Property management companies help landlords manage their rental property for a price. While many of these companies offer a range of landlord packages (like Forest City does), there is no set price. The final charge depends on factors such as the type of property, the scale, and the services provided by the management company. Here’s how these factors affect how property managers charge their clients for services!
What Factors Influence The Cost Of Property Management Services?
Forest City Property Management offers three packages to cover all the needs of any landlord, but four factors influence the extent of the services in these packages:
Type of property: Property managers take care of all types of investment properties, including single-family homes, multi-unit properties, commercial properties, and vacant properties. This variety of homes and their individual needs means property managers charge different prices to different clients.
The size of the property: Larger rental properties often cost more because more work is involved in managing them than smaller rental properties. It’s much more demanding collecting rent and fees from a large apartment building that hosts dozens of tenants than a condo building with 10 units or five properties spread across the city.
The condition of the property: Newer units or those that have been recently renovated will have fewer maintenance needs than older or neglected properties.
The last (and often biggest) factor in the amount property managers charge is the number of services they render. Not all landlords are the same; as such, property management companies have to offer services that they can tailor to meet the individual needs of their clients.
What Services Do You Need Of The Property Management Company?
The services a property management company provides is the biggest determining factor in how much they’ll charge their clients. For example, if you are hiring one only to advertise your property and fill the vacant units, your bill will be lower than that of a client who wants their manager to fill vacancies and collect rent, take care of maintenance, and keep the books up-to-date before tax time.
A good property management company is flexible and accommodating to all its client’s needs. While we offer three packages, our Package C program lets landlords choose only the services they need, including:
- Detailed monthly income statements that we prepare for you and your accountant.
- Handling of all maintenance requests
- Taking care of these repair and maintenance requests at preferred rates
- Advertising of your property, including professional photos taken of your property
- Finding tenants and putting them through our screening process, including credit and employment checks
- Tenant walk-throughs
- Collecting the rent and deposit money and handing it over to you
- Grass cutting and snow removal services
If you need only a set number of services, talk with Forest City Property Management about our pricing. After an initial tenant placement fee of 75% of one month’s rent and a 7% monthly fee thereafter, we can do everything from finding great tenants to setting up maintenance work to giving you detailed monthly financial statements for your records.