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Updated over 6 years ago on . Most recent reply

User Stats

172
Posts
87
Votes
Alfred Litton
  • Rental Property Investor
  • Valley View, TX
87
Votes |
172
Posts

Questionable PM Fees for Leasing

Alfred Litton
  • Rental Property Investor
  • Valley View, TX
Posted

I need opinions/advice. We bought a property that already had a tenant but not under a lease.  We hired a property manager who did a background check and had him sign a lease. Our PM agreement says we will pay PM 50% of first month's rent "each time property is leased to new tenant."  Is it standard to pay the fee if the property is already occupied with a tenant?  Since he wasn't in a lease, would he be considered a "new tenant" now that he is in a lease?  Just want to be fair but not charged unnecessarily. Thanks.

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