Property Management Rates

[Dustin Kooy]

I am currently negotiating with a property management company to take over 24 single family homes in Kankakee county IL.  All properties have been rehabbed in the last couple of years and we are seeing about a 20-25% turnover each year. 

Most of the rents ranges between 1100-1500 per month.

The companies I have spoke with so far want one months rent to lease a vacant property and 10% of the collected rents.

This seems too high to me and I just wanted to get the BP community’s opinion!

[Ian Walsh]

Don't negotiate over pennies here.  Focus on the quality of the management company.  Management companies are NOT all built the same and if you find a good one, you will gladly pay 10% for management.