Chris Larsen argues that hiring a property manager doesn't make you a passive investor. Only specific skills like rehabbing or deep local market knowledge let active investors beat passive returns. Without those edges, hire professionals instead.
Problem was I was an active real estate investor, but I thought I was passive because I had a property manager who managed it for me. That does not make it passive. The only real way I can see someone being active and beating the returns of a passive investor. Or if you have certain skills like you're really good at swinging a hammer and doing rehab and you want to do it yourself, great, you have an advantage. Or let's say you know the Columbus market better than anyone so you exactly what submarket to buy properties and you have a huge advantage. Okay, you can win there. But other than kind of those kind of advantages, if you're just a guy like I was and still am, I didn't have any of those advantages so why wouldn't I? The same as I'm hiring a CPA to do my taxes, why don't I hire an asset manager to manage my real estate assets.
“Grit is Good” and How to Keep Getting up When Your Business Gets you Down
