New investor

[Patrick Toy]

Hello everyone, I just purchased a brand new home that will be a rental property in Las Vegas. This will not be the first property that I plan to purchase. I'm looking for a management company who offers a competitive gross of income percentage. I've been quoted 8% and $350 for each new lease. I don't know if this is average. Can anyone assist?

[Charlie Fitzgerald]

Having lived in Las Vegas for the past 22 years, and being an investor as well as a private money lender, I can tell you that the current market will absolutely cover property management service fees, and leave plenty of cash flow income for the owner.  Wise shoppers with the proper positioning of financing, are realizing returns of 20-30% net of all fees and expenses.  The rental market in Las Vegas has historically been vibrant and will continue to be so.  The transitory nature of some of the residents here, keep it that way.  Homes that sell for $200-$250k often rent for $1250-$1400 per month.  Homes that sell for $150-200k often rent for $700-$1000 a month.  Homes above the $300k price point are renting in the $1600-$2200 range and up.  Property management fees may seem like a cost that is easy to recapture buy "doing it yourself", but I will willing pay the fee to keep my rentals 90% + occupied rather than realize income on 75% +/- occupancy dealing with it myself.  Additionally, having a management company deal with the repairs and maintenance is a big benefit as well.