While it may seem that selecting a property management company is the final step in the process of owning a rental property, there are still a few loose ends that must be taken care of. One thing that needs to happen after you have determined which company you would like to manage your rental property is selecting which program or tier of management you want.
At Rincon Property Management, we have different packages available for property owners to choose from. Below we share some of the key differences between our Full Service and Premium Service management programs.
Fee Structure Differences: Full Service vs. Premium Service
The Full Service and Premium Service programs come with different fee structures.
The leasing fee also differs depending on the program you select. The leasing fee is only charged while advertising the property to potential tenants. For Full Service, the leasing fee is 50% of one month’s rent, and is 30% of one month’s rent in the Premium Service program.
The maintenance coordination fee is based on vendor’s invoice totals, and comes out to 10% in Full Service. Premium Service does not come with a maintenance coordination fee.
Lease renewals happen annually. Once the lease has been renewed, the Full Service fee is priced at $195. The Premium Service program does not have a cost for lease renewals and negotiations.
SureVestor Insurance
Premium Service provides SureVestor policies that other programs, like our Full Service program, do not come with. SureVestor policies can include eviction coverage, which protects you from paying out of pocket for eviction costs. Eviction costs can include legal expenses, which can get expensive over time.
It can also come with lost rent coverage. Lost rent coverage helps to protect you financially from lost rental income. Though not common, this can be caused by a number of scenarios, such as a tenant being unable to pay rent, or a gap in between tenants.
Malicious tenant damage coverage is also provided in Premium Service. This protects property owners and their belongings from malicious damage caused by tenants. Full Service provides coverage in this area.
Lease break coverage is provided and helps protect the property owner in the event that a tenant breaks their lease, leaves before notice, or leaves unpaid rent. It can recover up to twelve weeks of rent.
The SureVestor policies may also cover reimbursement of lockboxes, re-keying of locks, and coverage of damage from a service animal.
These policies can be very beneficial to the property owner. While it isn’t a frequent occurrence to need legal defense or have a service animal damage a unit, in the event that it does, the coverage can make a big difference.
Scheduling and completion of maintenance & repairs
In Premium Service, the scheduling of maintenance and repairs is included. This does not include the cost for the maintenance, but rather the fee for coordination.
Full Service comes with a small, 10% coordination fee. The 10% fee is taken off of the invoice total.
You may want to select different programs based on the specific needs that you and your property have. In many cases, the additional coverage and guarantees are well-worth selected the more comprehensive tiers.
If you are interested in learning more about our pricing and viewing a side-by-side comparison of our programs, you can visit our pricing page, here.
