Property Management Fees Arizona

If you have questions about the property management fees Arizona landlords usually pay when they hire a company, we’re here to answer them. Maybe you’re ready to grow your landlord business, or perhaps you’re looking to free up your time. Whatever the reason, every landlord can benefit from knowing the fees that property managers charge.

To help, we’ll provide you with a list of fees you can expect. Most companies charge a monthly management fee, plus additional costs. However, a new breed of tech-enabled property management companies has emerged that charges flat rates. And before it’s all over, we’ll also discuss the benefits of online self-management alternatives like our small landlord software. Let’s get started!

Common Costs 

The pricing structure typically begins with an initial setup fee. Moving forward, property managers charge landlords a monthly management fee covering baseline operations. If the property manager has to perform any tasks outside of daily operations, they’ll charge additional fees.

TurboTenant Tip: Property management fee prices tend to fluctuate the most based on your listing’s location. Different companies in the same local area usually charge fees within a similar range.

Here’s an overview of The Grand Canyon State’s average property management fees. Arizona landlords, here’s what you need to know:

Monthly Management Fees

Working with a property manager takes the day-to-day management duties off your hands. They’ll handle all administrative tasks, including tenant communications, rent collection, and leasing.

Some property management companies charge a flat fee for management, but most charge a percentage of 1 month’s rent. In Arizona, the monthly management fee typically comes out to 6%–10% of the monthly rent.

Tenant Placement

Property managers are responsible for securing a qualified tenant for your listing. When a unit is vacant, they’ll market the listing, show the rental, and distribute rental applications.

Property managers also screen tenants, prepare the new lease agreement, and collect the tenant’s and landlord’s signatures. Throughout the process, they’ll serve as the main point of contact for applicants.

Tenant placement is either charged as a flat fee or a percentage of the rent. In Arizona, the average cost is 50%–100% of 1 month’s rent.

Annual Inspection Costs

Yearly inspections are the best way to stay on top of preventative maintenance. Property managers coordinate inspections, take note of developing wear and tear, and schedule repairs.

Most companies conduct annual health, safety, and unit condition inspections. Property managers also inspect the unit when a tenant moves in and out. If your city requires additional inspections, they’ll handle those too.

The property management fees Arizona landlords pay for inspections typically range from $50 to $150.

Maintenance

If a maintenance request comes in, rental property managers resolve the issue for you. They’ll reach out to tenants, hire the contractor, and schedule the repair. Most companies charge a markup fee on the repair bill. The markup fee compensates the property manager for coordinating maintenance.

On average, maintenance fees in Arizona are 10% of the vendor’s cost.

Lease Renewal

Do you have happy tenants who want to stay for another year? A lease renewal is always good news! Property managers update the lease agreement and complete all required paperwork. They also serve as the tenant’s main point of contact throughout the process.

In Arizona, some property managers charge a percentage of the rent. However, most charge between $200 and $500 per lease.

Eviction Costs

The eviction process can be time-consuming and tedious, but property managers have you covered. They’ll show up to court on your behalf and file all of the eviction paperwork. After court, property managers oversee the eviction process to ensure the tenant vacates the unit.

The property management fees Arizona landlords pay for evictions are one of the more substantial expenses. On average, companies charge between $200 and $500. In addition to the fee, landlords must also pay all court costs.

Vacancy Charges

If your unit is vacant, your property manager will work to secure a new tenant. They’ll also be taking care of the property while it’s uninhabited. That’s where the vacancy fee comes in.

The vacancy charge covers the time it takes for property managers to maintain the unit. They typically visit the property to check in on it and schedule cleaning so it’s move-in ready. If the unit needs maintenance during the vacancy, they’ll coordinate the repair.

Typically, vacancy charges in Arizona cost $50 per unit per month.

Costs in Popular Arizona Cities 

Now, let’s review the average rental property management fee costs across Arizona’s major cities:

Phoenix

• Monthly management: 8%–12% of 1 month’s rent
• Lease renewal: 25%–75% of 1 month’s rent
• Maintenance: 10% of repair cost

Gilbert

• Monthly management: 8%–12% of 1 month’s rent
• Lease renewal: Up to 50% of 1 month’s rent
• Maintenance: 10%–15% of repair cost

Mesa

• Monthly management: 8%–12% of the monthly rent
• Lease renewal: 25%–75% of 1 month’s rent
• Maintenance: 10%–20% of repair cost

Chandler

• Monthly management: 8%–12% of the monthly rent
• Lease renewal: $250–$500
• Maintenance: 10%–20% of repair cost

Scottsdale

• Monthly management: 10% of the monthly rent
• Lease renewal: $395–$500
• Maintenance: 5%–15% of repair cost

The Final Word

All in all, property management companies can add significant costs to your overall budget. You’ll need to factor in the monthly management fee, plus additional costs that vary from month to month. While these expenses aren’t standard, we hope this overview of property management fees was helpful.

Arizona landlords interested in the benefits of hiring a property manager but not ready to pay a percentage of their rent every month should consider self-managing with TurboTenant. TurboTenant’s property management software helps you get leads, screen tenants, create leases, and collect rent — all in one place. Plus, it’s free. Sign up now to get started!

Arizona Property Management Fees FAQs