Fewest number of units to have a Property Manager

[Alex Schukin]

Hi BP!

I'm a bit on the fence between the residential classification of 4 unit multi family investment property and jumping over to the commercial side of 5+ units. Ultimately, I am trying to stay within the 4 - 8 range and not going into the institutional-size portfolios.

Assuming that a property manager charges ~10% gross rent, net of vacancy and 50% of 1-month rent for placing a tenant (please correct me if I am way off), what would be the smallest number of doors that a good quality property manager would be willing to take on for that price?

To offer some context, I am looking in the Philadelphia market and also focusing on being hands off since this would be an out-of-state investment for me. Hence, good quality property management is a key deciding factor for the type of property I am looking for.

Cheers,

Alex