Property Management style and fees
Hello all,
Have a question maybe some on here have seen or has knowledge about concerning Property Management in Ontario Canada.
We currently personally own and operate 14 units ourselves and take care of a few places for family and friends. Lately there has been several people contact us to see if we could manage their properties as well and we are looking at forming a corporation to start a Property Management company.
As far as fees instead of the customary % of rent along with extra fees our current plan is to guarantee the customer (owner) a fixed amount per month and any extra income would be our fee. ie: guarantee owner a fixed amount of say $1000 and rent property for $1300. From several people we talked to they seemed to like this idea as they'd have their expenses plus covered and not have any worries about thier property or rent being paid.
Question is with Ontario having the tenant friendly laws they do could operating this way be against any rules? Only one that comes to mind is if they would consider this as subletting and charging more for rent.
Any thoughts are appreciated :)