I ran the numbers for any investment below 250k and for the 3 year hold period after 1% annual management fee and 1.25% startup fee, and the profit split, comes to 10% compounded return or an 11.2% avg annual return on a 1.33 EQM on 3 years.

It is a yearly fee, paid to a private company.

The lady in MN told me that there was a $125 set up fee and then it was $10 a month.

do you mean they want you to pay some of their fee' s up front.. 

For example, I mention that every adult must pay a $30 application fee, pass my credit/criminal background, make a combined income of 3x the rent, and whether or not the property accepts pets.

Is rent 220 less than your mortgage, taxes and HOA fees or is it 220 less than mortgage, taxes, HOA, pm fees, expected maintence, expected vacancy, and expected capital expenses?   

@Sane TryarkMy management fee suddenly went up this month too.

We make money from value add features and services: credit card fees (ACH is 100% free), credit reporting for tenants, insurance policies (both renter’s insurance and landlord), our lease creation and e-sign feature.

And then there are also  sewer scope fees, and if your inspector recommends other inspectors to do inspections on things like the plumbing system, the roof, the electrical system etc... those have to come out of your pocket also- if you're going to pay for them.Does your lender require a Phase 1 Enviro; How do you intend to pay for that? 

I'm not fond of all the junk fees associations charge members.