Property manager vs. self-managing: which is right for my Annapolis rental?

What you keep by self-managing

The 8 to 10% monthly fee and the leasing fee. On a $2,500/month rental that's roughly $2,400 to $3,000 a year plus placement costs.

What you take on by self-managing

Legal exposure: Maryland has strict rules on security deposits, on required notices, and on keeping a unit habitable. The deposit rules alone have teeth. The deposit is capped at one month's rent (since October 2024), it has to come back within 45 days of move-out with interest or an itemized list of deductions, and a court can award a tenant up to three times an amount wrongfully withheld. On a $2,400 deposit that's a potential $7,200 judgment over paperwork that takes an evening to do right.

Time and availability: maintenance calls at midnight, showings on weekday evenings, turnovers between tenants. A vacancy a manager fills a month faster than you could alone often pays the year's fee by itself.

The tie-breaker: licensing

There's one more input for city rentals. Most non-owner-occupied rentals in Annapolis need a rental license and a periodic inspection, and in Maryland an unlicensed rental can bar you from using rent court to collect unpaid rent or pursue an eviction. If compliance paperwork tends to slip down your list, a manager who tracks the license and its renewal dates is cheap insurance.

The honest summary: self-managing works best for owners who live close, enjoy the work, and keep good records. Everyone else is trading the management fee for their own unpaid second job, one with legal deadlines attached.