Property management fees

[Abdul King]

What is the standard rate for a property management company? I came across a company that charges 9% management fee of the monthly rent and one months rent leasing fee when the company puts a new tenant in the unit. Are these typical rates?

[Kenny Dahill]

@Abdul King, you need to provide more information; location, quantity of units, etc.

Also, monthly fees are only the neon sign 'Open For Business' for advertising!  Make sure you understand what their full-management scope includes.  Consider these quick points:

• Late Fees: Who keeps them?
• Maintenance:  Interior vs. Exterior team, minimum trip charge and rate.
• Eviction:  What happens during an eviction and who pays?
• Tenant Placement:  Do they offer any type of guarantee in case moves out early?
• Reserves:  How much do you have to keep in reserves?
• Spending Limits:  How much can your PM spend without your approval?

Best of luck.