Should I Hire a Property Manager or Manage My Rental Property Myself? A Bakersfield Landlord's Guide

Owning rental property can be one of the most rewarding ways to build long-term wealth. But being a rental property owner and being a landlord are not necessarily the same job. If you own a rental home in Bakersfield, California, you've probably asked yourself an important question:

Should I hire a property management company, or should I manage my rental property myself?

The answer depends on your available time, experience, financial goals, and willingness to handle the responsibilities that come with managing tenants and maintaining rental housing. Some property owners successfully manage their own rentals for years. Others discover that professional property management provides valuable time savings, operational support, and peace of mind. Let's examine the advantages, costs, and challenges of both approaches so you can decide what's right for your investment.

What Does It Mean to Self-Manage a Rental Property?

Self-managing means you are responsible for the day-to-day operations of your rental property rather than hiring a professional management company. For a Bakersfield rental property owner, those responsibilities typically include:

• Advertising vacancies and responding to prospective tenants.
• Scheduling property showings and processing rental applications.
• Screening applicants in compliance with fair housing laws.
• Preparing and administering rental agreements.
• Collecting rent and addressing late payments.
• Coordinating maintenance and emergency repairs.
• Maintaining financial records and tracking expenses.
• Handling tenant communications and complaints.
• Staying informed about California rental housing laws.
• Coordinating move-outs, security deposit accounting, and turnover.

While these responsibilities may seem manageable with one property, they can become increasingly demanding as your rental portfolio grows.

Advantages of Managing Your Own Rental Property

1. You avoid professional management fees.

The most obvious advantage is cost savings. By managing the property yourself, you avoid paying an ongoing management fee, leaving more of the rental income available for other expenses, reserves, or cash flow.

2. You maintain direct control.

Self-management allows you to personally oversee tenant communication, maintenance decisions, and other operational matters.

3. You develop firsthand experience.

Managing your own rental can provide valuable insight into leasing, tenant relationships, maintenance, and the financial performance of your investment.

4. It can work well for certain owners.

If you live near the property, have flexible availability, understand landlord-tenant requirements, and enjoy managing real estate, self-management may be a reasonable option.

What Are the Disadvantages of Self-Managing?

The biggest challenge with self-management is that the work doesn't necessarily happen on your schedule. A maintenance emergency can occur during dinner. A tenant may have a question while you're at work. A vacancy may require showings during evenings or weekends. And when something goes wrong, you're the person responsible for addressing it.

Time Commitment

Even a well-maintained rental property requires ongoing attention. Routine responsibilities may include answering tenant questions, reviewing payments, scheduling maintenance, maintaining records, and monitoring property conditions. During vacancies, turnovers, or major repairs, the workload can increase significantly.

California Rental Housing Compliance

California has extensive laws governing rental housing, including requirements involving:

• Fair housing and tenant screening
• Security deposit limits and accounting
• Habitability and property maintenance
• Rent increases and applicable rent caps
• Just-cause termination protections
• Required notices and disclosures
• Entry into occupied rental properties

Certain requirements vary depending on property type, location, ownership structure, and applicable exemptions. For example, California's Tenant Protection Act (AB 1482) generally limits annual rent increases for covered properties and provides just-cause eviction protections, subject to statutory exemptions and other applicable rules. Property owners are responsible for understanding which requirements apply to their rentals. Mistakes can result in disputes, delays, unexpected expenses, or legal exposure. Professional management can help administer compliant processes, although hiring a manager does not eliminate an owner's legal responsibilities.

What Does a Property Management Company Actually Do?

A professional residential property management company handles many of the operational responsibilities associated with owning rental property.

Services commonly include:

Rental Marketing and Leasing

A property manager helps establish an asking rent, market the property, coordinate showings, process applications, and prepare rental agreements.

Tenant Screening

Professional managers typically use established screening criteria to evaluate applicants based on permissible factors such as rental history, verified income, and other lawful qualifications.

Rent Collection and Financial Reporting

Managers oversee rent collection, payment tracking, owner disbursements, and financial statements.

Maintenance Coordination

Property management companies coordinate maintenance requests, communicate with vendors, and help owners address property repairs.

Tenant Communication

Rather than contacting the owner directly for routine issues, tenants generally communicate with the management company.

Lease Administration and Operational Compliance

Property managers help administer lease terms, notices, documentation, and rental housing procedures.

However, the scope of services varies between companies. Owners should carefully review the management agreement before hiring a provider.

How Much Does Property Management Cost in Bakersfield?

Property management fees vary depending on the company, property type, service package, and rental income. Some companies charge a percentage of monthly rent, while others use flat monthly fees. Additional charges may apply for leasing, renewals, maintenance coordination, inspections, or other services.

At Atlas Property Management, our published management fee structure includes:

Single-family property management 7% of monthly rent, $95 minimum

Multifamily management (up to 15 units) 7% of monthly rent, $60 minimum per door

New tenant leasing $300

Lease renewal $150

Maintenance markup 10%

Additional terms and applicable fees are described in the management agreement.

Example: A Bakersfield Rental Home Generating $2,200 Per Month

Consider a single-family rental home collecting $2,200 per month.

At a 7% management fee:

Monthly rental income $2,200

Monthly management fee $154

Annual rental income at full occupancy $26,400

Annual management fees at full occupancy $1,848

For approximately $154 per month, an owner could delegate many of the routine responsibilities of managing the property. This illustration excludes leasing fees, renewal fees, maintenance charges, vacancies, and other property expenses. The relevant question isn't simply whether property management costs money. It's whether the services, time savings, and operational benefits justify that cost for your circumstances.

Can a Property Manager Actually Save You Money?

Potentially, but not automatically. Professional management creates additional expenses, and no company can guarantee that its services will increase an owner's net income. However, effective management may help reduce certain avoidable costs.

1. Rental Pricing

Pricing a rental too high can contribute to extended vacancy. Pricing too low may reduce rental income over the lease term. An experienced property manager can help evaluate local market conditions and competing rental listings.

2. Vacancy Management

Every day a rental property sits vacant represents potential lost income. For a property renting at $2,200 per month, 30 days of vacancy represents approximately $2,200 in potential gross rent. A well-organized leasing process may help minimize unnecessary delays, although market conditions ultimately influence how quickly a property rents.

3. Maintenance Coordination

Delaying repairs can sometimes turn manageable maintenance issues into more expensive problems. Professional coordination can help owners prioritize repairs, document work, and respond to maintenance needs. Maintenance expenses themselves remain the owner's responsibility, and vendor costs and markups should always be reviewed.

4. Administrative Errors

Incomplete documentation, inconsistent screening practices, improper notices, or mishandled security deposits can create costly disputes. Established management procedures can help reduce administrative mistakes.

Self-Managing vs. Hiring a Property Manager: Side-by-Side Comparison

Self-management may be a good choice if:

• You own one rental property close to your residence.
• You have sufficient time and flexibility.
• You're comfortable communicating directly with tenants.
• You understand applicable rental housing requirements.
• You have reliable maintenance contacts.
• You enjoy hands-on property operations.
• Minimizing management expenses is a high priority.

If these circumstances describe you, professional management may not be necessary. However, you should still maintain proper documentation, adequate reserves, appropriate insurance, and access to qualified legal or accounting professionals when needed.

When Should You Consider Hiring a Property Manager?

Professional management may be particularly valuable when:

You own multiple rental properties.

As your portfolio expands, leasing, accounting, maintenance, and tenant communication can become increasingly time-consuming.

You live outside Bakersfield.

Managing a property remotely can make inspections, maintenance coordination, and tenant communication more difficult.

You have a demanding career or family schedule.

Your time has value. Delegating routine property operations may allow you to focus on your career, family, or other investments.

You want to grow your real estate portfolio.

A professional management structure can help investors spend less time on daily operations and more time evaluating future opportunities.

You prefer not to handle tenant issues personally.

A management company can serve as the primary point of contact for routine tenant concerns, maintenance requests, and lease administration.

You want experienced operational support.

California's rental housing environment can be complex. An experienced manager can help establish consistent procedures and recognize issues that may require professional legal guidance.

Five Questions to Ask Yourself Before Deciding

Before choosing between self-management and professional management, consider these questions:

1. What is my time worth?

If managing your property requires several hours per month, what is the opportunity cost of that time?

2. Am I prepared to handle an emergency?

If a tenant reports a plumbing problem late at night, do you have the availability and resources to respond?

3. Am I comfortable navigating California rental laws?

Do you understand the rules governing notices, deposits, habitability, fair housing, and lease enforcement?

4. Do I want to manage tenants or invest in real estate?

Some owners enjoy both roles. Others would rather focus on investment decisions and delegate daily operations.

5. Will professional management support my long-term goals?

Consider whether delegating management could help you preserve time, improve consistency, or expand your portfolio.

Frequently Asked Questions

Is hiring a property manager worth it for one rental property?

It can be. Owners with one rental property may benefit from professional leasing, maintenance coordination, financial reporting, and tenant communication. However, owners who have the time and experience to self-manage may prefer to avoid management fees.

What percentage do property managers charge in Bakersfield?

Fees vary by company and service arrangement. Some managers charge a percentage of monthly rent, while others use flat fees or a combination of charges. Atlas Property Management's published management fee is 7% of monthly rent, subject to applicable minimums.

Can I hire a property manager if I already have a tenant?

Yes. Property management companies can often take over management of occupied rental properties. The transition typically involves reviewing the existing lease, obtaining property records, coordinating tenant communications, and properly handling funds and documentation.

Do I still make decisions if I hire a property manager?

Generally, yes. The management agreement establishes the manager's authority, including spending limits, maintenance approvals, and other responsibilities. Owners should review these provisions carefully.

Does hiring a property manager eliminate my legal liability?

No. A property management company can assist with administration and compliance, but hiring a manager does not automatically relieve an owner of legal obligations or liability.

Should I hire a property manager if I live out of state?

Out-of-state owners often benefit from having a local professional coordinate leasing, maintenance, inspections, and tenant communication. However, the decision depends on the owner's resources, experience, and property needs.

The Bottom Line: Should You Hire a Property Manager?

If you have the time, knowledge, and desire to manage your rental property, self-management can be a practical way to reduce expenses and maintain direct control. But if you're looking to reduce day-to-day responsibilities, gain experienced operational support, or build a larger investment portfolio, professional property management may be worth considering. Ultimately, the best decision is the one that supports your financial objectives, lifestyle, and long-term investment strategy.

Considering Professional Property Management in Bakersfield?

At Atlas Property Management, we understand that your rental property represents more than a monthly rent payment. It's an investment in your financial future. With more than 15 years of property management industry experience, our leadership brings practical knowledge of residential leasing, maintenance coordination, financial management, and California rental housing operations. We believe in transparent pricing, proactive communication, and responsible stewardship of the properties entrusted to our care. Whether you're a first-time landlord, an experienced investor, or simply tired of handling the day-to-day demands of rental ownership, we're happy to discuss your options.

Atlas Property Management
5701 Truxtun Avenue, Suite 220
Bakersfield, CA 93309

Call: (661) 230-9510
Website: www.atlaspm.biz
California DRE License: #02202834

Ready to explore your options? Contact Atlas Property Management to discuss whether professional management makes sense for your rental property.

Disclaimer: This article provides general educational information and is not legal, tax, or investment advice. California rental housing laws and applicable exemptions vary. Consult qualified professionals regarding your specific circumstances.