Typical property management terms

[THR]

Hi all,

My very first post as I have just bought my very first property (as an investment property). I've read many of the posts in the forum (and find you all very informative) but just have a very general question with regards to normal property management terms.

Any ideas as to what are "reasonable" property management terms and to what extent terms are negotiable?

I have been offered terms of 5.5% management fee, plus what would seem to be standard terms of one weeks rent for a six month tenancy, and two weeks rent for a 12 month tenancy. This is from the agency I bought the property from (and I find them generally good).

There are a few additional fees – such as a monthly maintenance fee, and some one off initial fees (all in all they will amount to less than $150).

I will only have a single property so can't negotiate with them on scale. They seem like a good company; so I'm not purely looking to beat them down on price.

Any thoughts welcome!

 

[tobe]

Its all negotiable.
Id suggest deleting the releting fee at least, and perhaps some of the other sundry fees they like to slip in.
Id also review the length of the terms.

 

[rawna]

Not only the fees, you have to negotiate the terms/condition as well.

For example if pear shape, you can give termination notice not more than 30 days.
Repair more than $100 require approval from owner. etc