Beginning a property management company

[Amanda Eyler]

My husband and I are looking into making a big switch. We have minimal property management options in the area and the options we have are not ideal. 

We would like to begin our own property management company. We have several units of our own with 9+ years of personal experience. I  am going to obtain my real estate license and begin a partnership with a personal realtor for compliance work and act as a "referral" agent essentially. I plan on obtaining designations within the next year as well.

We already use Buildium as a software platform but I am curious about logistics. Does the property management company collect rent and then pay the owner rent minus management fees? How do management companies make a profit? It seems like 10% management fees would take a while to grow a profitable company. Thoughts? I would love to connect!

[Drew Sygit]

Yes PMC's collect the rent, deduct fees and pay owners the remainder.

Other typical fees: Tenant Procurement, Maintenance, Inspections, Late Fees, etc.

Typically, you need 100-125 units under management to make a living. 

Buildium is a great beginner tool, Appfolio and Propertyware even better.