Pricing Management Properly

Per-unit fees, call-out costs and the margin most managers miss

A property management business behaves like a subscription rather than a sale, and pricing it properly is what leaves you a margin. This book shows you how. It explains the numbers that matter in a recurring-revenue service business, and how to research what landlords in your area currently pay and how competitors present their fees. You will learn to close the gap between the income a management business appears to earn and the income it actually banks, and to count the costs new managers undervalue, starting with their phone and their own time. The model is stress-tested for the bad month, the void and the rate rise. A complete worked portfolio, invented purely to teach the arithmetic, brings the method together, and the final chapter helps you build a calculator that prices a portfolio in ten minutes, along with the legal questions it cannot answer. Next in this series: “Duties, Safety and Compliance”.

What’s inside

• The only numbers that actually matter
• Where to find reliable local data for free
• Working out true income, not optimistic income
• The full cost stack nobody mentions
• Stress-testing for the bad month, the void, the rate rise
• A complete worked example, start to finish
• Your deal calculator, and the legal questions it cannot answer

Educational material only, not financial, legal or tax advice. Results are not typical and are not a guarantee of income. Freedom Property Academy LTD, registered in England and Wales.