Opinion on Property Management Terms
I've been in talks with a mom-and-pop property management company for handling my rental property, and I wanted to get your take on their terms. Here's a summary of what they've offered:
- Monthly PM Fee: 8%
- Markup Fee: 15% on top of bills for services like fridge setup, applicable to any expense over $300.
- Late Fees: They retain 8% of any late fees collected.
- Initial Setup Fee: $300.
- New Lease Fee: $275, but no fees for lease renewals.
- Maintenance: They offer minor maintenance in-house, with the markup fee applying to expenses over $300.
Do these terms seem reasonable to you? Is there anything that stands out as a red flag, or perhaps there are areas you think could be worth negotiating on?
Your insights would be greatly appreciated.