Property Management Vs. Onsite Manager?
Most of my ventures have been SFH up to triplex. Some I manage myself, other I have a property management compnay that charges 10% of rent.
I am considering purchasing a 44 unit apartment complex out-of-state. At what point do you hire an on-site manager vs. handing fees out to management company?
What do you typically pay an on-site manager? Salary? rent based commission? Do they perform small maintenance, too?
Too many variables. I have had an on site manager for 64 units that did everything except plumbing. If you can have an on site manager it is always cheaper than a management company. I usually give them a bonus for 100% filled and rents on time after a period of time and smaller bonuses for getting new renters. As long as the incentive is to stay fully filled rather than rotating tenants it usually has worked out well for me. I keep the bonuses at 10% of there salary per year for fully filled, but thats here in florida. It may be different where you are at. Also you can offer benefits, or furnishings to decrease the salary as well.
Obvioulsy the best person to hire is a trustworthy handyman with charm, but they are hard to find.
Good Luck,
Kyle