Any ideas on what are reasonable fees for property management. We are thinking of renting out a single family house roughly worth 700K for low 3000s/month. What range percentage rent have others seen? What charge for vetting renters and advertising property?
Any advice on picking a property manager? Questions to ask? Points to negotiate? Points to ponder? Other?
I’m not sure what they pay but they seem very happy with AHP.
Be sure to interview several property mgt companies. Tell each company you’re new at this business and ask them to sell themselves. Check a few references before you sign any contracts.
Also, ask each company what they think a rental price for your property should be.
If the home is relatively local to you then … don’t. Go through the property with a fine-tooth comb. Fix everything that has a look to breaking in the next 12 months. Find some decent tenants, hopefully people who have a bit of brains and aren’t too needy, and set them up with a direct deposit.
A landscaper, you can keep on contract if need be.
I actually work with a lot of management companies and they tend to range from 6%-10% from what I see, but some of them also offer flat fee management (I know one in town that does a flat fee of $250/month.)
I would say there is a get what you pay for aspect so I’d interview a couple and ask the percentage, but also what it includes.
For instance…there are ones that would include the advertising in the percentage and others that would charge a lesser percentage per month then charge you for the ads.
I would mention that the majority of them tend to use Craigslist pretty heavily to find tenants and I believe most tenants go there first too. If your up to it and going to be in town you might want to think about finding your own tenant. I have heard some good things regarding American Heritage and they are a larger management company in town.
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