---
title: "How Much Are Property Management Fees?"
description: "What property managers charge, from the monthly rate to leasing and renewal fees, with sourced averages, real fee schedules and two calculators for quotes."
url: https://kihanmarketing.com/property-management-fees/
published: 2026-11-02
updated: 2026-11-02
author: "Kiran Dasgupta"
---

# How Much Are Property Management Fees?

By [Kiran Dasgupta](https://kihanmarketing.com/kiran/), Founder and Lead Strategist

![White rocking chairs and hanging ferns on the front porch of a rental house at sunset, overlooking wooded hills](https://kihanmarketing.com/media/brand/southern-porch-1900.webp)

How much are property management fees? NARPM, the trade group for residential managers, describes a usual monthly fee as [8% to 12% of collected rent](https://www.narpm.org/wp-content/uploads/2026/04/2026-04-10_narpm_ftc_anprm_comment_letter_final.pdf). In one [iPropertyManagement study of advertised fees](https://ipropertymanagement.com/research/average-property-management-fees), updated in September 2026, the average was 8.49%. Leasing, renewal and setup fees come on top, so quotes are hard to compare.

**Sound familiar?**

- One owner told the Better Business Bureau in 2025 that [the manager charged the lease renewal fee twice](https://www.bbb.org/us/va/henrico/profile/property-management/real-property-management-richmond-0603-63399797/complaints).
- An owner wrote on Trustpilot in October 2026 that [the manager charged for repairs the owner never approved](https://www.trustpilot.com/review/evernest.co). The owner says disputed charges kept showing up on later statements.
- Another owner wrote on Trustpilot in September 2026 that [a vendor billed the account of a vacant house](https://www.trustpilot.com/review/mynd.co?page=3). The owner says the manager then abandoned the vacant property.
- A first-time landlord wrote on CustomerLobby in 2014 that [the fee was 8% of rent, and then there were extra fees for everything else](https://www.customerlobby.com/reviews/30779/d-m-management/review/390661).

**Key takeaway**

The percent is only one line of the bill. Ask each manager for the monthly, leasing, renewal and setup fees, and the rent each is charged on. Add them into one year of cost on the same rent, then compare totals and services.

## How Much Are Property Management Fees?

Advertised percent fees average 8.49% of collected rent, and NARPM describes 8% to 12% as usual. Managers that charge a flat fee advertise an average of $101.04 per unit per month. Those are the two numbers owners need first.

**8% to 12%** of collected rent is the fee NARPM describes as typical.

[Source: NARPM letter to the FTC, April 2026](https://www.narpm.org/wp-content/uploads/2026/04/2026-04-10_narpm_ftc_anprm_comment_letter_final.pdf)

**8.49%** is the average advertised percent fee among companies that advertise one, in a sample of 722 branches in 31 states.

[Source: iPropertyManagement, September 2026](https://ipropertymanagement.com/research/average-property-management-fees)

**$101.04** is the average advertised flat fee per unit, per month, among companies that advertise one.

[Source: iPropertyManagement, September 2026](https://ipropertymanagement.com/research/average-property-management-fees)

NARPM's 8% to 12% comes from its April 2026 letter to the FTC. That is a view from a trade group for small and mid-size firms. It is not a survey.

The 8.49% counts listed fees. It is not what owners paid. The iPropertyManagement page, updated September 23, 2026, covers 722 branches from 669 companies. Listed rates ran from 3.75% to 14%. Listed flat fees ran from $49 to $250 per unit per month.

On a $3,000 rental, 8% of collected rent is $240 a month. At Bay Management Group, the monthly fee pays for routine tasks. Its page lists rent collection, owner payments, help with repairs, emergency calls, tenant contact and monthly statements. Good Life Management adds inspections and accounting. Confirm what your own quote covers.

## What Fees Do Property Managers Charge Besides the Monthly Fee?

Besides the monthly fee, managers may charge a leasing fee, a renewal fee, a setup fee and an inspection fee. The iPropertyManagement study lists an average for each. Some add charges when a unit sits empty or an agreement ends. The table shows averages from the iPropertyManagement study, updated September 2026. It also shows examples from two company fee pages, as of October 2026.

| Fee | What it pays for | Advertised average or published example | What to ask |
| --- | --- | --- | --- |
| Leasing or placement | Photos, marketing, showings, screening and the lease. | Advertised average [70.6% of rent when bundled with management, 81.8% when placement only](https://ipropertymanagement.com/research/average-property-management-fees) . Good Life Management: [25% of one month's rent](https://www.goodlifemgmt.com/?p=17253) . | Is it a percentage of one month's rent or of rent collected? What does it include? |
| Lease renewal | Rent review, new lease paperwork and tenant contact. | Advertised flat average [$231.77 per renewal](https://ipropertymanagement.com/research/average-property-management-fees) . Bay Management Group: [$299 flat in Baltimore](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/) . | Is it flat or a percentage? Is it charged every renewal? |
| Setup or onboarding | Opening the owner file and the first inspection. | Advertised average [$185.24 per contract](https://ipropertymanagement.com/research/average-property-management-fees) . Bay Management Group: [$99 one time in Baltimore, none in Philadelphia and Texas](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/) . | Is there one at all, and what does it cover? |
| Inspection | A visit with a written report. | Advertised average [$106.72 each](https://ipropertymanagement.com/research/average-property-management-fees) . | Are inspections already in the monthly fee? |
| Vacancy | A fee while no tenant pays rent. | Bay Management Group says [no management fee is charged while a property sits vacant](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/) . The iPropertyManagement study says vacancy fees may be charged. | Is any fee charged while the unit is empty? |
| Eviction | Handling a case and paying the court. | Bay Management Group lists [no service fee, with court filing costs at cost](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/) . | Is there a service fee, and who pays the court costs? |

Two cautions apply. First, the bases differ. For firms that place tenants and also manage, the iPropertyManagement study gives the placement average as a share of rent collected. Its Idaho sample gives a percent of the first month's rent. The study states no basis for the national placement-only average. The same rate can mean different bills.

Second, these averages have wide ranges. Listed placement fees ran from 6% to 150% of rent. Treat each average as a start for questions, not a price to expect.

[**Run a property management company?** Send the address of your website and we send back what it actually ranks for today, with the gaps marked.](https://kihanmarketing.com/marketing-audit/)

## Is the Fee Charged on Collected Rent or Scheduled Rent?

The fee is commonly stated on collected rent. That means the manager earns nothing on rent a tenant never pays. NARPM, iPropertyManagement and Bay Management Group all describe fees that way. The sample North Carolina REALTORS agreement, Form 401, bases the fee on [total gross rental income received](https://www.superiorschoolnc.com/wp-content/uploads/2022/07/401-Exclusive-Property-Management-Agreement-Long-Term-Rental-REV-7.2022-c.-7.2022-SAMPLE.pdf).

Bay Management Group puts it plainly: [monthly management is charged on rent it actually collects](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/). An unpaid month means no fee for that month. The same page says no fee is charged while a property sits vacant.

A missed month shows the difference. Take a $3,000 rental with an 8% fee, which matches Good Life Management's [published example](https://www.goodlifemgmt.com/?p=17253). Suppose the tenant pays 11 of 12 months.

| Fee basis | Rent counted for the year | Fee at 8% |
| --- | --- | --- |
| Collected rent | $33,000 | $2,640 |
| Scheduled rent (rent due) | $36,000 | $2,880 |
| Difference | One unpaid month | $240 |

With a scheduled-rent clause, the owner pays the manager for a month with no rent. So the wording matters more than the rate. Look for the word collected or received in the agreement. Ask the manager to point to it.

Not every page says it. Utopia Management's Las Vegas page lists [8% to 10% of monthly rent with no fee while vacant](https://utopiamanagement.com/how-much-does-property-management-cost-in-las-vegas). It does not state the base. If a fee page leaves the base out, ask in writing. Ask about placement fees separately, since they may use the first month's rent.

## Percentage or Flat Fee: Which Costs Less?

A flat fee costs less once rent passes a break-even point. A percent fee costs less below it. Divide the flat fee by the percent to find that rent. Using those averages, $101.04 divided by 8.49% is about $1,190 a month. Above that rent, the average flat fee is cheaper.

That result mixes two averages from different companies. Use it as a method, not a verdict. Run it with the two quotes you hold. A percent-based manager earns more when rent rises. A flat-fee manager earns the same either way. Mynd says that whether a property leases for [$2,000 a month or $5,000 a month, the monthly price is the same](https://www.mynd.co/property-management).

Flat fees also move by market and date. A March 2025 Mynd article described [flat pricing starting at $79 a month in select markets](https://www.mynd.co/knowledge-center/how-much-does-property-management-cost). Its Nashville page, dated November 2025, listed [$109 to $129 a month](https://www.mynd.co/knowledge-center/best-property-management-companies-nashville). Ask which market and date a flat price covers.

- **Percent of collected rent.** The fee rises and falls with the rent collected. So the manager shares the cost of a vacancy or a missed month. It suits lower rents or a unit that may sit empty.
- **Flat monthly fee.** One set price per unit, whatever the rent. It is easy to budget, and it gets cheaper per dollar of rent as rent climbs.
- **Leasing-only service.** The company finds and screens a tenant and stops there. The iPropertyManagement study's placement-only fee averages [81.8% of rent](https://ipropertymanagement.com/research/average-property-management-fees). It suits owners who run the property after move-in.

## What Does a Year of Property Management Cost?

On a $3,000 rental, a year of management costs about 5% to 13% of the year's rent. That range comes from the three published structures below. It depends on the fee model and on whether the year includes a new lease or a renewal. Each structure applies only to its own market and date. So this compares how fees are built, not which company is cheaper.

Rent is $3,000 a month for 12 months, all of it collected. The first column adds the leasing fee for placing a tenant. The second adds a renewal fee instead. Setup fees are none in all three.

| Structure and source | Monthly fee | Year with a new tenant | Year with a renewal |
| --- | --- | --- | --- |
| 8% of collected rent, leasing 25% of one month, renewal $195 ( [Good Life Management, San Diego, August 2026](https://www.goodlifemgmt.com/?p=17253) ) | $240 | $3,630 (10.1% of rent) | $3,075 (8.5% of rent) |
| 7% of collected rent, leasing 70% of the first month, renewal 10% of one month ( [Bay Management Group, Texas, October 2026](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/) ) | $210 | $4,620 (12.8% of rent) | $2,820 (7.8% of rent) |
| Flat $129 a month, leasing 50% of one month, renewal $299 ( [Mynd, Nashville, November 2025](https://www.mynd.co/knowledge-center/best-property-management-companies-nashville) ) | $129 | $3,048 (8.5% of rent) | $1,847 (5.1% of rent) |

Good Life Management's page lists its renewal fee at both $185 and $195 in different places. The table uses the higher one. Mynd's Nashville page gives a range, and the table uses the top of it. Use your own quotes in the calculators below.

**One-year management cost**

- Monthly rent
- Monthly fee percent (for example 8)
- One-time fees that year (leasing, renewal, setup)

The formula is monthly rent times 12 times the fee percent, plus the one-time fees. For a flat fee, enter its yearly total in the third box and 0 in the second.

**All-in cost as a percent of rent**

- Monthly rent
- Monthly fee percent (for example 8)
- One-time fees that year (leasing, renewal, setup)

The formula is the fee percent plus the one-time fees divided by a year of rent. This shows what a low rate really costs once leasing and renewal are added. For a flat fee, enter 0 in the second box and the year's flat fees plus one-time fees in the third.

## Do Property Managers Mark Up Maintenance?

Some managers mark up repairs and some do not, so ask before you sign. Two published fee schedules say they add none. Bay Management Group lists [no markup on maintenance or repair invoices](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/). Good Life Management says [it does not mark up maintenance invoices](https://www.goodlifemgmt.com/?p=17253). A [NorthPoint fee guide](https://northpointam.com/resources/property-management-fees) says some managers add a coordination fee on every invoice. It cites no survey, so treat it as a reason to ask, not a market norm.

The monthly fee may or may not already cover the coordination work. Bay Management Group says maintenance coordination is included in its monthly fee. Mynd says it passes on [volume discounts from a vendor or supplier](https://www.mynd.co/property-management) when it gets one.

The same questions protect you with any manager.

- Ask whether any markup or coordination fee is added to vendor invoices. Get the answer in the agreement.
- Ask for a copy of the vendor invoice with each charge. Then you can see the cost behind each line on your statement.
- Set a spending limit. Above it, the manager must ask you first. Ask what counts as an emergency that skips the call.
- Ask how repair money is held and who can approve spending from it.

## What Do Condos, Vacation Rentals and Commercial Buildings Cost to Manage?

A rented condo is charged like a rental house: a monthly fee that NARPM puts at 8% to 12% of collected rent, plus leasing and renewal fees. Vacation rental managers publish percent fees, such as 10% on Evolve's Core plan or 15% on Plus as of October 2026. For a commercial building, one 2017 REIT filing set the manager's fee at up to 3.0% of gross revenues received, or more if the lease allows.

### Condo property management fees

A condo owner who rents out the unit hires a rental manager just as a house owner does, so the same fee questions apply. The association dues are separate. The association pays its own manager. Access Management Group describes one model in which [the manager charges a set amount per home or per door each month](https://accessmgt.com/hoa-management-fees/). It also describes percent and base-plus-services models. Association fees vary, so ask the board what the dues cover.

### Vacation and short-term rental management fees

Vacation rental managers charge a share of revenue, and the rates can run higher than long-term rental fees. As of October 2026, Evolve publishes a [10% management fee on its Core plan and 15% on Plus](https://evolve.com/owner/vacation-rental-management-sb). Its Pro plan has a custom fee based on portfolio size. Its page says fees start once guests check in. It does not say what the fee is charged on, so ask for that.

Vacasa does not publish its own rate. As of October 2026, it says rates across the industry run [anywhere between 10% and 50% of your revenue](https://www.vacasa.com/property-management/vacation-rental-management-fees). On Airbnb, a host can pay a co-host in four ways: a cleaning fee, a percent, a fixed amount, or a cleaning fee plus a percent. The [Airbnb Help Center](https://www.airbnb.com/help/article/3389) lists them. It gives no standard rate.

### Commercial property management fees

One public example is a 2017 prospectus from Griffin Capital Essential Asset REIT II. The filing covers the case where the REIT contracts directly with its property manager. Then it would pay [up to 3.0%, or greater if the lease so allows, of gross revenues received](https://www.sec.gov/Archives/edgar/data/1600626/000160062617000085/gcear2-424b3xsept2017.htm), plus reimbursable costs. That is one disclosed fee in one filing, paid to an affiliate. It is not a market norm, so ask for the fee basis in writing.

## Are Property Management Fees Tax Deductible?

Yes, the IRS says management fees are a deductible expense for a residential rental. This is general information, not tax advice. Confirm your own case with a tax professional. [IRS Publication 527, Residential Rental Property](https://www.irs.gov/publications/p527), lists management fees among common rental expenses.

The [2025 Instructions for Schedule E](https://www.irs.gov/instructions/i1040se) say you can deduct ordinary and necessary expenses. They name taxes, interest, repairs, insurance and management fees. Both documents are for the 2025 tax year, and the rules can change.

Personal use limits the deduction. If you sometimes use the rental yourself, Publication 527 says to split expenses by the days of rental use and personal use. Your unit counts as a home if you use it yourself for more than a set number of days. That number is the greater of 14 days or 10% of the days it is rented at a fair price. Then your deductions may be limited. If you use the unit as a home and rent it for fewer than 15 days, those expenses are not rental expenses.

Keep your records. Monthly statements show each fee. The year-end statement gives the total. Ask a tax professional how to treat one-time costs such as leasing and setup fees.

## How Do You Compare Two Property Management Quotes?

Put both quotes on the same footing. Use the same rent, a full list of fees and the same year. Then compare the total and the services, not the headline rate. The steps below take about an hour.

1. **Get the full fee schedule in writing.** Ask for the monthly fee and the leasing, renewal, setup, inspection, vacancy and eviction charges. Ask about any fee on repairs too. A quote that gives only the rate is not a quote.
2. **Confirm the base.** Ask whether the monthly fee is on rent collected, received or due. Ask whether a fee applies while the unit is vacant.
3. **Price one full year.** Use the calculators above with your real rent. Count the leasing fee if you expect a new tenant and the renewal fee if you expect a renewal.
4. **Compare what the monthly fee covers.** Check inspections, statements, repair help and emergency calls. A lower rate with no inspections may cost more than a higher one that has them.
5. **Check the license.** Rules vary by state. Oregon, for one, also regulates unlicensed people who collect a fee to manage someone else's rental. Look up the manager on your state regulator's website.

Trust accounts deserve a question of their own. In Oregon, licensed managers must keep a clients' trust account. The Real Estate Agency says rent payments, non-refundable deposits and other fees [must run through this account](https://www.oregon.gov/rea/newsroom/Pages/2024-OREN-J/What-is-a-Clients-Trust-Account.aspx). Florida Realtors notes that a broker who collects rent for a landlord [must deposit those checks into an escrow account](https://floridarealtors.org/law-ethics/library/florida-escrow-laws-rules). It adds that not every setup needs one. Ask where your rent and deposits sit.

Before you sign, get each fee in writing with the rent it is charged on. Learn whether a fee applies while the unit is vacant. Ask what the agreement covers and how either side ends it. If you manage properties for owners, the next section covers how to publish your own fees.

## How Should a Property Management Company Publish Its Fees?

A company should publish one fee table. It should show each fee, the rent each is charged on and what the monthly fee covers. The iPropertyManagement study was built from [fees companies advertise](https://ipropertymanagement.com/research/average-property-management-fees). A company with no fee page is hard to compare with them.

Two published schedules show the pattern. Bay Management Group lists each fee by market, states the collected-rent basis and says what is not charged. Good Life Management gives a worked example on a $3,000 rental. The leasing fee is [about $750](https://www.goodlifemgmt.com/?p=17253) on that rent. Owners can check the math.

- Put each fee in one table: monthly, leasing, renewal, setup, inspection, vacancy and eviction.
- State the base, such as collected rent, next to each rate.
- List what the monthly fee covers and what is billed separately.
- Say whether you add anything to vendor invoices and state the approval limit for repairs.
- Date the page. Flat prices change by market and over time, as Mynd's pages show.

**Why take this from us**

Kiran Dasgupta, Founder and Lead Strategist, leads every engagement personally. Kihan Marketing builds websites and runs SEO for property managers. We do not manage property, so every fee figure here comes from a linked source, not our books. For property managers we built an AppFolio Listings Pro plugin and a chat leasing tool on the AppFolio API. For a Tacoma property management and real estate company, site traffic doubled over the four months we ran its SEO. Lead volume roughly doubled too.

A clear fee page also helps your other marketing. It fits with a site built for [owner leads](https://kihanmarketing.com/glossary/owner-leads/), covered in our guide to [property management owner leads](https://kihanmarketing.com/property-management-owner-leads/). If you are still setting your own rates, read how to [start a property management company](https://kihanmarketing.com/start-a-property-management-company/). For the page itself, see [property management website design](https://kihanmarketing.com/property-management-marketing/property-management-website-design/).

[Property Management MarketingSEO, websites, listing pages and owner-lead marketing for property managers.](https://kihanmarketing.com/property-management-marketing/)

## What to Do First

Do these three things this week. Owners need a phone and a simple sheet. Companies need an hour with their own fee list.

1. **Ask two managers for a written fee schedule.** Request each fee and the rent each is charged on. If a manager will not put it in writing, treat that as an answer.
2. **Price one year on your rent.** Enter each schedule into the calculators above. Compare the all-in percent and what the monthly fee covers.
3. **Ask the three questions that matter most.** Is the fee on collected rent? Is anything added to repair bills? What does the agreement cover, and how does either side end it?

If you run a company, do the same exercise on your own fees. Write down each charge and the rent it is based on. Then ask whether an owner could price a year from your website alone. If not, fix that first. Update the page when your fees change.

## FAQ: Property Management Fees

How much do property managers charge for rental properties?NARPM calls 8% to 12% of collected rent a usual monthly fee. Some charge a flat fee instead. In the iPropertyManagement study, updated September 2026, flat fees average [$101.04 per unit per month](https://ipropertymanagement.com/research/average-property-management-fees). Leasing, renewal and setup fees come on top, so price one full year before you compare. Is 10% a fair property management fee?Ten percent is inside the 8% to 12% of collected rent that NARPM calls typical. It is above the 8.49% average. Whether it is fair depends on what the monthly fee covers and what else is added. Price the full year before you decide. What is a property management leasing fee?A leasing fee, also called a placement fee, pays for photos, marketing, showings, screening and the lease. [Good Life Management publishes 25% of one month's rent](https://www.goodlifemgmt.com/?p=17253), and [Bay Management Group lists 70% of the first month's rent in Texas](https://www.baymgmtgroup.com/property-management-services/fees-and-rates/). Ask whether the fee uses one month's rent or rent collected. Can you negotiate property management fees?You can ask, and fees do differ between companies. The iPropertyManagement study found advertised rates from 3.75% to 14%. Ask about the monthly rate, the leasing fee and the renewal fee. Ask for a quote on a full year of rent. Do you pay a property management fee while the unit is vacant?It depends on the schedule. Bay Management Group and Utopia Management both say they charge no fee while a unit is vacant. The iPropertyManagement study says vacancy fees may be charged, so ask. What is a minimum monthly property management fee?A minimum monthly fee is a floor the manager charges when the percent comes out lower. Companies set their own, so ask whether one applies and at what rent it starts to matter. How much is an eviction fee?Companies set their own amounts. The iPropertyManagement study says eviction fees may be charged. Bay Management Group lists no service fee, with court filing costs charged at cost. Ask who pays the court costs. Who pays the property management fee, the owner or the tenant?The owner pays the management fee. Ask whether the agreement takes it from the rent collected. Tenants may also pay charges set in the lease. NARPM told the FTC that managers have no financial incentive to inflate tenant charges beyond actual costs and what the owner approved. How are property management fees calculated?A percent fee is the rent collected times the rate. On a $3,000 rental, 8% of collected rent is $240 for that month. A flat fee is one set price per unit. Leasing, renewal and setup fees are added when they happen. How much do property managers charge for vacation rentals?As of October 2026, Evolve publishes 10% on its Core plan and 15% on Plus. Vacasa says rates across the industry run anywhere between 10% and 50% of revenue. Ask what the rate is charged on. [**Want owners who search for fees to find your company?** Send the address of your site and we send back what it actually ranks for today, with the gaps marked.](https://kihanmarketing.com/marketing-audit/)