Lots of Questions - Please Help

[Neil Sample]

Hello Everyone,

I am new to the forum, and apologize if this is too many questions. That being said, I am from Minnesota and I am looking to get into the STR market.

In particular I am considering condo units in the North Myrtle Beach area (understand this is SE NC forum, but closest I could find). 

I am curious if people can weigh in on the following- 

1) does anyone know what the current market dictates for management company rates in this area? For many of the condos I asked for financials they provided gross income and not what the management expenses are. 

2) does anyone have any recommendations for good lenders in the area? 

3) for condos that are in a condo tel, that has an on site manager, it appears the HOA includes Legal and Accounting are covered. I am curious if that would indicate you already are paying for the management in the HOA? Is that the case? Are you required to use the HOA's internal management? Can I still rent the property on my own terms as well? Can I set the rate? Or are we beholden to the rates set by the building?

4) does anyone have a good realtor in the area who you could recommend? 

[Troy Gandee]

@Neil Sample I'm in Charleston, but very similar market to MB. In general, long term rental management rates are 8-10%. Most managers also charge fees for new leases, renewals, a percentage of rehab budgets when renovated, etc. 

STR management rates are usually 20-25%. Much higher rates, but a lot more work. That 20-25% does not usually include cleaning/turnover fees. Those are usually a separate expense. Plus, you'll have to cover all the utilities unlike a traditional long term rental.