How Much Do Property Managers Make

A job in property management is an excellent choice if you want to make money in real estate. In the real estate market, rental property management is a major player. The global market for this product will expand from $14.47 billion in 2018 to $22.04 billion in 2023, at a CAGR of 8.8%.

The United States, of course, remains the largest market and is expected to remain so for the foreseeable future. In the US housing market, you can expect a respectable compensation as a property manager.

Related: How Much Do Property Managers Charge

What is the Job of a Real Estate Manager?

Residential, commercial, and industrial properties all require the services of a property manager to keep them running well on a daily basis. As a result, these properties are well-maintained and their value is maintained. As a property manager, your responsibilities will include, but are not limited to, the following:

Do Property Managers Make a Good Living?

As of July 2019, the average annual income for a property manager in the United States was $54,183, according to Glassdoor, one of the largest employment and recruiting websites in the world. The typical salary range is $36k to $79k, with the lower end being less common. As you can see, salaries for property managers can vary substantially, despite the fact that their duties and obligations are the same. This is because of a number of variables, including:

As a property manager, how can you earn more money?

If you already manage rental properties and are concerned that your profits aren’t what they may be, the following suggestions will help:

1.   How Much Should I Charge My Customers?

One of the primary reasons newbies in real estate property management may not make as much money as they should is because they do not set the suitable price. It’s possible that charging too much will scare away potential customers. However, charging management fees that are below the market rate is not the solution and will not make you stand out.

It’s possible that you’ll gain a few more customers this way, but most property management companies rely on these fees to cover their costs. As your client base grows, the quality of your services will deteriorate as a result of offering a steep discount. This results in higher long-term costs for your business.

Property managers can avoid this by being realistic and conducting research. To obtain an idea of the going rate in your area, look into what other managers are charging in the area. The average property management cost is between 6 and 12 percent of the monthly rent, according to studies.

The number of units you manage, the number of buildings you own, and the services you provide are all important factors to consider. It is possible to establish a price that both attracts customers and provides a profit margin, allowing you to earn more money from managing rental homes.

2.   Take charge of properties that generate income.

If you’re new to the real estate sector, you might imagine that a property manager’s salary is directly proportional to the number of properties they oversee. Isn’t it logical that more properties means more sources of income? To a certain extent, yes The quality of the properties you manage is more important than the number of properties you own.

If you prioritise quantity above quality, you may find yourself managing assets that are more of a headache than they are worth. Your property management company’s profits will be maximised if you have more profitable doors under your control.

Data that reliably predicts rental income is used by property managers to estimate the profitability of rental properties. Using an investment property calculator like Mashvisor’s can help you gain this information. Pre-calculated estimates of similar rental income for key cities and neighbourhoods in the US housing market are provided by this tool. The only alternative is for you to perform your own research on rental pricing.

The Best Places to Work as a Property Manager

You may want to expand your horizons, even if it’s easier to manage rental houses close to you or in your local housing market. The spectrum of property manager salaries is strongly influenced by the location of rental properties. Real estate managers in the United States have more job options in some cities than others. In order to earn more, focus on managing properties in these areas.