I often help new and experienced investors run the numbers on their real estate investments. Consistently, one line quietly disappears: the property management fee. More often than not, it’s because they plan to manage the investment themselves.
But removing that line doesn’t remove the work — it just hides the true cost of the investment. And someday, you might want to step back from managing your properties. Skip the line item, and you put the investment at risk, and yourself in a box — unable to step away from a role the numbers were secretly depending on.
"Run your real estate investment numbers like you're not involved."
So include property management in your numbers, whether you hire it out or not. If you’re managing your own investments, pay yourself for it. You’re spending real time and effort — donating evenings and weekends to tenant calls, maintenance, and rent collection. That work has value. Reward yourself for it today, so the numbers stay honest — and so you’re always free to step back without the investment falling apart.