It is not an inexpensive business to operate.The business can be broken down different ways but I think the 4 main areas where a property management company benefit you are housekeeping, property maintenance, marketing, and accounting. 

I am not an owner of the group and receive no benefit from recommending it, I've just been a member since 2003 and found it worthwhile.

This is a city of renters and investors are benefitting.

Why do they do this and what benefit does this give? 

 @Mya TooheyYes it is a big project for our first flip, the benefit is me and my partners have experience in finance, project management, and construction so we have a good footing.   

The major benefit of this, is the mortgage brokers actually helps with building the business case for the project!

Don't put a damper on success....reward it and benefit from the returns.

I would say it's also important to clearly communicate the benefits of the deal as well as how you will minimize the lenders risk. 

There is always the chance they will just be sneaky and never get rid of it, but if you have these things documented it would be to your benefit, especially when they move out one day and there are odors that can’t be eliminated.

Only problem can be prohibitive cost that outweighs benefits.