If you’re a property owner considering hiring a property manager in Baton Rouge, you may wonder how much property managers charge?
While no set fee or commission rate applies to all property managers in Baton Rouge, certain factors can influence the cost of their services.
Common Fee Structures
Property management companies in Baton Rouge typically offer several fee structures, including:
Percentage of Rent
This is a typical fee structure where property managers charge a rate (usually 8% to 15%) of the monthly rent. Yes, we did some secret shopping before setting our fees and we received a proposal with 15%!! Smith Hearn’s management fee is 8% of the monthly rent.
Flat Monthly Fee
Some companies charge a fixed monthly fee regardless of the rent amount. At Smith Hearn, if we manage four (4) or more properties for one owner, we charge a flat fee of $125/door.
Leasing Fee
This one-time fee for finding and placing a tenant can range from 50% to 100% of the first month’s rent. Smith Hearn Property Management charges 70% of the first month’s rent to place a tenant.
Vacancy Fee
A flat fee charged while the property is vacant, typically equal to one month’s rent. Some property management companies charge $50 a month to manage a vacant property. Smith Hearn Property Management doesn’t charge a vacancy fee.
Besides management fees, you may also encounter additional costs associated with hiring a property manager in Phoenix. These costs can include:
Maintenance and Repairs: If your property requires repairs or maintenance, you will be responsible for covering these costs in addition to the management fees. Smith Hearn doesn’t markup maintenance at all. Many management companies will markup maintenance 10-20%.
Marketing Expenses: Some companies may charge a marketing fee for advertising and promoting your property. With Smith Hearn Property Management this fee is included in placing a tenant.
Eviction Fees: In the event of an eviction, you may incur additional fees for legal services and court costs. Again, if the eviction costs $250 we only charge our owners $250.
Negotiating Property Management Fees
When considering hiring a property manager in Baton Rouge, you should know that fees are often negotiable. You can discuss your needs and budget with the property management company to determine a fair fee structure.
It’s always wise to get estimates from several property management companies before making your final decision. You’ll get an idea of the going rate in the market and a better understanding of the services and value available.
Consider the benefits of long-term contracts. Some companies may offer discounted rates if you commit to a long-term agreement or if you have numerous properties managed.
Carefully review the contract and ask questions to ensure no hidden fees or additional charges, such as maintenance markups. Smith Hearn Property Management prides itself in having a 100% transparent pricing model.
Choosing the Right Management Company
Smith Hearn Property Management is a trusted and reputable property management company in Baton Rouge. With years of experience, we offer a range of services tailored to fit the needs of individual landlords and their properties.
Some benefits of working with Smith Hearn include:
Transparent Pricing: Our fee structure is straightforward and transparent, with no hidden fees.
Full-Service Management: We offer comprehensive property management services, including marketing, tenant screening, rent collection, and maintenance coordination.
Expertise and Experience: With years in the industry, we have a proven track record of successful property management and satisfied clients.
Excellent Communication: Clients can expect open and frequent communication from the team at Smith Hearn regarding their property.
Smith Hearn Property Management provides high-quality property management services at a reasonable cost for landlords in Baton Rouge. Contact us today to learn more about how we can help you manage your rental property efficiently and cost-effectively.