Hi all this is my first time asking a question on a forum hope i am doing this right .I think i am finally at the point i need to hire a full time property manager , i am wondering what would be the best way to pay for there service , is it best to hire the property manager as an employee or pay them as an independent contractor.
I would recommend contacting local Property Management companies. While you can hire an independent property manager you are going to want to make sure that whomever you hire has the team, resources and most of all the experience and knowledge to operate your assets.
There is a major, major difference between a legitimate property manager and a true property management professional that comes with industry and market knowledge.
Contact a PM company. They will charge a % of rents. among other fees.
Property management companies charge 8% of the rents here in the columbus area. It all depends on your current returns. Personally I think it's worth it!
I would personally hire them as a independent contractor. In California PM you will find individuals that prefer to perform the monthly duties of collecting rent, and some that prefer finding tenants, and some will complete both duties. If the properties are in socal i could possibly help you. I will not though PM anything in Central LA, and prefer orange county up to lakewood and bellflower area.
@John Lupo I would call around the local realtors in the area you have your properties. My company does PM ( personally i do not i pay people to manage mine... ) but our PM is a licensed agent who owns several of her own properties, so have extensive knowledge on who the best for repairs are as she also rehabs houses. Now when you talk to the potential PM i would ask questions such as do they own rentals, have they felt with certain issues, ect ect. no they will most likely not give you the number to there contacts, nor with they have set billing for certain projects ( those two questions get asked all the time, we don't tell u our contacts so that you can't just pick our brains for the best info we have then leave, and we won't give you set prices for every project as every time something goes wrong the price is never the same ).
I hope that was helpful. If you have any questions on who to call around columbus my number is in my profile and i will answer anything i can.
@John Lupo PM companies around my ranch charge 1 month rent for "Leasing and Marketing Fee" and 8 to 10% monthly rent for "Management Fee" including but not limited to maintenance, PM software app, move-in, move-out, evictions, monthly P&L.
I recommend to contact the Property Management Association in your area for better local insight. You can start here http://www.narpm.org/
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