Property Management

Property management is getting paid to handle the headaches of rental property ownership so landlords do not have to. You collect rent, coordinate maintenance, handle tenant complaints, manage move-ins and move-outs, and serve as the point of contact for everything property-related. The standard fee is 8-12% of monthly rent collected, plus leasing fees (50-100% of one month's rent) for placing new tenants.

The math scales quickly. Manage 10 units averaging $1,500/month rent, and you earn $1,200-1,800/month in management fees plus $7,500-15,000/year in leasing fees. Manage 30-50 units and this is a full-time income. Many property managers start by managing their own rental properties, then offer services to other landlords in their area.

The work is reactive and sometimes unpleasant — midnight plumbing emergencies, difficult tenants, and landlords who expect miracles. But for organized people who can handle stress and have a network of reliable contractors, property management provides steady recurring income with a moat: once a landlord entrusts you with their property, they rarely switch managers. The retention in this business is exceptional.