Large multifamily management fees

[Aaron Cooper]

I am working on my first large multi family 100 units. Although I manage single family homes i am planning to hire out for this project. The quotes and proposals are all over in price. What kinds of rates and fees are others seeing?

[Chase Louderback]

Echoing some of the posters above.  For 100+ units you will normally see 3.5%-4% for management fees and expect to have a couple of people on payroll.  This may be a full time leasing agent, manager and maintenance person.  

When checking with property management companies be sure to ask them what they think the payroll would be for a property of type (size and quality).  Try to get a total est amount and what  a per unit amount would typically be.  Getting the numbers in that format will help you with underwriting similar properties in that market in the future.