You haven't received any reasonable offers on your house, so you decide to rent it out. You've made a smart decision; your tenants can pay off your mortgage while you wait for the real estate market to bounce back. But are you ready for late night phone calls about overflowing toilets? And are you willing to study up on local, state, and federal rental property laws?

Fortunately, there is an easier way to turn your home into a rental property—list your home with a property management company. Property managers act like substitute landlords; they take care of the day-to-day responsibilities of your rental property. Why should you hire a property manager? They can answer the questions you can't, such as:

How much rent should I charge?
Property managers assess your home's location, its square footage, the number of rooms, and the upgrades to determine the best rental rate for your home.

How do I find tenants?
Property managers create an advertising campaign for your property. They post well-written ads in the places most likely to catch the attention of your ideal tenant—from conventional ads in local newspapers and websites to unconventional tweets and posts on Facebook pages.

What makes a good tenant?
Property managers screen potential tenants by contacting their references, verifying their employment history, and checking their credit scores. Property managers look for red flags that warn of short-term tenants.

Is my rental property legal?
Property managers know the local, state, and federal landlord and tenant laws. They can tell you if your state has a limit on security deposits just as easily as they can advise you on the difference between rental and lease agreements.

What happens if a water pipe bursts?
If your house needs immediate repair, your tenants will call your property manager, who will in turn call in contractors to fix the problem. Your property manager can also schedule routine maintenance checks for the furnace, air conditioner, and appliances to make sure everything works properly.

What if a tenant doesn't pay rent?
Property managers deal directly with tenants who violate the terms of the rental agreement. If a tenant refuses to follow the rental agreement or pay rent, your property manager will begin the complicated eviction process.