How much should you spend on a fridge?

Question

My PM is trying to charge me $1500 for a new fridge and $300+ for labor. My fridge at my own house isn't even that much. What would you guys do in this situation?

Marci Stein · Answer

Are you a long distance landlord?

I usually order my appliances online

and have it Delivered.

Jessica Bridges · Answer

You can look to see what a similar fridge is going for. We purchase from lowes and home depot for new appliances. They deliver free so there is no labor charge.

James O. · Answer

Account Closed You are right. I am ok with paying them slighly extra for the convenience, but when they upcharge $500+ it gets me upset. I don't even have a fridge that expensive in my own house lol.

Account Closed · Answer

Is this a company you have been using for a while or a new relationship? Are their other costs/services reasonable? Did they provide a list of costs for things like this at the start?  Can you get out of the contract with them if it comes to that? Are there other PMs you could use instead, hopefully with good reputations, or self-manage?The answers to those would dictate what I do. It sounds like they think they have you over a barrell for some reason, or testing you.  I would probably call and try and work it out, but civilly, and see where it goes.

James Galla · Answer

@James O.,

Sounds like your PM is doing what PMs do best - eat your margins. Either they are eating your margins or you are not appreciating the quality of the market the rental is in.

I lean towards eating your margins, though, because it's in their interest to hyper upgrade the property. Essentially, if it's not in premium condition, they can warrant a service call and the associated fees.

Be careful when you confront them on it because you need to consider their defense. For instance, if you get a low tier fridge that makes the property unmarketable, you'll likely see some tension.

So, you need to consider your market again the fridge you would select and the fridge your PM selected to see if it's worth the argument.

Donnie Allebach · Answer

It largely depends on class of area and what's expected of the tenants. I often look on craigslist or Zillow to see what the other rentals in the area have and go from there. I'd tell the PM that you believe $1500 is above the level that rentals in the area expect and would like a more budget friendly option.

Bjorn Ahlblad · Answer

@James O.my PM, when I had one, used to mark up appliances, materials, labor, basically anything she could. A 500 dollar item easily became 1500 with her pocketing 1000 and still charging 10% of rent revenues. PM's have to eat too; you just need to find the right one and stay on top of them. I learned that just because you have a PM land lording is not passive. Some PM's do a wonderful job, others not so much. All the best!

How much should you spend on a fridge?

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