BREAKDOWN OF VARIOUS INDIANAPOLIS PROPERTY MANAGEMENT
FEES

Leasing Fee – Most management companies will charge you to lease the property.
These fees can vary from a flat-rate fee, or a percentage of the first month’s rent
– usually anywhere from 50%-100%).This fee compensates a management company
for its various marketing and Tenant screening efforts, as well as lease signing, move-in
coordination, etc.
Note: Some management companies will charge a reduced Leasing Fee, but
will then charge either set-up fees, marketing fees, or vacancy fees to makeup the difference.





Management Fee – As you might guess, a Management Fee is a fee management
companies charge for the day-to-day management of a property, including rent
collection, numerous Tenant relations issues and, maybe most importantly, being on
call to resolve issues at the property 24/7/365. Most management companies charge a
percentage of the monthly rent (anywhere from 8%-12%, usually) while others may
charge a flat management fee each month.
Renewal Fee – This is a fee a management company charges to renew a lease. Again,
this fee can vary from a flat charge, to a percentage of rent. Renewing a lease can be
very time consuming, so almost all management companies will charge this fee.
Set-Up Fee – Some companies will charge what is known as a set-up or onboarding
fee. This is typically a flat fee that covers the initial set-up of a property and
establishment of the partnership.
Marketing Fee – As you can probably guess, this is a fee some management
companies may charge for their various marketing efforts to get your home rented.
Vacancy Fee – This is a fee some companies charge to cover management activities
while your property is vacant.This is basically the equivalent to the management fee that
is collected when your home is occupied and bringing in


rent.
Mark-Up Fee – This is a fee some management companies will charge to coordinate
bill payments for its owners. It’s typically a percentage of the amount of the bill and can
include things such as HOA dues, utilities, or maintenance.
Project Management Fee – This fee works much like a mark-up fee, but typically
involves larger projects. This could be charged for a large turnover, a complicated
insurance job, etc. Generally, because more work is involved, a Project Management
Fee is more than a mark-up fee.
A QUICK BREAKDOWN OF T&H REALTY’S PROPERTY MANAGEMENT
FEES
First, I’d like to mention the fees that T&H does NOT charge.



No vacancy fees
No marketing fees
No set-up fees
If you’ve visited our Pricing Page, you know that we have 3 pricing plans:
1. Silver Plan: Leasing fee equal to one month’s rent* plus a 10% monthly management
fee
2. Gold Plan: Leasing fee equal to one month’s rent* plus an 11% monthly management
fee
3. Platinum Plan: Leasing Fee equal to one month’s rent* plus a 12% monthly
management fee.
*Our Leasing Fee is capped at $1,500.
We also charge a 10% Mark-Up Fee on any non-maintenance related bill that
we pay on your behalf and a $250 Renewal Fee for any lease that we renew
for a term 6 months or greater ($125 for less than 6 months).
Also, please note that we have a Vendor discount program in place, where we
keep any preferred discounts that our Vendors provide do to our volume of
business we provide.
WHY IS T&H REALTY WORTH PAYING MORE?
Good property management doesn’t just happen.
There are hundreds of moving parts, thousands of details and all these
surround very expensive assets that property managers are charged with
protecting.
Investors, rightfully so, expect property managers to communicate and handle
their assets with care.
With all these details, things can slip.
And when they do, these failures of the property manager can result in
financial damage to the investor Client.
So, to run a successful property management company – one in which both
the property management company and the investor are both profitable –
requires an extreme amount of work.
Here are a few reasons why we’re able to be successful, why our Clients are
generally successful and why we charge what we charge:
1. Experience – I was chatting with an investor the other day and he asked what I
considered to be the biggest differentiator to consider when hiring a Property Manager. I
responded that experience, in my opinion, mattered the most.Experience is important
for a few reasons.
First, every property manager out there will make mistakes. I’m not going to
pretend that we’re flawless, because that’s simply not the truth. However, an
experienced property manager should have detailed processes that they
develop, and continue develop, that will help prevent their Clients from
exposure due to sheer negligence or inexperience.
You are entrusting one of the largest assets to someone. That someone
should have a lot of
for a lot of reasons.
experience
At T&H, we have written processes for nearly everything we do. We’re talking
well in excess of 100 detailed processes that our employees use daily.
And, we’re always changing them. Always looking for better ways to do things
to benefit our Client experience. If something new comes along, we’ll write a
process for it.
2. Staffing – Having the right staff – and a large enough staff – is fundamental to being
successful. The number one reason property managers are fired is a lack of
communication. This is a direct result of not having the proper staffing in place.
Because, let’s face it, hiring people is expensive.When PMs cut fees to a minimum, and
create a false illusion that they’re a better value, it’s nearly impossible be profitable
without sacrificing staff.
We talk to investors nearly every day who are frustrated with their PM
because of communication. We’re almost always more expensive than their
current PM, but they understand the importance communication plays and
agree to our fees.
We employ a large staff – possibly the largest staff of any single family
property manager in Central Indiana. And that staff is loaded with experience
and, therefore, command higher salaries.
As a result, payroll is easily our largest expense, and it’s, well, large. So, we
do charge more, but our Clients enjoy the benefits of having a large and
experienced staff managing their property.
3. Marketing/Technology – Vacancy, as we always say, is a cash flow killer. Effective
rental marketing is a key to getting your home leased and generating income. As
we’ve discussed in other blogs, most PMs do a good job of advertising your property to
the top rental websites. The reality is that most property management software out there
will do this automatically.
Leads will, of course, start to come in.
And the key is what happens next.
In our experience, the vast majority of management companies do not have
the proper staffing in place to respond to these leads in a timely manner, if at
all.
So, if no one responds to the leads, your home will not rent NEARLY as
quickly as it should.
We employ someone full-time whose main job is to respond to every single
rental lead. We’re certain this plays a HUGE role in getting our properties
leased much faster than our collective competition.
In addition, we spend a lot of money each money utilizing dozens of Rently
boxes that allow Tenant prospects to view homes 12 hours per day, 365 days
a year. It’s not cheap, but the Rently system does rent houses more quickly,
saving our Clients a lot of money in vacancy costs.
T&H’S PROPERTY MANAGEMENT PRICING VERSUS THE
COMPETITION
While on paper it may seem like you will be spending more money on our
services, the example below shows how we might actually be saving you
money in the long run.
This example is based on a property that generates $1,000 in monthly rent on
our Silver Plan. While our initial Leasing Fee may be higher, we do not charge
a management fee on the first month’s rent, we do not charge any vacancy,
set-up, or marketing fees, and we typically lease homes around 21 days faster
than the competition.
What Are The Typical Property Management Fees Paid to the Management
Company?
1. Start-up Fee: Many companies charge a start-up fee ranging from $100 to several
hundred. This usually covers administrative time associated with getting your contract
processed and even an initial inspection. Since this fee can vary widely, be sure to
ask!
2. Monthly Management Fee: You can expect to pay between 8 to 12% of the monthly
rental income of the property. Depending on the rental amount, some companies may
instead charge a $100 or higher, per month flat rate. That said, confirm whether this
fee is on the rent collected or the rent due. If it is rent due, you may be paying them
even if the tenant isn’t paying rent.
3. Leasing Fee: Leasing fees cover the advertising costs and leasing agent commission
for them to show rent, and prepare paperwork for your tenants. You can expect to
pay around 50% up to a full month rent as a leasing fee.
4. Renewal Fee: A renewal fee helps cover administrative time in processing renewals
for your property. This includes but is not limited to market research, preparing
renewal offers, negotiating with tenants, and preparing new lease documents. That
said, they can range from $100 to several hundred dollars but are typically less than
one month’s rent.
5. Inspection Fees: Inspections are vital! Most companies charge a fee to send
technicians out for detailed move-out or periodic inspections.
6. Early Termination Fee: If you break a property management contract early, you will
often pay an early termination fee. This fee varies greatly from company to company,
so carefully read the terms of your agreement.
HONESTY, INTEGRITY, PRIDE OF WORKMANSHIP
Since our inception in 1982 we have been fortunate to have worked with leading organizations
across all real estate asset classes. Over 30 years of experience provides us with a unique
perspective to implement best practices on behalf of our clients to ensure a successful real estate
development and construction project.
We are able to provide a wide range of services, depending on the needs of the client. From
comprehensive services that see the project from initial idea through to completion, to a portion of
services that supplement a larger project.
PROPERTY BUYER SERVICES
MPM Real Estate Consultants offers bespoke buyer services especially in and around
Marbella. With our team of real estate consultants we give you advice to the highest
ethical standards. When an agreement has been reached our specialists coordinate the
legal process to complete the acquisition.
Essentially, we work with you to identify your aspirations, to get a sense of your current
needs and future lifestyle. We also do this to gain an understanding of more practical
matters, such as location, use for holidays or permanent residence, and the subtle
balance between buying a home and investing. We use our Property Profile Tool to
gather this detailed information and we work for you to find the best properties that meet
your needs. We will quickly schedule viewings from your short list of selected
properties, analyse the pros and cons, the locations and the mind-set of the selling
party.
Only when you, the client, is ready to take the next step, we will take action and discuss
with you the best purchase strategy. Then we can negotiate on your behalf, completely
managing the entire purchasing process. This approach saves you a lot of time and
money, and helps give peace of mind.
OUR BUYER SERVICES INCLUDE

Assistance to you, the client, during the entire purchasing process

The sourcing of properties that correspond to your requirements

Previewing of properties on your behalf, shortlisting the most suitable

Negotiation of the best possible price and terms with the Seller

Airport transfers and scheduling of other potential amenities

Full support from our lawyers, tax advisers, architects and valuers

Access to a range of luxury properties through our property network

Advice to the highest ethical standards
THE BUYING PROCESS IN 4 STEPS
STEP 1. FINDING THE BEST PROPERTY

Using our unique selection tool, your personal adviser will create a Property Profile
based on your requirements and preferences, according to the budget you have in mind.
Then a maximum of 7 properties will be presented in detail back to you within 10 days.
We can always adjust the Property Profile based on your initial feedback.

We will then make appointments for you to visit your preferred properties so that you can
make a well-informed decision.
STEP 2. HOLDING DEPOSIT


The purchase process begins by reserving the property and signing a Reservation
Contract. A deposit, usually 1%-2%, is payable at this time and is deemed part of the
purchase price and will be refunded to you in the event of any irregularities or failure to
meet any special conditions. If applicable an application for a mortgage should be
started at this time.
Our team of specialist advisers can provide a competitive quote to undertake any of the
formal procedures required during the process.
STEP 3. THE PRIVATE PURCHASE CONTRACT


After the lawyers have checked everything (legal due diligence) and agree on the
accuracy and completeness, the private Purchase Agreement is drawn up. It includes a
full description and the cadastral dimensions of the property, as stated in the property
and land register.
This is a legally binding agreement and requires a larger deposit, usually 10% for resale
and 20% for new developments, to be paid.
STEP 4. COMPLETION


The Purchase Contract also defines the additional terms and conditions of the purchase
and the date by which the remaining amount of the purchase prices must be paid at the
time of final transfer or the payment schedule for new developments.
To complete the purchase process all the main parties, together with the Notary, must
be present at the time of signing.
Congratulations! You’ve just bought your dream
home!
The average cost of property management is between 7% and 10% of the monthly
rent, according to Kevin Ortner, chief executive officer of Renters Warehouse — a
company that manages around 23,000 properties throughout the U.S. However, the
total rental property management cost you’ll incur may be higher if there are
any additional fees in the contract for things like evicting a tenant or contracting out
repairs.
How property management costs are billed
Costs can be percentage-based, billed at a flat fee or billed per project.



Percentage-based: a consistent percentage of the monthly rent
Flat fee: a consistent monthly rate regardless of services
Per project: a varying cost depending on the services performed during that
billing period
Ortner’s company, Renters Warehouse, uses a flat-fee model. Here are the property
management fees they charge in their Minneapolis, MN, market for a 12-month lease of
a single-family unit (fees are lower for multi-unit management):
While time is the main reason why investors decide to pay a rental management fee,
according to Ortner, you should make sure to ask the property management company
what fees to expect and how they’re billed before you hire a property manager.
Property management fee breakdown
Rental property management fees can vary quite heavily from one property
management company to the next. Here is a breakdown of property management fees
you should expect to pay:
Setup fee. This typically runs up to $300 and covers the time involved with setting up
a new account.
New tenant fee. For the time, effort and cost involved with signing a new tenant, you
may be charged anywhere from 25% to 100% of the first month’s rent.
Advertising fee. In addition to a new tenant fee, you may be charged around $100 to
$200 for advertising costs.
Lease renewal fee. If a tenant renews their lease, you may incur a cost up to $200.
But, some property management companies charge much less or nothing at all.
Vacancy fee. Most companies don’t charge for vacancies — it’s their job to find a
tenant — but some will charge around $50 a month for a vacant property.
Reserve fund fee. For a single-family home, this may be around $200 to $500. It’s
used to pay day-to-day expenses like bills and maintenance services.
Maintenance fee. These will vary based on the scope of the project. Ask if all
maintenance tasks are run through you first, or if only jobs over a certain amount
require your approval.
Eviction fee. You may be charged an hourly rate around $25 to $50 an hour or a flat
fee. Property managers will typically charge for serving the eviction notice, dealing with
attorneys, appearing in court and other services that take up their time.
Unpaid property management fee. Any past-due invoices for the monthly property
management cost may incur a small fee each day — typically around 1.5% of the
invoice.
Late service payment fee. Any property management services that aren’t paid for by
the due date may incur a fee ranging from 25% to 50%.
Bill payment fee. A property management company may handle your mortgage, HOA,
insurance or other regular home expense for a small fee.
Returned check fee. A bounced check from either you or the tenant may result in a
charge around $35.
In some cases, the actual rental property management cost may be much higher than
the standard monthly cost you’re initially quoted. Ortner says, “It’s important to know
what’s included for each fee and to ask, ‘What are they going to do for me for that fee?’
Because it might be worth paying for it if there’s some reasoning behind it.”
Choosing a property management company
Outsourcing property management gives investors a sense of freedom while “getting
time back,” according to Ortner. “And being able to spend that time doing the things
you want with the people you want to do them with.” Before you choose a property
manager, here is what you should know:
A lower cost isn’t always best. A lower upfront cost may reflect poor work quality or
more back-end fees or expenses.
All fees can be negotiated. Before making your decision, go through the property
management company’s fees and see if there’s room to negotiate certain items.
You can choose to manage some of the responsibilities yourself or hire a property
manager to handle all of the responsibilities. According to Ortner, the level of assistance
an investor pays for comes down to how involved they want to be. “It’s more of a
communication cadence — what kind of approvals are they going to see, or are they
just going to get a statement at the end of the month that shows what happened on
their property?” If you do decide to handle some or all of the landlord
responsibilities, Zillow Rental Manager provides online property management tools to
easily list your rental, screen applicants, manage tenants and collect rent — all in one
place.
For more articles, tips and trends about property management, property maintenance
and being a landlord, visit our Rental Resource Center.
1. Find a tenant
There are many ways to find a great tenant — try these tactics to fill your rental:
Advertise the property for rent. Write a rental ad, take photos of the interior and
exterior and market your property online.
Host a rental open house or schedule individual showings. Set an open
house date or schedule appointments with interested renters. Send reminders for
appointments, and make sure to give the current tenant advance notice (if the property
is occupied).
Send out applications. Invite interested renters to apply online and then see if they
meet your rental requirements. With Zillow Rental Manager, you can easily accept
applications online.
2. Screen tenants
Zillow Rental Manager makes screening tenants easy — and there’s no cost to you.
During the tenant screening process, you will:
Accept or deny rental applications. Be sure to comply with all applicable fair
housing laws, which prohibit discrimination based on race, color, nationality, age, sex,
familial status and other criteria.
Run a background check. This will show you the applicant’s rental and criminal
history.
Verify the applicant’s credit. In addition to a background check, you’ll also run
a credit check.
3. Sign a lease agreement with your tenant
Once you find an applicant who meets your qualifications, you’ll have them sign a lease
agreement. Here are the steps:





Create your lease.
Run the lease by a legal adviser.
Review the lease with your tenant.
Sign and date the lease with your tenant.
Provide your tenant with a copy of the lease and store your own copy securely.
4. Protect your tenant’s rights
Understand the rights that apply to your tenant once they sign a lease agreement:



Fair housing laws
State-specific tenant laws
Landlord repair obligations
5. Give tenants proper notice
You must notify your tenant about certain things, including:
When you need to enter the property. Whether it’s for routine maintenance, an
inspection or fixing a problem, you need to give your tenant notice if you’re planning to
enter the premises.
When you’re pursuing an eviction. Laws vary by state, but typically eviction
notices must be delivered to a tenant 30-60 days before an eviction.
If they must purchase renters insurance. Advise all tenants in advance if you are
requiring them to purchase renters insurance by their move-in date.
6. Provide a safe and habitable property
As a landlord, you should make sure:







All smoke and carbon monoxide detectors work.
There’s hot water and heat in the rental.
Proper safety equipment is available, such as a fire extinguisher or flotation device (if
you have a pool).
All locks are re-keyed before the tenant moves in.
The property is free from lead-based paint.
The property is free from mold, rodents, roaches or bedbugs.
The tenant knows about any other repair issues and when they’ll be resolved.
Property maintenance obligations
Maintaining your property doesn’t just help the tenant — it also preserves your
investment. Some benefits of regular maintenance include:




Increased or stable property value
Reduced tenant turnover
Reduced number of emergency repairs
Extended life for flooring, appliances and fixtures
Make sure your property is up to code and is inspected annually for any issues that may
not be easily identifiable. Here are the best practices for taking care of your property:
1. Perform routine maintenance
While it’s primarily the landlord’s responsibility to manage a property and ensure it’s
habitable, both you and your tenant can perform maintenance. Make sure to establish
who’s responsible for what in your lease agreement, and use a maintenance checklist to
track monthly, seasonal and yearly tasks.
Monthly tasks:



Check for pests and exterminate if necessary.
Test smoke and carbon monoxide detectors.
Check that fire extinguishers are in working order.
Seasonal tasks:




Check for water damage and leaks, especially after a rainy season.
Inspect the roof after heavy snow, hail or wind.
Clean the gutters.
Trim trees that are near structures, power lines or property lines.
Yearly tasks:



Examine shower caulking and grout between tiles to prevent mold.
Change filters in your forced air systems (do this twice a year).
Flush your water heater to remove sediment.
2. Handle emergency maintenance promptly
Some repairs require immediate attention. Handle these issues as soon as possible:




Broken furnace or heater
Gas leak or the smell of gas
Electrical issues
Water leaks

Clogged sewer lines
3. Supervise all hired personnel
If you’re handy, you may prefer to manage your rental property yourself — but some
states have laws dictating that electrical and plumbing work must be handled by
a professional. Whenever someone is performing maintenance, you need to ensure
they’re supervised. This includes:






Contractors
Vendors
Maintenance workers
Inspectors
Electricians
Plumbers
It’s important to respect your tenant’s privacy. Most states require a landlord to give at
least 24-48 hours of notice before entry, or a longer period specified in your lease or by
applicable laws. In the event of an emergency repair, you may not need to give notice,
or you may be able to provide notice afterward. Check your state’s landlord-tenant
laws for regulations about the management of properties.
Tenant management obligations
It’s important for a landlord to understand the basics of how to manage tenants. You
should dedicate time to keeping up with tenant requests and rental
property maintenance issues, along with your other landlording responsibilities.
1. Communicate with tenants regularly
Make sure you’re approachable and easy to reach. Tenants may have questions about
property rules or need subtle prompting to report minor issues. Communication and
flexibility go a long way in attracting and retaining quality tenants.
If you manage multiple units: Use a property management tool to keep track of
when you last communicated, as well as each tenant’s preferred method of
communication.
If you manage a single property: Calling or texting may be the easiest way to
manage a single unit. Just be sure to find out what the tenant prefers.
2. Respond promptly to repair requests
Not only is it your obligation under landlord-tenant laws, it’s crucial to maintaining your
investment. Fixing issues while they’re small can save money in the long run by
preventing larger problems. Your state’s landlord-tenant laws may even dictate how
quickly you need to respond to certain requests.
Minor issues: Many states allow up to 30 days to repair things like broken blinds or a
dead lightbulb.
Major issues: If the furnace goes out or there’s a water leak, you will likely have to
get it fixed as soon as possible.
3. Send rent reminders
This is one of the best property management tips for new landlords: give formal notice
when the rent is due. These reminders are helpful for the tenant, but they also help you
be clear and firm about your expectations. While you want to maintain a friendly
relationship with your renters and be considerate of extenuating circumstances, this is
your business.
If you manage multiple units: A property management tool can send out rent
reminder emails to each of your tenants. If you use Zillow Rental Manager to receive
payments from your tenant, the system automatically sends a reminder email a few
days before the rent is due.
If you manage a single unit: Consider setting up a recurring email to remind your
tenant their rent is due (three to five days before the deadline).
4. Ensure proper safety measures are taken
If you’re managing your own rental property, be sure to remind tenants to be safe
during inclement weather or when using the property’s amenities, such as a grill or
elevated porch. If there’s any large safety hazard, like a pool, make sure your lease
covers it.
In the summer: Send safety reminders for outdoor activities like barbecues or fires (if
you have a fire pit).
In the winter: Provide tips on how to avoid freezing pipes, and remind tenants to
watch for ice on walkways.
Rental property record keeping
One of the most important aspects of the management of properties is keeping a record
of landlord documents. Store all documents securely, and consider keeping paper or
digital backups. This will help avoid any liabilities and make sure you’re organized
during tax season.
1. Store proof of property and landlord insurance
This will protect your rental property from accidents and sudden loss due to a fire or
severe weather — and help protect your financial assets in the event of a liability claim.
If you’re going to manage property, you may want landlord insurance in addition to
your standard homeowners insurance. Depending on what your existing policy covers,
landlord insurance may cover additional costs associated with renting a property,
including:




Damages by tenants to the home’s structure
Legal costs in the event of a lawsuit or eviction
Medical expenses in the event of an accident
Loss of rental income if major repairs are needed
2. Keep a copy of all rental applications
Many states have laws about this. Regardless of the legal requirements, we recommend
keeping a copy of all applications (whether they were accepted or denied) for at least
four years. They will be useful if:
An applicant files a discrimination claim. You’ll need to prove that you didn’t
violate any fair housing laws when accepting or denying an applicant.
There’s a tenant emergency. Most applications contain an emergency contact
section.
To make it easier for you and your prospective tenants, consider having all interested
renters apply online — 58% of renters prefer to apply online according to Zillow Group
Consumer Housing Trends Report 2019 survey data2, and digital records are easy to
back up and print out if needed.
3. Securely store all rental lease agreements
Lease agreements hold you and your tenant accountable — and if you don’t have a
copy of the signed lease, it may be more difficult to settle disputes. Having a copy of
your lease agreement can help:





Protect you, the landlord, from additional liability.
Prevent confusion over the terms and rules of renting the property.
Ensure you and your tenant understand your responsibilities.
Protect your tenant’s rights.
Properly file a petition for eviction.
4. Keep a record of rent receipts
Some cities and states require landlords to provide rent receipts upon request. Even if
your area doesn’t, it’s a good idea to keep rent receipts, because they:



Show proof of payment.
Simplify your rental property bookkeeping.
Help minimize payment disputes.
5. Document your rental walkthrough checklists
During move-in and move-out, you should inspect the property with the tenant and
document the condition of the rental with a walkthrough checklist. Make a copy for
yourself and the tenant, so you can account for any new damage when they move out
and it’s time to return their security deposit. To complete the walkthrough:




Inspect each room and record anything that needs to be cleaned, painted, repaired or
replaced.
Track the cost of any repairs that are needed.
Write down what was discussed during the walkthrough.
Have all parties sign the tenant move-in checklist.
Rental property accounting
Managing your own rental property means you’ll also have to handle financial details.
Once you’ve set the rent price, you’ll need to know how to manage rental property
income and expenses. Rental property bookkeeping includes:
1. Collecting rent
There are many ways to collect rent, but doing it online is often easiest for you and
your tenant. In fact, 57% of renters say they want to pay rent online, but only 38% are
given the option3. In addition to collecting rent, you may have to:


Increase the rent price by a reasonable amount each year, if allowed by your lease.
Enforce late fees and collect late rent payments.
2. Managing security deposits
When you manage property, you also need to manage security deposits that you
choose to collect. Security deposits can help cover any damage or issues that are
captured in a tenant’s move-out checklist. To properly manage security deposits, you’ll
need to:



Securely store deposits while the tenant is renting your property.
Comply with state security deposit limits and return regulations.
Account for pet damages.
3. Filing taxes and reporting expenses
It may be beneficial to hire an accountant who can help you understand the tax rules
for rental property. They’ll help maximize your deductions and report your expenses.
Potential sources of rental income:


Monthly rent payments
Advance rent payments for future months
Common rental property expenses:








Landlord insurance for accidents, sudden loss and liability
Maintenance and repair
Rental licensing, mandatory inspections and annual registration fees
Property and rental income tax
Mortgage payments
Basic utilities like gas, electric and water
Property taxes
Marketing or advertising fees
Additional expenses to prepare for:



Bookkeeping or accounting fees
Property management fees (if you choose to hire a property manager)
Legal costs in the event of an eviction — you’ll have filing, court and lawyer fees
If you have more than one rental property, you may be required to complete additional
tax forms. Talk to an accounting professional to ensure your rental property income and
expenses are reported properly.
Those are the basics of how to manage property. For more articles and information on
being a landlord, visit our Rentals Resource Center.
Source:
1. Zillow Group Consumer Housing Trends Report 2018
2, 3. Zillow Group Consumer Housing Trends Report 2019 survey data