Should I Sell My Las Vegas Rental Through My Property Manager, or Hire a Listing Agent?

By Mike Tchobanian, Broker and Owner, Vegas Capital Realty | The Tchobanian Group

Call Mike at 702-530-5844

Two different jobs

Most owners never ask this question. They have a relationship with their property manager, the manager offers to sell the house, and they go with it. It feels simple.

Here is how I explain the difference. A property manager is like a doctor who does surgery two or three times a year. A listing agent is the surgeon who does it every day. Both are doctors. You want the one who does the operation all the time.

A property manager is good at what they do as a property manager. Listing homes is a different job.

Why your manager's day is already full

It is not that property managers are bad at selling. It is that their time is already taken.

A manager with 50 or 100 doors spends the whole day on tenants, landlords, rent, and repairs. That is where their income comes from. Selling your house becomes the thing they squeeze in between everything else.

Some managers can sell a home, and some have a team to help. But if they do not have the experience to price it right, market it to the whole market, and negotiate when a buyer pushes back, they are not going to get you what you want. In a market where buyers have more choices, that gap shows up in your sale price.

A real example

A client of mine owned a rental that another company had managed for years. The tenant had moved out, and his handyman had already gone through the house. He thought it was ready.

When I walked the property, I found a long list of small things that did not look right. Minor issues, but the kind that can cost you the sale when a buyer walks in and starts noticing. I pointed them out, had our vendor fix them, and we priced the home exactly where I believed it would sell.

It sold within 40 days, very close to the list price. Two things made the difference: pricing it right, and making sure the house was presented well. That is the job.

What about my property management agreement?

Read your agreement. One of two things is true.

It does not say you have to sell through the manager. Then there is nothing to worry about. You can list with anyone you want.

It does say you have to sell through the manager. Then you can ask to cancel it. Put the request in writing and say you want to list with your own agent. If you want the manager to keep managing the tenant or your other properties, ask to be released from the sales part only. Get the release in writing, and ask them to confirm whether anything else continues, like a protection period on a buyer they already showed the house to. The manager does not have to agree, but it does not hurt to ask, especially if you are not happy with them. Everything is negotiable within reason. Once you have the release in writing and nothing else ties you to the manager, you can list with whoever you want.

When selling through the manager can make sense

Here is the fair side. Some managers work with a lot of investors. If your manager has an investor who will buy the house with the tenant in place, without listing it, without showings, that can make sense for some owners. Simple and fast.

The trade is price. When a house is not exposed to the whole market, you usually do not get the highest price. How much you give up depends on the house and on whether it is a buyer's market or a seller's market. Some owners will take that trade. Just know you are making it.

How I handle a rental sale

• I walk the property myself and tell you what needs to be done before it goes on the market, and what does not.
• I price it on recent sold homes and your current competition, not on what the rent was.
• If a tenant is still in place, we work with the tenant on showings and give at least 24 hours notice unless the tenant agrees to less, as Nevada law requires (NRS 118A.330). I hold a Nevada property manager permit, so I know both sides of this.
• I market the home to the whole market: the MLS, our database of buyers and investors, the neighborhood, and social media.
• You get an update every Monday with showings, feedback, and what changed in your competition.

A property manager is good at property management. Selling your home is a different job, and it is the one I do full time.

So do not hand your manager the listing just because they already have the keys. Interview them the same way you would interview any listing agent. Ask how many homes they sold in the last 12 months, ask to see the marketing plan, and ask how they will negotiate when a buyer pushes back. Then hire whoever will protect your net.

Frequently asked questions

Can my property manager sell my rental in Las Vegas?
Usually, yes. In Nevada, a property manager with a permit already holds a real estate license and can sell under their broker. The question is not whether they are allowed to. It is whether selling is what they do all day. Most managers' time and income come from managing, not listing.

My property management agreement says I have to sell through the manager. Am I stuck?
Not necessarily. Ask in writing to be released from the sales part of the agreement so you can list with your own agent. The manager can say yes or no, but if they agree in writing, you are free to hire whoever you want.

Does it cost more to hire a separate listing agent?
Commission is negotiable either way. Compare what each one will actually do to sell the home and what you are likely to net, not just the fee.

Should I sell my rental to an investor my property manager knows?
It can be quick and simple, but a home that never goes on the open market usually sells for less. Get an opinion of value first so you know what you are giving up.

Can I keep my property manager and still hire my own listing agent?
If your management agreement does not require you to sell through the manager, yes. If it does, ask to be released from that part first.

Thinking about selling a rental in Las Vegas or Henderson?

Before you sign anything with your property manager, call me. I will walk the property, tell you what it will sell for, and show you the numbers.

Call Mike at 702-530-5844

Or email mike@vegascapital.com.

Related: I'm tired of being a landlord. Should I sell my rental? | Should I sell my rental vacant or with the tenant in it? | How do I pick the right Realtor?

This article provides general real estate information, not legal advice. Read your own management agreement and talk to a Nevada attorney about anything you are unsure of.