Many property management companies in Dallas vary when building a price structure for their services. Typically most property management companies will have a monthly fee based on the amount of proposed rent the company is renting the property for.
The Monthly Rental Fee
This fee varies in range based on how many additional fees the companies charge. Some companies can offer a low percentage around 5%, but have additional maintenance fees, administration fees, or policy enforcement fees (like eviction processes, etc.). Be sure to read the fine print because these additional fees can get expensive.
Maintenance Fees
Management companies do not cover maintenance fees out of pocket, those expenses are passed on to the home owner. If the maintenance required is due to the tenants, that cost can be all or partially absorbed by the deposit collected at the beginning. Most management companies contract or employ maintenance crews to conduct any needed repairs. This keeps the cost low for the home-owner in the event something needs to be fixed.
Be sure you are not paying any maintenance coordination fees which come directly from the Property Management Company.
Legal Fees
Dallas Property Management companies typically handle any legal issues, like evictions, Regulation Enforcement, and more. These processes can be exceptionally time consuming and worrisome to the home-owner, and having experts to help in these matters is paramount.
Most property owners will never have to experience an eviction, but if your management company passes the legal fees on to you, then it could be very expensive indeed. Make sure you’re protected and your management company covers these costs.
Contracts
If a management company forces you to sign a contract, they may not have any of this coverage built in. Breaking a contract can get expensive, so why not let a management company prove their worth every single month instead of being forced into a long-term obligation? Make sure to read the fine print before you sign.
If your monthly expenses are eating away at your rental payments, then you may need to re-evaluate your management company. Remember, low-cost doesn’t always mean low-cost in the long run, but it does usually mean cheap.
