Property Management Cost Question???
I'm thinking of hiring management for my rental. I've read how most place charge 1/2 of the first months rent for new tenants. I've called a company and they charge 12% and I would have to put up $100 for advertising. Is 12% too high? I would manage the house myself but it's located in Indiana and I live in Caii.
What did the results of your market survey tell you? If you called at least three property management companies, you should know if this fee is in the ballpark or high for your market.
I highly recommend you use a PM, it is your best option. I have seen too many people try to manage there own propertes from a distance and fail. As far as fees, I have two different PM for my properties. One charges 10% to fill one charges $100. You could shop around, but the most important thing is how efective they are at managing your property. A 12% fee might be fine if they do a good job. Good luck.