Property management companies, explained and compared.
A property manager rents out and looks after your property for a monthly fee. Here is what the job covers, what it costs and how to choose a company, before you compare the ones in your city.
What a property manager does.
Markets the rental
Photos, listings on the rental sites, and showings.
Screens tenants
Credit, income, rental history and background, within fair housing rules.
Signs the lease
Drafts the lease, collects the deposit and holds it as your state requires.
Collects the rent
Monthly collection, late notices, and your payout by direct deposit.
Handles repairs
A line for tenants day and night, vetted vendors, your approval above a set amount.
Inspects the property
Move-in, move-out and periodic visits, with photos.
Keeps the books
Monthly statements and the year-end documents for your taxes.
Deals with evictions
Notices, court filings with an attorney, and compliance with local law.
Manage it yourself, or hire a manager?
You can manage it yourself if
- You live near the property
- You own one or two units
- You have time for calls, repairs and showings
- You know your state's landlord and tenant rules
Hire a property manager if
- You live far from the property, or abroad
- You own several units
- Your time is worth more than the fee
- You want someone else to handle late rent and evictions
What a property manager charges.
| Fee | Typical range | When you pay it |
|---|---|---|
| Monthly management fee | 8 to 12% of rent collected, or a flat $100 to $200 | Every month the unit is rented |
| Leasing fee | Half to one month of rent | Each time a new tenant signs |
| Lease renewal fee | $0 to $300 | When a tenant renews |
| Maintenance markup | 0 to 10% of vendor invoices | With each repair |
| Setup fee | $0 to $300 | Once, at the start |
| Eviction handling | $200 to $500, plus court and attorney costs | Only if it happens |
Typical US ranges. Every company listed on WayImmo shows its own fee schedule.
The full guide to property management feesEstimate for your rental
About $2,304 to $3,456 a year, plus a leasing fee when a new tenant signs.
How to choose a property manager: seven checks.
Check the license
Most states require a real estate broker license or a property management license. Look the company up with your state's real estate commission.
Ask What is your license number, and who is the broker of record?
Compare the whole fee schedule
Two companies at 10% can differ by hundreds of dollars a year once leasing, renewal and markups are added.
Ask Is your percentage charged on rent collected, or on rent due?
Read the management agreement
Look at the length of the contract, the notice to end it and any termination fee.
Ask Can I leave with 30 days' notice, without a penalty?
Ask how tenants are screened
Written criteria, applied the same way to every applicant, protect you from bad tenants and from fair housing claims.
Ask What are your income and credit criteria?
Ask for the numbers
Days to rent a vacant unit, eviction rate, share of rent collected on time: a good manager knows them.
Ask How long did your last ten vacancies take to fill?
Understand how repairs work
In-house staff or outside vendors, markup on invoices, and what they can spend without calling you.
Ask What is your spending limit before you need my approval?
Read reviews from owners
Tenants review the service, owners review the manager. WayImmo publishes reviews sent from a confirmed professional email address only.
Ask Can I speak to two owners you work for?
Property managers, state by state.
All 48 states
Guides on property management.
Property management fees, explained
Every fee on the schedule, and what is normal.
The best property management companies
The national ranking, by WayImmo score.
What a property manager does, in detail
Their duties, month by month.
The management agreement
The clauses to read before you sign.
Flat-fee and online property managers
How they work, and who they suit.
Landlord insurance
What it covers once you rent the place out.
Questions owners ask.
How much does a property manager cost?
Most charge 8 to 12% of the monthly rent, plus a leasing fee of half to one month of rent each time a new tenant signs. On a rent of $2,000, that is $160 to $240 a month.
What does a property manager do?
They advertise the rental, screen tenants, sign the lease, collect the rent, handle repairs and send you statements. If a tenant stops paying, they handle the notices and the eviction.
Is a property manager worth it?
It usually is when you live far from the property, own several units or lack the time. Owners who live nearby, have one unit and time to spare often manage it themselves.
Do property managers need a license?
In most states, yes: a real estate broker license or a dedicated property management license. The rules vary by state, so check with your state's real estate commission.
Can I change property managers?
Yes. Your management agreement sets the notice period, usually 30 to 60 days, and sometimes a termination fee. The new manager takes over the leases, the deposits and the keys.
How is a property manager different from an HOA manager?
A property manager works for one owner and looks after rentals. An HOA manager works for an association and looks after the shared parts of a community.
Compare the property managers of your city.
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