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Updated almost 3 years ago,

User Stats

163
Posts
57
Votes
Steven Barr
  • Atlanta, GA
57
Votes |
163
Posts

Do you pay finder's fees to your management company?

Steven Barr
  • Atlanta, GA
Posted

Is it common for a management company to charge a "finder's fee" equal to first month's rent for every new tenant they place in your property?

With a force appreciation strategy (like raising rents heavily over the course of a year and then selling quickly), I feel like there will be a lot of turnover, and then it makes it impossible to service the debt for that 1 month that there is no rental income. I realize not all the leases end at the same time, but still seems like it would make this strategy difficult 

Thanks for the input!

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