EPISODE 006: Part 3 of 3 on The Basics: Basic Management Stuff
Categories: Strategy & Tips
Description & Show Notes: In this episode, we wrap up our 3 part series on The Basics with our third part: Basic Management Stuff. We're going to talk about what role a Property Manager plays on your team, and how to decide if you want to self-manage or hire someone else to do it for you. We'll talk about the rates they will charge and what you will get - and not get - for that monthly fee. The middle part of the episode is about tenant screening and Federal Fair Housing laws you must be aware of if you choose to self manage. Then in the Tips and Takeaways section, I'll make my case with 4 points in favor of self-management as well as give 3 different options I could have (or should have) done instead of selling off my apartments and we'll talk about how to use a scoring system to get the best tenants possible for your rentals.
Duties of a Property Manager
Not Included: Making Repairs (billed hourly for labor, plus materials)
Typical Rates for Property Management in Auburn:
1 Unit: 10% of rent collected
Multiple Units: 7-9% of rent collected
Apartment Buildings: 6% of rent collected
Some managers are doing 4% on apartment portfolios, but that's not sustainable, so don't budget for that.