What Is Your Birmingham Property Management Pricing?
Spencer Sutton here with gkhouses. And today, I’m going answer the question, “What is your Birmingham property management pricing?”
This is a question we get asked a lot.
Almost every single time someone calls us, they want to know, “What is your pricing?” And it makes sense, right?
So what I’ll do is I’ll describe or I’ll go through the pricing for our three plans: Gold plan, our Platinum plan, and then our Investor plan.
I’ll walk through each of those, features, benefits and then just wrap it up.
And if you have any kind of questions, don’t hesitate to reach out to us.
We’re happy to help, you can reach us by giving us a call, 205-940-6363 extension three, or filling out a form here on the website.
Our Gold pricing plan
So typically, I would say 70% to 80% of the time that we receive a house, it is vacant or somebody’s moving out of the house, so it needs to be evaluated.
The very first thing that we do on any of our plans is we come out and do a full walkthrough inspection.
We don’t charge for this.
There’s no cost for us coming out to your house and walking through the property because what that does is it enables us to give you a report that shows you the house is either rent-ready or it needs work.
So once the property is rent-ready, then we’re able to market it. We’re able to get it out there.
And we are very aggressive with this. We put it on our website, which gets a lot of traffic every month.
I mean, we get it out to many, many websites.
The whole goal is to generate traffic to your house and then to lead that traffic into filling out an application.
We know that if we can get several applications, then we’re going to find at least one really well-qualified tenant for your property.
So I won’t go into all the screening criteria, you could…there’s another video that talks all about how we screen tenants.
But once we find that tenant and get them to sign a lease, they pay a security deposit equal to one month’s rent, and then they pay their first month’s rent.
So the very first fee that you would see on the Gold Package is going to be called a leasing fee.
That is a one-time fee that we charge for finding that tenant.
We take that fee out of the tenant’s first-month rent and you will see that on your statement.
So the leasing fee, again, is a one-time fee for a brand new tenant.
Monthly Management Fee
Then the management fee for the Gold plan is $89 per month.
It’s just a flat fee. Doesn’t matter if you rent your house for $1,000 a month or $3,000 a month.
The pricing plan, it is what it is. It doesn’t cost more to manage a $3,000 house than it did a $1,500 house. So, why charge more?
In that Gold plan are all of our basic services, we have things like collecting rent from your tenant.
We also communicate exclusively with your tenant so that you don’t have to.
We’re going to ACH direct deposit funds to your account, to your bank account, on the second Friday of every month.
And we also send you an owner statement twice a month.
We will also handle any kind of work orders for you. So if the tenant says something’s is broken at the house, we will send one of our maintenance techs out to take care of that.
So those are the basic services in the Gold plan that you would have access to should you select that plan.
The next plan is the Platinum plan.
So the Platinum plan is kind of like the Cadillac of plans.
It has all the features, all the bells, and whistles. Most importantly, it is guaranteed rent.
So if you worry about a tenant getting in your home and then just not paying rent, and even a very well qualified tenant, this can happen too, right?
So if they lose their job, or if they have a personal crisis of some kind (it can be health-related, whatever the case) if something happens like that and they cannot afford to pay rent, if you’re on the Platinum plan, we will still pay you the same amount every single month.
You will still get rent. And then if we need to evict that tenant, we would still be paying you during those months.
Finally, once we took possession of the property, we would pay you for an additional three months or until we found another tenant for your home. Whichever comes first.
I mean, we’re even paying for the eviction, should it go that far. So we’re paying for court cost, set-out charges, attorney fees, things like that.
There is no leasing fee for this Platinum plan, but the management fee is more expensive.
And it starts at $199 per month, and it moves up kind of in tranches based on how much you rent your house for.
The more you rent your house, the more the management fee goes up.
I think for every $300 it increases, it goes up $20 a month. So again, we have details on that on our Birmingham pricing web page.
Additional Platinum Services
Also, with the Platinum plan, you get some optional services. We come in the home and do quarterly inspections.
So every quarter, we’re gonna come in, we’re gonna change air filters and we will check the batteries in your smoke detectors.
And then we will walk around the property and take pictures and send you a report. And that report is gonna let you know, “This is exactly how the tenant is taking care of the property.”
So also, in addition to that, we’re going to do heating and air inspection twice a year.
And once in the spring and once in the fall, we will perform preventative maintenance on your heating and air system.
Our goal is to keep you from having some type of an emergency call in the winter or in the summer.
That’s included in the Platinum plan. Now, those two additional services, you can add those to a Gold pricing plan if you want to.
They just cost a little bit extra, and on our pricing page you can see how much they cost, but those could be added to the Gold plan if you want to.
Then lastly, we have a lot of investors that buy houses in Birmingham and a lot of out-of-state investors.
The Investor Package
Hence, the leasing fee on the Investor Package is 50% of the first month’s rent.
We do have a minimum on all of our leasing fees of $500.
If you come into Birmingham and you’re buying some low-income property that’s going to rent for $650, that leasing fee is going to be $500. That’s our minimum.
But then we charge 8% management fee ongoing. That 8% is of rent collected, and even there we do have a minimum of $50. So that’s what it is.
It’s 50% leasing fee an 8% management fee, all of the same features that are in the Gold Package.
That basically explains our three pricing packages for Birmingham, the prices.
Like I said at the beginning of the video, if you have any questions don’t hesitate to reach out.
We’d love to help you.
And also, you know, we’re very, very familiar with all of the Birmingham markets. We were buying and selling houses here as real estate investors from 2003.
We can give you some insight as to how much a property that you’re trying to rent will rent for and then what areas are the best areas to buy based on your goals as well as your risk tolerance. There are areas that are much riskier than others in Birmingham.
So thanks so much.
Give us a call.
We look forward to hearing from you.