I have been looking for a possible Average on what Property Management companies charge for taking care of Rental Properties. Or is it very specific to the State/Area? I thought I read somewhere it is normally 1 - 3% monthly.
Does anyone have any ideas. Looking for a quick ball park figure compared to calling around to 4 - 5 in the area and getting an average.
Thank you for the help.
David in Tucson
I pay 5% and it is well worth it! That is in Colorado I pay 8% in Phoenix and 9.5% in Vegas!
6-10% for rg. rentals; vacation props can be up to 20%
never seen or heard of 1-3%
What can I expect them to do (lease up,collect rents…) and pay for (snow,lawn,repairs…) with the pecent I am paying them. I have no idea what is reasonable and fair.
you are paying them to collect the rent and communicate with tenants. Additionally, they shoudl be able to readily arrange for workers to come and do repairs, met repairman to let them into the property, delivery guys, inspectors, etc. This 'roladex" is critical (!!!). They should know who are the best and cheapest plumbers, electricians, general handymen, etc in the area. If they don’t and can not produce names on the spot, then look for someone else. Anybody doing prop. mgmt for some reasonable number of clients will be talking to these folks on a weekly basis and thus will know their preferred folks by name, off the top of their heads (IMHO).
Any cost incurred such as repairs, snow removal, lawn service is covered by you (the landlord).
Also, (at least in my contrcats), I give them a spending authority up to $150 for repairs. Meaning they do not have to check with me prior to hiring workers to make the repair. The exception to this is for emergency repairs that threaten the safety of the overall structure (e.g. broken pipes with water flwoing everywhere)
Thanks for the reply. I think I may bump up the repair a bit.