We own 34 units in Central Maine and want to really step back into the shadows and have the portfolio managed. However, I LOVE the paperwork and reporting, balancing checkbooks, creating documents, etc. and want to keep that part. My wife does the leasing and really would love to outsource that but she's a "control freak" (and rightfully so. She's a true bad-*** leasing agent). We have a young lady whom we've gotten into the business by giving her 13 units we sold to another party. She's open to a "blended product" whereby we handle the office and paperwork and she handles the boots on the ground part. 

So my question for you property managers is, "what percentage of your time, roughly, is spent "boots on the ground" vs. "hands on the keyboard"?  I managed the 13 units in question for one year and found at least 80% of my time was at the desk. Some was "one time" learning how to setup Quickbooks and do more precise reporting vs. how I do reports myself. But even after accounting for that, very little of my time was spent boots on the ground. We have class B tenants so they're pretty "low maintenance" in general. 

My thought was to offer her 4% or hourly rate with 4% max gross income  for 

Fielding calls (maintenance, emergencies, questions re policies, complaints, etc.)

Inspecting units (bi annually, more in questionable situations)

checking for leaks twice per year (part of inspection, putting blue tabs in toilet tanks, etc.)

driveby's once per week (check for trash, exterior problems, etc.)

We would do everything else. For leasing we'd give first month's rent with a MAX "once per year" per unit and a 50% refund if we had to evict for any reason, or there was any unreimburseable damage or other fees (i.e. if she doesn't do a good job placing a tenant, it costs her!)

These are just ideas, not set in stone. But paying 10% management fee is so unthinkable to me (whether it's earned or not). I know after one year of charging 8% to the man I sold my buildings to, that 8% was mostly gravy. I probably earned the highest hourly rate I've ever earned managing property for 8% of gross income. Of course one was an 11 unit that I'd owned for 7 years so it was a little easier. 

Thanks all!