It was late in October, on a cold Colorado afternoon when my wife came to me with news of her new job opportunity. She was really excited and I was excited for her – until she told me where it was.
“Move to Phoenix? Job starts in two weeks?” I vividly remember the panic I felt in that moment.
What do we do with the house?
Do we sell? (ugh..) Do we rent? (double ugh..)
I’ve been in real estate for most of my adult life and had even managed several homes for others over the years. I had never managed my own property, but I figured I could handle it if necessary.
I loved this house. It was my first purchase and I had made great memories there. I had recently renovated the kitchen and painted. I installed new windows and even put on a new composite deck in the back yard. I had just gotten it right where I wanted it. Now it’s time to move.
So, what to do – sell and cash out?
After a few nights of mulling it over, we made our decision. How could we just sell this place after our love affair with it over the last decade? We decided to rent it and become landlords.
We moved to Arizona in late November and left a “For Rent” sign in the ground behind us. In truth, I thought we were in for a few months of making mortgage payments. Incredibly though, we had a tenant apply and approved within the first week after we left.
“WOW”, I thought, “this is going to be great. I can do this on my own from Arizona!”
And, for the most part, it seemed to work. Until a 3am phone call about the water heater flooding the basement. Not really how you want to wake up – 900 miles away.
I knew what to do. Call the plumber; call for restoration company; coordinate with the insurance company; etc. What I didn’t have though, was a local representative taking care of the issues as they arose and ensuring everything stayed on-track.
In the end, I was able to get everything taken care of, but it caused me an excessive amount of time and stress. The coordination between vendors, the tenant, and the insurance company took a toll on me. All could have been avoided by selecting a manager to take care of my home.
Was the work completed? Yes
Was it fun coordinating a project from 900 miles away? Nope.
I should have listened to the manager who tried to get me to sign up with him before I left. Needless to say, I signed up with him after this swampy, ego-draining lesson. What can I pass along to you? Protect yourself with a local representative. Hire a property manager to make sure your legal and financial interests are protected. Good, physical representation is worth its weight in gold.
It’s hard to be there for your tenant (customer), if you are not in the same state! Lesson learned.
