property management fees & software advice

[Kevin Olson]

hi BP, 

Advice question for property management and what you have found as easy to use, fairly cost effective management software. 

I know property to property it varies, and I'm sure state to state, but I am looking at managing a couple small multis in Mass and growing from there. I've seen fees associated from 5-10% of gross income plus leasing fees etc. Would 7% be a fair number for 2-5 unit properties?

Also any current property management software recommendations would be greatly appreciated. 

Thanks!

[Ray Hespen]

Standard rates from single-family homes are commonly 8-10% + leasing fees and multi-units can be a bit lower at 7-9%.

I'm assuming (based on the rates) that these properties are not owned by you and have 3rd party ownership.  If that's the case, I would look at starting to build your software toolkit in a way that supports ownership.

If they were your own units, I'd suggest using Quickbooks or some accounting software.  In not and you are planning to scale, I'd look at using Buildium.  It's monthly payment is only $60/mo and includes all onboarding, rent collection, accounting, and a couple other things.  Appfolio (which is more a small-to-mid size software) requires a $200 minimum per month and can seriously cut into your revenue.  

I also am familiar with some good companies that help grow your footprint for owners as well as a system that automates maintenance.  IM me if you're interested in those.