Discount Orlando Property Management, Why Pay More? By an Orlando Property Manager


If you’ve come across this article, you’re likely a real estate investor, a homeowner looking to rent out your primary property, a newbie in the industry or seasoned vet simply searching for a new property management provider to manage for your real estate portfolio. You may be wondering what does an Orlando property manager do? Why is this Orlando property management company charging x% a month, and Cheap-o-Property management charging a monthly flat rate? I can find a tenant myself, why should we pay our Orlando property managers 75% to 100% of one month’s rent for finding a tenant? The short answer is simple; you get what you pay for — or not paying for it at all.

 Whether you’re a seasoned investor or just looking to rent out your home while you’re relocating for work, your real estate rental property in Orlando, Florida is likely one of your most significant purchases ever made. Using a reputable, quality Orlando property manager will prove key to your success. If your Orlando property management company is running on a cheap flat monthly rate, your likely going to experience hidden fees charged to your account every month and a property slowly spinning into distress. If you think about it, you may be paying your lawn or pool service provider more monthly than your property manager, who’s handling your $100,000, $1,000,000 or $10,000,000 million dollar plus asset/assets.

Discount Management Providers “Story”


A few months back, we had a property owner reach out to us in a world of hurt. He wanted to switch Orlando property management providers to The Listing Real Estate Management for his single-family home in Orlando, but he didn’t know how to change property management providers, and he lived across the country. He expressed he’d been with his provider for many years (a low flat fee property management provider), and everything had been fine… until it wasn’t. The kicker in his particular situation is that he hadn’t received his rental income for his tenant-occupied property for the last eight months. His manager began dodging his calls and actually ended up closing up shop and jumping to a new property management firm. In despair, he had to travel across the country just to verify his tenant was still residing in the home. He still wasn’t able to locate his property manager, but while in town, he signed a new management agreement with The Listing Real Estate Management, and the following month he was receiving his rental payments like clockwork. Paying a higher percentage for a quality Orlando property management company will only provide your assets with much more attention and ensure your rental property is running efficiently.

It’s important to note, what you’ll be paying your property manager will vary depending on what services you desire or require, and the type of property you are having managed. Here are some standard fee structures in Orlando and Central Florida.

Percentage Rate Fee, Investor Rates & Flat Fee Rates


Percentage of monthly rent: If you choose to employ a property management company in Orlando, Florida, on a full-service basis, you’ll most likely be charged a percentage of the monthly rent on your property. This can range anywhere from 5-15%, with 8-10% being the most common. Under this fee structure, if your unit is not occupied, you won’t be charged.

Yes, a 10% monthly management fee equaling $150, $200, or even $300 plus dollars a month might seem high compared to a $75, $80 or $99 per month flat-fee. However, paying a percentage based management fee has its advantages for your long-term success. For example, at renewal time the property manager will want to renew with the tenant at a higher rate. There is more incentive for him to lease it at a higher price because not only will you see an increase in income, they’ll also bring in more the following year as well. Also, a percentage based fee will encompass more services. Paying a cheap flat monthly fee will include very little.

Real Estate Investor Rates: For larger buildings, property managers can often charge a flat fee per month, regardless of how many units are leased at any given time. This structure is typically for (50-100+ Units). Property managers typically work on a flat-fee basis when the property manager is managing numerous units at one building. Multi-family property management in Orlando can be beneficial for larger-scale real estate investors. In Orlando Florida multi-family property management or apartment property management in Orlando Florida can be both flat-rate fee or percentage-based, depending on how many units managed.

Flat Fee or Discount Property Management: Flat fee property management or a heavily discounted real estate brokerage will likely end up costing just as much in the long run as a percentage based property management company. When we talk with owners the thought behind it is – “well if I pay less in property management, I will profit more on a monthly basis.” That can be true, although there are many negative aspects of using a cheap and or flat-fee property management provider. Your property can be neglected or overlooked. If your property is being neglected, your asset is depreciating when in reality, it should be appreciating.

Imagine this. You are at home sitting on the couch. It’s Superbowl Sunday and the games about to start. You hear a “pop,” and the power goes out. You are understandably rattled and call an electrician. He shows up, and it’s as easy as resetting the GFCI. He didn’t do anything; nothing was repaired, but your hit with a $65 to $85 trip charge. You just paid the electrician almost as much or even more than your flat-fee property manager.

When choosing a cheap flat-fee management service provider, you’ll likely see additional monthly charges on your rental owner statements like trip charges, startup fees, or your asset may not be getting the attention it deserves.

Questions to Ask?

Many Orlando property management companies vary in their fee structure, so it is important to be well informed on what is included. Important fee questions to ask:

  • Why do they charge the way they do?
  • What is included in their service?
  • Do they charge a lease renewal fee?
  • What is included in their flat-fee Orlando property management?
  • Do they charge for periodic Orlando rental property inspections?
  • Do they charge a rental property marketing fee or startup fee?

Orlando Property Management Conclusion.


So, is trying to save a buck worth it? Again, the short answer is: “You Get What You Pay For.” When searching for a highly reputable Orlando property manager, make sure you are fully aware of what is included in their service. We recommend using a property management company in Orlando that is transparent with their service pricing. Here at The Listing Real Estate Management we have a very simple fee structure and display it on our website.

If you have any questions or would like to connect with us, feel free to reach out. We are here as a resource for you.

The Listing Real Estate Management

Your Guide to a Successful Rental Experience.

We’ve helped thousands of Orlando and Central Florida landlords, rental owners, and real estate investors with successful rental management for 15+ years. Your investment is in good hands here at The Listing Real Estate Management.

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