap now.. It could be even more costly.
If you are local you may be able to manage it. Otherwise, I think I would let someone else take care of the rentals. I think it is a lot of work.
All the people I know who own ski places use a rental company, not only for convenience but because it's three and a half hours away. You need someone local to deal with renters, cleaners, maintenance, etc.
Though if you're close enough to your place to manage it yourself you might consider Airbnb. I don't have experience as an owner but I've rented a few vacation homes this way and have had really, really great experiences.
To B's point, just recognize that managing it yourself is a full-time job (or part-time, depending on how much effort you put in). If you want to keep the renters coming, you'll need to be constantly vigilant about upkeep, responding to rental inquiries, etc. If you have time, that can just become a new "hobby". Otherwise, think about paying someone else.
ETA: One "pro" of managing it yourself is that you know exactly who is coming and going at all times. You completely control access to the property. If something gets stolen or broken, might be easier to find the guilty party. Also, you can personally vet the renters (can enforce rules like "no college spring break party groups allowed"). But again though, that level of attention to detail takes time and energy.
managing it yourself is only worth it if you're looking to BE a property manager, with all that that entails. finding a great emergency plumber, knowing the codes and regulations, being available or having a proxy for all emergency calls. you can make a lot of money doing it, but it doesn't sound as if that's what you're in this for.
i'd find a good property manager, but boy is there a huge spectrum in the service you get. check references relentlessly. one of my besties got soaked on an apartment building she bought, and the property manager who was taking 16% (way less than in your example, but way too much if they do nothing) never took a call or handled a problem.
khairete
S.
I personally would try VRBO first and see how it goes. Do you live nearby so you can go there on the weekend if something needs to be fixed? We have two friends who rent out their cabins via VRBO and they both love it. We have used VRBO for vacation rentals before and we know that if a toilet gets clogged the owners are not nearby and cannot fix it for us. So, we don't expect that. Anyway...I think it's worth a try.
Don't do Craigslist, it's so dangerous.
I would say that VRBO is okay, you have so many options there. I think hiring someone in the neighborhood or town area to keep an eye on it would be nice too.
Some of the ones we've considered have had live on the same property owners and they have cookies or brownies waiting when you get there.
That made me feel like I was being watched over but not intrusively. But I always leave where we've been cleaner than when we arrived.
