How much does it cost to market your rental property? Maybe you are someone looking to rent commercial or residential property. In either case, a rental property marketing and management company can help you reach your goals.
Property Marketing and Management Companies Connect Great Tenants with Great Properties.
I once rented a home for about six years. At the beginning of the fifth year, the property management company informed us that they were not going to renew our lease.
We had always paid our rent on time and reported problems quickly. We treated the home as if it were our own. They said that the owner wanted us out.
Because Bryan, the owner, did a major repair the previous year, we just happened to have his phone number. (You know, “Call me if you need anything else.”) When we called him, he was incredulous. The management company had told him that we had chosen not to renew the lease.
It turns out that their fee set up made it more profitable for them to change tenants frequently rather than keep good tenants in a property.
Rental Property Marketing and Management Relieves Stress
Bryan fired that company and hired a better one. Our family was able to stay until we got stationed at Ft. Bliss. Bryan was able to maintain a steady cash-flow from his property.
Let’s face it, tenants can be hard on your property. Horror stories abound. But not all renters are terrible. Property management companies are a great way to manage your investments because they can lessen the hassles and risks associated with renting your property and keep your properties fully rented.Vacant rentals bring no cash!
What Is A Rental Property Marketing and Management Company?
Whether you own commercial or residential property, the job of the rental property management company is the same.
- communicate between the renter and the owner
- collect rent on time
- ensure that the property is vacant as infrequently as possible
- maximize the value of your property and increase your rental income
- facilitate repairs and maintain the property
How to Hire a Great Property Marketing and Management Company
Before you hire a property management company, decide what you need and are willing to pay for. Some companies will do everything for you, right down to paying your mortgage payment and taxes. Others only place tenants and collect the rent. Here are some things to consider.
- How are you going to handle repairs?
- What about evictions?
- Are the management company’s fees set up to retain good tenants or are they set up to maximize profits for the management company?
How Much Does Rental Property Marketing and Management Cost?
That depends. Some companies charge a flat rate. Some charge a percentage of the rent. And others have many hidden fees.
The typical monthly charge for a rental property marketing management company is about 10% of the property’s monthly rent. This fee is usually added into the rent and charged to the tenant. Some management companies charge additional fees.
- Leasing fees
- Repair funds
- Advertising fees
- Account set-up fees
Renters Prefer Professionally Managed Properties
If you are a renter, there are definite benefits to renting your home through a property management company. Because of the fees associated with hiring a property manager, the rents for a managed property might be slightly higher than renting directly from the owner. But the benefits are worth it.
- You know that repairs will be done on time.
- You know that they will follow landlord/tenant laws.
- You will not have to deal with unreasonable landlords.
- The property has been properly maintained and so will have fewer problems and repairs.