I just got off the phone with a friend of mine who is a real estate agent, but does not have a property management company. They were asking me about leasing criteria and it came up in the conversation that they really had no idea how much exposure they had when they do rentals or Property Management.
At first it sounds like a good idea to do rentals. But then, reality sets in that this is a completely different beast. Most agents aren’t aware of the amount of liability that they have if something goes wrong.
That’s why I put together this quick video of the three reasons real estate agents should not do rentals so that you can be aware of those things that you might not be thinking of.
- The rules of the game are completely different
- The laws are different and the likelihood of getting sued goes away up
- It becomes increasingly difficult to maintain a good reputation among your clients
If you haven’t considered how different property management is from your current business, then you must watch this video.