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property management fees

Property Management Fees: How Much Should You Expect to Pay?

Are you looking for ways to make your investment property run as smoothly as possible?

Whether you own a whole apartment building or a single condo, it’s important to understand the work that goes into managing a rental property.

Hiring a property manager can help you mitigate some of that work.

Read on to learn all about the property management fees you should expect to pay to make the best choice for you!

Typical Property Management Fees

Property Management fees can vary based on the market and the value of the property.

Some rental property management companies charge a flat fee per month. Others will charge based on a percentage of the monthly rental payment.

As a starting point, expect fees to be somewhere between 8% to 12% of the monthly rental value.

Setup Fees

When you first engage a property manager, the first fee you come across might be a setup or onboarding fee.

This is a one-time fee that will cover the cost of setting up your account. It also might cover a property inspection to assess the condition.

Monthly Management Fee

The management fee is what you’ll pay to the property manager each month that you work with them.

It will cover day-to-day property management. This includes collecting rent, tenant relations, annual inspections, and taking emergency calls.

As mentioned above, many companies will charge based on a percentage of the gross rent collected.

When negotiating these fees, be sure to pay close attention to the contract language. Speak with a lawyer if you have any questions.

Leasing Fees

Most rental property managers have a fee for leasing and releasing the property if your home becomes vacant.

Leasing fees cover advertising costs, inspections, and the cost of screening prospective tenants.

You can expect this fee to be some percentage of one month’s rent.

Additionally, some management companies will charge a lease renewal fee for existing tenants that choose to stay. This fee is usually $200 or less and covers the cost of making any lease adjustments.

Other Fees to Consider

As you research the various property management fees, it’s important to consider other fees that might affect the viability of your investment.

For example, you’ll want to keep your maintenance budget in mind and plan to set aside rental income for that purpose.

Discuss with prospective property management companies how you would like to be notified about routine maintenance. A general rule of thumb is that you should budget 1 percent of the property value per year for maintenance fees.

Is Property Management Right For You?

Knowing about these property management fees and preparing for them will help you determine whether property management is right for your investment.

Proper budgeting is key to successful real estate investing, so be sure to keep these ideas in mind as you move forward with your investing journey!

Looking for property management solutions or a real estate agent to help? Contact us today and the eFind Agent team will be happy to answer your questions!

Property Management Oceanside CA

Oceanside California is a wonderful place to own rental property. Beautiful beaches, plenty of sunshine, excellent surfing and lots of fishing mean plenty of vacationing tourists and local renters too. But if you have tried managing your rentals yourself, you already know what a challenge that can be. Finding good tenants, collecting rent, repairs, maintenance – it can take all your time and energy if you let it. For many owners, the best solution is to turn to the professionals. Oceanside property management companies can help you reign in the chaos.

What a Property Management Company Can Do For You

A good, professional Oceanside property management company can take care of every aspect of operating your rental. They can:

  • Determine proper rental values. You need the best return on your investment, without pricing too high and losing prospects. A management company knows the market and the neighborhoods and can steer you to the best price.
  • Assure you are within all legal requirements. You don’t want to find yourself subject to fines or penalties because you missed a permit or home requirement for your property. Let the professionals handle your legal fulfillments for you.
  • Screen applicants and get renters. The journey to a good tenant can be grueling, but it’s worth every step to avoid the headaches that can come later. A property management company knows the system and the procedure to help weed out the renters you don’t want and get you some solid tenants.
  • Handle all maintenance and followup. Repairs and upkeep are an ongoing process when you own a property. Finding the right contractor, and getting the work completed, can be a challenge. Most management companies have staff and a team of available, proven contractors ready to take care of your needs.
  • Provide 24-hour maintenance contact. A tenant with an urgent problem needs to reach help at all hours of the day or night. Property management companies maintain a 24-hour line for your tenants to call and get the help they need when they need it.
  • Monthly rent and collection services. Chasing down rent payments is no fun, and collecting on delinquent accounts can be a hassle. A good management company will have the staff and knowledge of how to keep the rent coming in and process an eviction when necessary.
  • Monthly accounting. By turning your operations over to a management company, you receive complete monthly statements of all activity on your homes. Keeping up with your money and tracking your investment is easier than ever.
  • Timely payments to you. As the rent is collected each month, the payments are disbursed to you promptly and accurately.
  • Property inspections. A management company property inspector can perform random or regular spot checks on your homes, assuring that the tenants are treating the place properly.

Where To Turn

For a quality, reputable property management experience in Oceanside, click here:
https://www.promisepropertymanagement.com/property-management/areas-we-serve/oceanside/

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