Typical for Property Management companies to do walkthroughs?

Question

I just got a notice from my property management company for a long-distance rental property I have that they are scheduling fall inspections. The inspections are $175. This is my first rental property (I purchased in June), and I was wondering if they should also be doing a semi-annual walkthrough that is part of the management fees I'm paying, or whether it's standard to just pay for the "more thorough" (i.e. they have a checklist) inspection that they do twice a year.

Steve Morris · Answer

I like they at least do annual walkthrus since tenants won't tell you about problems sometimes.

Gotta give them credit, first time I've heard them charge for it.

Peter Tverdov · Answer

Every company is different. We do 4 inspections per year (although we have paused them during COVID) and that is baked into our fee but there are PMs out there that charge for those inspections. They can get time consuming so I understand it.

Zachary Ray · Answer

Nathan G is right, please review the contract as every property management company determines what they are up charging or if they just have a percentage. Avoid companies that are raising the prices on maintenance mark ups, inspections, evictions and other services that they should be doing anyways.

Nathan Gesner · Answer

You should read the contract more closely because it sounds like you've been suckered in with a lower management fee and then they'll kill you with all the add-on fees. I've seen managers that offer a 6% management fee but then all their add-on fees actually make them more expensive than a 10% manager.

If they are truly managing your rental, that would include monitoring the condition with at least one inspection a year. I include two inspections a year for the rentals and only charge for additional inspections if the owner requests them.

Ken Swearengen · Answer

@Kathy Henley This is strictly an optional service they offer; from what I gathered with my contact the only other time they'll go into the property is if the resident reports a problem. We had an inspection completed as part of the sale back in June. I have repairs and maintenance built into my budget so I'm not worried about the cost, I just thought (perhaps wrongly) the most property management companies did a walk through as part of the 8% I'm paying them every month.

Kathy Henley · Answer

Did you talk about this before you signed a contract with the PM company? What is the purpose of the inspection? @Ken Swearengen Is it required by the city for safety, or something? Did someone inspected each unit in June?