What are the Biggest Challenges for a Property Manager? (2024)

Owning rental property has many advantages including a steady income stream and certain tax benefits. But like any investment, there are risks and challenges. Landlords who decide to manage the property themselves soon find out how many decisions are involved and how much time and energy it takes. The alternative is to hire someone to take on the task.

The challenges for a property manager are the same as for an individual owner, with one big difference: Professional property management companies have experience and resources at their fingertips that a single landlord may not.

Knowing the challenges you’re up against when managing rentals is helpful in deciding whether or not to outsource the work. And learning how a property manager deals with those challenges is invaluable in choosing a management company—or switching to a new one.

Dealing with rental units and the people who live in them involves a special set of skills. Here are eight main challenges of day-to-day operations:

1. Finding and keeping good tenants

Finding a renter won't take much marketing know-how if a property has a desirable location, fair price, and good amenities. It is considerably more work if there is a lot of competition, especially if other properties are nicer or less expensive.

Once you attract potential candidates, there is the need to screen them for criminal backgrounds and financial fitness. Then, owners need to keep them happy once they move in. Ideally, landlords find great renters who renew their leases for years to come, but that can be easier said than done.

2. Keeping the Property Well-Maintained

Owning any property—whether one’s own home or a rental—means having a constant to-do list of cleaning, landscaping, repairing things that break, and making both major and minor upgrades.

Letting the grass grow, ignoring leaky plumbing, not replacing worn-out carpets or cracked windows, and keeping broken appliances are all recipes for disaster. Not only are tenants bound to get fed up and move out, but the property’s value will plummet too.

3. Responding to Emergencies

While many maintenance and repair projects can be scheduled, some end up happening at inconvenient times. A broken pipe under a sink, a failing furnace, or malfunctioning smoke and carbon monoxide detectors need to be dealt with immediately. Broken pipes can cause extensive damage, like rotting floors and ruining carpeting. But losing heat in the middle of winter or faulty alarms can put tenants at risk.

Landlords must be able to respond to emergencies 24/7 for the well-being of their tenants. This can be quite difficult for a DIY owner, especially if they have a full-time job or don’t live nearby.

4. Rising Costs

Expenses like property taxes, insurance, supplies, and labor are constantly going up, eating away at profit margins. Landlords need to find a way to keep their spending in check on things they can control, without neglecting what needs to be done.

5. Difficult Tenants

Dealing with renters can be uncomfortable for some landlords, whether the issue is late rent payments, illegal activity, or unauthorized roommates. It’s not a job for someone who avoids confrontation.

Owners must not be afraid to have difficult conversations when necessary, and when to take things further—like contacting the police or initiating the eviction process.

6. Keeping up with regulations

State, local, and federal legislation can change at any time. Landlords may be doing something that is suddenly non-compliant or a section of their lease agreements may not be aligned with new laws. They must be very careful that their actions follow fair housing policies that spell out both the landlord’s and tenant’s rights and responsibilities. Mistakes can lead to costly fines or land an owner in court.

7. Maintaining ROI

Owning rental property is a business, and it needs to remain profitable. This means pricing rent appropriately, cutting costs when possible, and being intentional about investing in upgrades that will keep their asset’s value.

Landlords need to consider the ROI—return on investment—of every dollar they spend. For example, replacing old appliances with energy-efficient ones requires a big cash outlay. But the result will be lower utility costs and an improvement that may even justify a rent increase.

8. Demands on Time and Energy

A landlord’s skills, the number and proximity of their rental properties, and even their age will all play a role in how difficult self-management will be. They may be concerned about keeping up with all of the chores. It might be impossible to take a vacation and they may be missing out on quality time with friends and family.



Taking care of rental units is hard, time-consuming work. When it becomes too much, it’s time to consider handing over all of these challenges to a property manager.

The challenges for a property manager are no different than they are for an individual landlord. But an owner likely has family obligations and possibly another job to worry about too. A property management company devotes 100% of its time and energy to dealing with these things.

Here are some ways property managers face the challenges, so owners don’t have to:

• They put strong marketing skills to work, knowing where and how to advertise and attract the most promising tenants.
• Property managers have approval procedures and access to all of the appropriate screening services and databases to do background checks.
• A property management company either has qualified staff to handle maintenance issues or a network of reliable service vendors with the right skills to call upon as needed. They can take the midnight emergency calls and address concerns immediately so you don’t have to.
• Because they handle multiple rental properties, property managers can often save money by taking advantage of special pricing and contract terms with vendors that may not be available to individuals.
• Professional managers excel at tenant relations, knowing how to collect rent, enforce rules, and carry out evictions if necessary.
• They stay on top of the latest laws and requirements, avoiding fines and lawsuits for property owners.
• Management companies provide accounting reports so landlords know the state of their financial investment.

It is not uncommon for a landlord to resist hiring a professional manager due to the cost. But just as owners must examine the ROI of any other expense, knowing you no longer have to face the day-to-day challenges on your own will pay for itself in peace of mind.

At Select Leasing & Management, our sole focus is to lessen your burden as a landlord. Fewer sleepless nights, more free time, and knowing your investment is in good hands—that’s our goal for you. Contact us today to learn how putting a professional in charge will actually help your bottom line.

Cover photo by nortonrsx by Canva.com