Renting out a property is a long game. If you have one or two rentals, you probably don’t have a full-time staff, and the day-to-day can creep up on you. The question a small landlord often faces is simple in wording, but not always in how it plays out: should I hire a property management company for one or two rentals? The answer isn’t the same for everyone, but there’s a practical way to approach it. Start with one concrete question, then build your plan from there.

Question to anchor your decision

• If I hire a property manager, will my net income, time freedom, and level of stress improve enough to justify the cost and loss of direct control?

This single question helps you calibrate the trade-offs. A property management company can handle screening, showings, lease drafting, rent collection, maintenance requests, and vendor coordination. They can also enforce standard operating procedures that protect you from common landlord headaches. On the other hand, their fees and the distance between the landlord and the day-to-day realities can dilute your sense of control and cut into profits. The real constraint for most owners isn’t just finances—it’s time and peace of mind.

What you’re really weighing

• Time you spend on tasks: screening tenants, answering calls, coordinating maintenance, and handling evictions if needed.
• Knowledge and consistency: local landlord-tenant laws (to the extent you want to rely on memory), fair housing practices, vendor reliability, and recordkeeping.
• Financials: management fees, maintenance markups, and the impact on cash flow.
• Risk and stress: vacancy risk, late rents, dispute resolution, and compliance concerns.

Approach: quantify the trade-offs before you decide

1. Map your current workload. For each rental, estimate hours per week you spend on: inquiries, showings, lease administration, rent collection, maintenance coordination, and homeowner’s association or city-related requirements.

• If you’re already stretched thin or you’re turning down legitimate leads because you don’t want the back-and-forth, that’s a signal you might benefit from a management partner.

2. Estimate real costs. Gather your numbers:

• Management fee: a recurring percentage of collected rent (typical ranges exist, but keep to your local data).
• Maintenance handling: some firms include basic coordination, others add fees or markups for repairs.
• Vacancy risk: the time a unit sits empty between tenants and the related loss of rent.
• Tenant communication: if you’re fielding calls after hours, consider the value of 24/7 response.

3. Compare your metrics against a realistic baseline. If you’re in a market with strong demand and you have a robust vetting process and reliable maintenance contacts, you’ll naturally run leaner with owner-led management. If vacancy rates are higher or turnover is frequent, the balance shifts toward outsourcing.
4. Try a blended approach. Some landlords hire a management company for parts of the job (for example, tenant screening and rent collection) while retaining control over day-to-day decision making and major capital projects. This can offer a middle path that eases workload without surrendering all control.
5. Plan a trial period. If you’re unsure, bargain for a fixed-term contract with a clear scope (screens only, rent collection only, maintenance coordination, or emergency after-hours duties) and a short cancellation window. Treat it as an experiment rather than a forever decision.

A practical evaluation checklist

• List all recurring tasks per property (screening, showings, lease drafting, rent collection, maintenance requests, inspections).
• Tally hours spent per task weekly or monthly.
• Estimate your true costs for each task if self-managed (time value, travel expenses, software, etc.).
• List your maintenance vendors and their response times; note how many emergencies you handled in the past year.
• Identify tasks you dislike or dread: after-hours calls, eviction paperwork, or difficult tenants.
• Get quotes from at least two local property managers and request a clear scope of services and fee structure.
• Run a simple pro forma that compares your current cash flow with a management company’s fee plus any changes in vacancy, maintenance, and owner time.
• Choose a trial arrangement with a defined end date and measurable milestones (e.g., reduce after-hours calls by 50%, cut screening time in half).

What management can realistically change for you

• Screening and tenant selection: a manager often has a standardized process, references, and a consistent application review. This can reduce the chance of a problem tenant, but it does not guarantee perfection.
• Rent collection and accounting: monthly statements, 1099-worthy annual summaries, and consistent late rent follow-ups can free up your evenings.
• Vendor coordination and maintenance: managers typically have preferred contractors, which can shorten repair times and simplify recordkeeping.
• Legal compliance: while you should not rely on them for legal advice, a manager who understands local practices can help you stay within general landlord-tenant norms and notice timelines.

What management may not do for you

• It won’t erase vacancy risk entirely, and you may still face market up and down cycles.
• It won’t remove your responsibility to maintain the property and address safety concerns.
• It won’t replace your judgment about long-term property improvements or financial strategy.

A practical decision path for one or two rentals

• If you mostly enjoy the work, have time, and want to keep more control and profits, try owner-managed operations with a defined scope for outside help (like screening or maintenance). A part-time help from a local service or a quarterly consultation with a manager can be a good starter.
• If you are feeling overwhelmed, if after-hours calls are eating into your life, or if you’re missing opportunities because you can’t commit to the administrative load, a property management company can be worth it—even with a small portfolio.
• If you care about scaling in the future, starting with a lean management partner for specific tasks can serve as a bridge toward full management as your portfolio grows.

This is not legal or financial advice. Laws vary by location.

Helpful resources

• Landlording on Autopilot - steady, practical guidance for small portfolios
• The Book on Managing Rental Properties - practical management concepts
• Rental Property Expense Ledger - simple tracking for costs and income