A: There are three major fees involved in property management: the procurement or leasing fee, the management fee, and the renewal fee.
The management fee is a monthly fee (10% of your monthly rent or a minimum of $100) that covers the day-to-day activities of managing your rental property. These expenses include Appfolio account management, financial accounting, maintenance management, account administration, tenant communications, and office expenses.
The renewal fee of $150 covers the basic expenses of renewing a lease with an existing tenant. Included in this fee is the lease renewal prep fee to attorney, a property inspection, and admistrative processing.
Other common fees include:
- Property Condition Report: Property inspections are for the benefit and protection of both the owner and tenant. A third party property inspection with photos is performed upon tenant move-in and move-out.
- Property Re-key: Properties are rekeyed at the beginning of the management agreement and at each tenant turnover to protect owners and tenants by limiting unauthorized access to the property.
- Maintenance Oversight: This fee is applied if maintenance, repairs, or other work at the property requires broker agent oversight because either a.) tenant cannot be present at time of maintenance appointment or b.) upon landlord request. The party held responsible for the fee will depend upon the nature of the request.