Property Manager Compensation

[Marcela Hoag]

Hi everyone,

As my rental business expands, I'd like to ensure we're scaling properly by hiring property managers in the future. My husband and I are thinking of moving out of state, which would make this an absolute necessity. 

My question is have any of you tried alternative methods of compensating property managers, besides the usual % of rent? E.g. Giving a stake in your real estate? Something else to ensure reliable management of properties? I'd love to hear about your different compensation strategies! 

Thanks in advance!

- Marcela

[Matthew Irish-Jones]

Quote from @Marcela Hoag:

Hi everyone,

As my rental business expands, I'd like to ensure we're scaling properly by hiring property managers in the future. My husband and I are thinking of moving out of state, which would make this an absolute necessity. 

My question is have any of you tried alternative methods of compensating property managers, besides the usual % of rent? E.g. Giving a stake in your real estate? Something else to ensure reliable management of properties? I'd love to hear about your different compensation strategies! 

Thanks in advance!

- Marcela

We don't negotiate our fee's, but we do offer discounts for Class A properties, multiple units in one building, and large portfolio's.  

We have flat fee pricing that is paid every month whether the place is vacant or not for high risk D and F class rentals.   We do no negotiating on those types of units, and refuse many of them.