If you are purchasing rental units the single biggest concern you will face as a landlord is the dishonest property manager. The problem is unfortunately significant and widespread. I have seen far too many examples of these costing investors thousands of dollars in losses each year. It is so bad, particularly in lower to middle- income neighborhoods, that investor's losses on a national level run into the millions. A dishonest property manager can steal security deposits, rent checks and bill for unnecessary repairs. I have seen them remove expensive appliances like furnaces and air conditioners then report that a break-in occurred and replace them (sometimes the very same units) and then bill the owner. Usually before you suspect there might be a problem, several months can go by. By the time you get on top of it, especially if you are an absentee owner busy with your own affairs, a few more go by and before you know it, you have lost a few thousand dollars. If the property manager manages several properties, this is big money.
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