Hiring and Managing a Multifamily On-site Property Manager

• Act as your diplomat and public relations person.
• Have a dramatic and positive influence on community relations.
• Attract the type of resident you want to see in your property.
• Be your 24/7 eyes and ears.
• Increase leasing activity and,
• Give you peace of mind.

• Monthly salary: The monthly salary is a base pay commensurate with the duties required and the size of the property. The average market salary will most likely be in the range of $700-$1,200 per month.
• Rent Credit: Rather than pay your on-site manager a salary, their compensation comes in the form of free rent, or a credit for a portion of the normal monthly rent.

• New leases: Your on-site property manager receives a percentage of the monthly unit rent for all new leases signed as a result of their direct marketing efforts. For example if the unit rents for a monthly amount of $1,000 your manager will receive 30% of the monthly rental amount, or $300. This is a one-time fee.
• Lease renewals: Your on-site manager receives a set dollar amount per lease renewal. For example you might pay $125 for each lease renewal if the lease term is 12-months or greater. This is a one-time fee.
• Performance bonuses: Performance bonuses are especially useful if you own or have acquired a property with high vacancies. Your manager will receive an additional bonus if they meet a certain volume of new leases. For example, if your manager leases four or more units in a single month, you will pay the normal 30% of the monthly rental amount plus an additional 20% leasing bonus. Using the example above if a unit is rented for $1,000 you will pay a one-time bonus of 30% ($300) plus a bonus of 20% ($200) for each unit leased.

• Market research: Often an actively engaged on-site manager knows local leasing trends better than anybody else. Duties could include market rent research (what are other similar units commanding in rental amounts and can your rents be raised?); market amenities (what does the competition offer and can you do the same at your property?); or rental unit upgrades (what is your competition offering in order to attract your target renter?).
• Community relations: The duties could include hosting an annual resident barbeque or semi-annual resident get together (such as an ice cream social); publishing a bi-monthly apartment community newsletter; or designing a community flyer.
• Creative marketing: Your on-site manager can find new, previously overlooked avenues for reaching your target rental market.
• Property maintenance: If your on-site manager has handyman or construction skills why not pay him/her to handle the small maintenance items at a much lower rate than your traditional third party property management company charges?

• Answer calls, meet and greet residents, prospective residents and property inspectors.
• General office administration.
• Keep accurate up-to-date records of income and expenses from property operations.
• Submit timely expense reports.
• Inspect vacant units for make ready status.
• Synchronize the time clocks, turning backwards and forward as necessary. (This includes outdoor and indoor security lighting and sprinkler systems.)
• Check and maintain boiler water levels and oil pump monthly.
• Clean the laundry room, mail room and entryway a minimum of twice per week.
• Clean the property exterior and common grounds which includes: snow shoveling, plant watering and courtyard care.
• Pick up trash from the grounds regularly.
• Water, maintain and mow the lawns regularly during the season.
• Clean the common areas every three days or more often as needed or conditions warrant.
• Clean the common area windows and hall carpets as needed.
• Coordinate tenant service and maintenance requests.
• Communicate with residents in a responsive, positive and direct manner.
• Arrange for carpet layers, plumbers, electricians, appliance deliveries, etc. to get into the apartment units or building to repair items as well as meet with pest control people to spray the building.
• Show apartment units to prospective residents. Accept rental applications and non-refundable application fees and forward to owner or third-party management company.
• Travel to and be a liaison between property management office and community residents.
• Handle all unit make readies: This includes wall prep, paint and paint touch up, all cleaning and hauling including stoves and refrigerators, carpet shampooing if necessary, wall plate replacement, light carpentry, window repair, window coverings, small repairs, etc.
• The on-site manager with the exception of the application fee collects no money, checks, cash, money orders or any other form of payment. (It’s up to you whether you allow your manager to accept payments from your residents. As a rule of thumb, I, or my third party managers collect all funds at my properties.)