You probably already thought of this. You want to know how much it costs to hire a Professional Property Manager. Sometimes the answer is simple, sometimes there is a slightly more complicated fee structure. This all depends on the way a management company is structured, what services they offer, what services you want, and a variety of factors that vary from company to company.
If the question is: How much does it cost to hire a property manager in Oregon? The answer is: It depends
This is why you need to ask a potential property manager about all their fees.
You might be looking at a fee structure that is a percentage of collected rent, plus fees for certain other tasks completed, an additional rate for new tenants, an hourly maintenance charge. There might also be fees for: Empty Units, Evictions, Late payments, and other miscellaneous fees. Each Property management Company is set up just a bit differently, making it important to compare their entire price structure.
Don't forget to ask your potential Property Manager:
What are your fees?
Do you charge for vacant units?
How much do you charge for tenant placement?
What do you charge for Maintenance?
Do you charge for eviction?
How do you handle late fees, and other tenant fees?
Do you have any other miscellaneous fees?
Don't forget to ask how management fees are collected.
Are you paying a percentage of "Rent Collected" or "Rent Due"? This can be a big difference, because a property management company that gets paid a percentage of rent collected also has an interest in making sure the tenant is paying their rent!
Overall, fee structures can vary a lot from company to company. It is important to understand what you will be charged and when. This helps you be a better business owner, take great care of your investment and have a strong partnerships with your property manager. Exactly what the particular fee structure is probably is not as important as making sure you partner well with your property manager, and trust them to act in your best interest.
Investing in a quality property management company should make you money. Studies have shown that average vacancy rates are half the national average on properties managed by a property manager.
Do you have questions about property management fees?