I’m currently looking into purchasing a 15-unit commercial apartment complex in Mid-Northern Maine area, but this would be my first commercial purchase, and I want to make sure I have a good management company lined up before I purchase.
I’m currently running my due diligence and cashflow numbers, but does anyone have any referrals, or know of any decent national companoes who do business up there? Also, since I’m a bit new to property management, I’ve been reading on what to look for, but don’t know what they generally charge…is it a percentage of rental income, flat fee, etc.?
Thanks for your input!
Typically, it’s a 5-7% of rental rates. They often take 50-100% of the first months rent and charge a $50 renewal fee. More resources below.
http://landlordportal.com/
http://mrlandlord.com/
http://landlording.com/
www.irem.org/
Thank you, Dee! Now my only problem is that this multi-unit (15) in Maine will go away BEFORE I can drag up the cash for the DP, and before I can sell these condos I’m rehabbing…
I’m hoping not. Thanks again for the info!
I also do investing in Maine and it’s relatively easy for me because I have a lot of family that lives in the area that help with management. It depends on WHERE in Maine this building is … Some areas have NO property management services to speak of. Generally, the more rural the property, the less likely you will find a company that will take it on OR they will charge you extra fees to do so.
Good luck!
Good point about the extra fees. I do know that some really good companies won’t manage properties in certain areas of town. They don’t want to deal with section 8 or rougher tenants. It’s always good to see if they charge a certain amount for particular areas of the city.