As the title says if I hire a management company what services do they provide? How much do they generally charge?
Management companies will do as much or as little as you want them to…they will provide rent collection only or full “turn-key” services. Generally speaking, they charge between 5-12% of the gross rent,. depending upon the area and how much you want them to do. They also may charge extra for finding new tenants (generally a % of a month’s rent for that unit) and will charge extra for repairs completed (or coordinated).
Watch out for firms that expect you to pay for contractor labor + a mark-up and for repair parts + a mark-up. This situation is open to abuse.
That doesn’t sound too bad. I was thinking about some places that are in less than desirable places (see also ghetto) and not exactly that close to my home so letting someone else worry about things there would help. Even at 12% it’s pretty fair in my estimation if I don’t have to deal with many of the headaches.
I would call around and ask…if you belong to an REI Club, ask around there…try to get referrals/references.