STR property management fees?

Question

What is a reasonable fee for STR property management?

NY investor that has 3 STR properties in Stratton, VT struggling to get a good property management company without killing my profits?

Luke Carl · Answer

Anywhere from 10 to 40 percent. But the 10 percent place will have much lower occupancy and you’ll have to do half the work. no matter who you choose it’s likely a break even situation. But that may work for you especially if it’s an expensive property. Nothing wrong with a free million dollar house. My short terms will gross over 800k this year. If I were paying a manager 25% thats $200,000 to do what a couple of softwares can do for next to nothing.

Which is exactly why everyone on this forum is a “self manager”

Paul Sandhu · Answer

Anywhere from 10 to 40 percent.  Your net return will be like a LTR.  The property manager is the one making the big bucks.

Bruce Woodruff · Answer

If you can, self manage, otherwise there goes the benefit of STRs....

I stayed in a neat STR in Scottsdale a while back and the owners were in Quebec, we had some nice chats about the area over the phone....didn't matter that they weren't local. In one of my places, I never see the guests even thought I am 30 minutes away.....

John Underwood · Answer

They want a ridiculous amount for something you can easily self manage from your phone.

John Underwood · Answer

They take their cut from gross income. Crazy right!

Paul Sandhu · Answer

That puts it in the ballpark, at least with my numbers.  A real estate company offered to manage my STRs for 30% of revenue.  If I did, they couldn't get the number of bookings I do and I'd be paying them 30%

Don Konipol · Answer

@Paul Sandhu

So, are you saying:  Net Income of STR  MINUS Property Management Fee EQUALS Net Income of LTR?

STR property management fees?

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