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From: Glenn M
Do you think it is justified in Real Estate Property Managers charging say 7% of the RENT earned?
Let me explain....say I have a couple of properties, one rented at $693 per month ($160 per year) and another at $1,733 per month ($400 per year).
Thus the Management fees would be per annum:
Property 1 $8,320 X 7% = $582.4
Property 2 $20,800 X 7% = $1,456
Now, from previous experience, the Real Estate Agency does not spend any additional time on one of the properties compared to the other and the service is exactly the same.
So the question, should Real Estate Property Management Agents be charging a sliding fee scale...or a flat fee per mth per property regardless of rent being earned?
GlennM.
Do you think it is justified in Real Estate Property Managers charging say 7% of the RENT earned?
Let me explain....say I have a couple of properties, one rented at $693 per month ($160 per year) and another at $1,733 per month ($400 per year).
Thus the Management fees would be per annum:
Property 1 $8,320 X 7% = $582.4
Property 2 $20,800 X 7% = $1,456
Now, from previous experience, the Real Estate Agency does not spend any additional time on one of the properties compared to the other and the service is exactly the same.
So the question, should Real Estate Property Management Agents be charging a sliding fee scale...or a flat fee per mth per property regardless of rent being earned?
GlennM.
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