[Nicole]

For those of you who rent your primary home and use a property management company, how much do you pay %wise and what does that buy you?

I’m trying to get a general idea because Google search has been less than helpful.

I do have a short term rental condo that’s professionally managed and they basically handle everything from booking, disputes, damages, repairs (I pay for repairs cost but they handle scheduling someone etc.), cleaning, etc. and that’s 30%.

It’s quite a lot of work especially during peak season and seems typical for a short term rental, but I can’t imagine that’s going to be the same for a long-term rental primary home situation.

Home is in a HCOL city suburb and should not be difficult to fill.

[Aaron]

Short term vs long term will vary tremendously. Long term should be around 10% in most states.

Short term sky is the limit, I’ve seen companies do 20%-35% and I seriously doubt they give the tenant the same attention that an owner would give.

I know a lot of STR people find someone local to be their co host and work out a fee that makes sense for both parties

[Matthew]

Generally 10% of rent plus a placement fee of around $1000. I wouldn’t do it… most property management companies find a poor quality tenant ime..

you want someone who you’re going to get along with since they will be living on the same property… I’ve always listed my place 10% below market rent and spend about 500 on advertising…

then I have one open house where 20+ different families go through and about 5-6 of them usually fill out an application on the spot and I pick my tenants with in 24hours after credit check etc….

When doing the lease I do a rental rebate every quarter or so if they pay on time keep the place clean etc… also you’re going to want to have someone help you do the open house and casually look into peoples cars are they arrive…

if their car is disgusting we don’t rent to them… good luck

[Josh]

8-10% is typical.
But man; I think managing yourself is so much better way to go.
You learn a lot and as soon as you put some basic systems together it’s super easy.

And that’s 8-10% of gross which sometimes can be 50-100% of your net cashflow.

I have over 200 units and have always managed myself.

I have an in house manager/assistant now; but I’m glad I never paid a management company.

And most of them suck (atleast in Az).

[Christina]

My PM charges 10% of yearly rent as a one time fee. He handles everything and all I have to do is pay for repairs.

I have been using him for 20+ years and he hasn’t raised my fees once because I have multiple properties with him.

His fees also include attorney consultation (in an extremely tenant friendly state) but I am responsible for fees if I need more than a consult.

[Steve]

It’s going to depend on location, but for Florida beaches I’ve seen 10-20%, and it depends on what they do.

Being retired, I like to travel so regardless of the management fee I like calling my PM and saying rent it and get paid to vacation.

It’s a pain to have owner’s closets, but it keeps you from being a hoarder.

[Rhonda]

When I worked as a realtor in property management, my fee was 10% of monthly rent, plus 3% of total value of lease at signing.

The 3% covered listing/photos/standard advertising, etc.

The 10% monthly covered processing of rent, tax, scheduling repairs, doing a walk through inspection at move in and once every 6 months, and communicating with tenants about issues, late rent, how complaints, 5 day pay or quit.

Not included and billed separately was repair fees from handyman, eviction processing charged by the attorney I used, etc.

That was 20 years ago, my previous partners now charge 15%

[Aubrae]

10% plus half of first months rent when they sign a new lease with a tenant.

[Laura]

I pay 12.5% for Florida one month or longer rentals. They do everything. So worth it for me as I am too busy to manage it from far away.

[Author]

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