Sacramento fees for professional property management are different, depending on your property, your needs, and the property management company you choose to work with. When you are comparing companies and their fees, make sure you’re comparing services as well as costs. Regardless of the company or the way the fees are structured, most costs will break down into three different categories; leasing fees, management fees, and additional fees.
Leasing Fees
Leasing fees are paid by Sacramento landlords to find, screen, and place a qualified tenant in the rental property. Most management companies will charge a percentage of the first month’s rent for this service. At Titan Property Management, we charge a fee of 40 percent of the first month’s rent. This will cover our advertising costs, the time it takes to show your property and answer questions from potential tenants, and the screening and placement process. The end result is a great tenant who will pay rent on time, take good care of the home, and follow the terms of your lease.
Management Fees
The leasing fee is a one-time fee for landlords, and the management fee is what you’ll pay every month for the ongoing care and protection of your property. It covers everything from rent collection to serving notices to managing your security deposit and responding to tenant problems. A Sacramento property management company will usually charge a percentage of the monthly rent, and others will have a flat fee. At Titan, our management fee is 6 percent of the monthly rental income, which is competitive for this market. Usually, this fee is deducted from the rent before it’s deposited into your account.
Additional Management Fees
While the leasing fee and the management fee are the most common costs that you’ll have to expect from your management company, other fees are often involved. We charge an additional fee for lease renewals, rental house inspections, and for maintenance, because those tasks require attention and time that goes beyond the general scope of what our monthly management fee covers. Other companies will have separate fees too for any number of different things. Make sure you understand exactly what your costs will be prior to signing a management agreement.
If you have any questions about property management fees and the costs for which you should be prepared, please contact us at Titan Property Management. We’d be happy to tell you more.
