Property management questions owners ask

Short answers first; each links to a full guide where there is one.

Cost

What is a fair property management fee?

For full management in California, a monthly fee of 6% to 10% of collected rent is typical, with 8% the most common published rate. Lower rates often come with extra charges, so compare the total cost in writing. Read the guide: How much do property managers charge in California?

Do property managers charge when the home is vacant?

Most percentage-based managers charge only on rent actually collected, so there is no monthly fee while the home is empty. Some charge a minimum or a flat monthly fee; ask before you sign. Read the guide: How much do property managers charge in California?

Are property management fees tax deductible?

Yes. The IRS treats fees you pay a property manager for a rental as a deductible rental expense (IRS Publication 527). Ask a tax professional about your own situation. Read the guide: How much do property managers charge in California?

Can I negotiate property management fees?

Often, yes, especially if you have several units, a well-kept home or a long lease. Get two or three written quotes and compare the full list of fees, not just the monthly rate. Read the guide: How much do property managers charge in California?

Finding and choosing a manager

Should I hire a property manager for one rental home?

Often yes if you live more than an hour away, work full time or are new to being a landlord. If you live nearby, have time and know the rules, managing one home yourself can work, with a leasing-only service to find the tenant. Read the guide: Is a property manager worth it?

Is it worth it to use a property management company?

For most absentee owners and owners of several units, yes: they handle tenants, repairs and legal notices. Compare the yearly cost with what your time and mistakes would cost. Read the guide: Is a property manager worth it?

What should I look for in a property management company?

Experience with your property type and area, an active DRE license, good and recent reviews, clear fees in writing, a fair contract you can end with reasonable notice, and good communication (owner portal, monthly statements). Read the guide: How to choose a property manager

What questions should I ask a property manager before hiring?

Ask about every fee, maintenance markups, how they screen tenants, how fast they place tenants, how they report to you, who handles emergencies, how long the contract is and how to end it, and their license number. Read the guide: How to choose a property manager

What are red flags when hiring a property manager?

No license number, vague or verbal-only fees, long contracts with big cancellation fees, pressure to sign quickly, mostly poor or no recent reviews, and no clear answer on who holds the deposit and rent money. Read the guide: How to choose a property manager

How many property managers should I interview?

Two or three is usually enough to compare fees and approach. On our city pages you can tick up to 3 and send one request. Read the guide: How to choose a property manager

Is it better to use a large company or a small local manager?

Both can work. Large firms bring systems and staff; small local managers often give more personal attention. What matters is experience with your kind of property, a manageable number of homes per manager, and clear communication. Read the guide: How to choose a property manager

What services are included in property management?

Full management usually includes marketing the home, tenant screening, leases, rent collection, maintenance coordination, inspections, monthly statements and handling notices. Leasing-only service stops once a tenant has moved in. Read the guide: What does a property manager do?

What are property managers not allowed to do?

They must follow fair housing law, cannot keep deposits or rents outside the rules for trust funds, cannot enter without proper notice, and in California generally must hold a real estate broker license (or work under one) to manage rentals for others. Read the guide: What does a property manager do?

Licensing and trust

Does a property manager need a license in California?

Generally yes: a real estate broker license, or work under a licensed broker, to manage rentals for others for pay (Business and Professions Code 10131). On-site resident managers of apartment buildings are exempt. Read the guide: Do property managers need a license in California?

How do I check a property manager's license?

Use the California Department of Real Estate public license lookup (search by name or license number). Check that the license is active and that the name matches the company or its broker. Read the guide: Do property managers need a license in California?

Can a realtor act as a property manager?

A licensed real estate salesperson can do property management work only under their broker's supervision; a broker can manage property in their own right. Ask whose license the company operates under. Read the guide: Do property managers need a license in California?

What does License Confirmed mean on this site?

We matched the listing to an active license in the Department of Real Estate's public file with a clear match. No badge does not mean a company is unlicensed; it means we could not make a clear match yet. Read the guide: Do property managers need a license in California?

Working with a manager

How long are property management contracts?

Often one year that renews automatically, though some are month to month. Look for a fair notice period (often 30 days) and any cancellation or 'tenant placed by us' fee. Read the guide: What to check in a property management contract

Who holds the security deposit?

Usually the manager holds it in a broker trust account and returns it under California's deposit rules. The contract should say where deposits and rent are held and how they are handed over if you end the agreement. Read the guide: What to check in a property management contract

How do I switch property managers?

Check the notice period and any fees in your contract, choose the new manager, give written notice, and arrange the hand-over of deposits, leases, keys and records. Then notify tenants in writing of the new payment details. Read the guide: How to switch property managers

How do I deal with a bad property management company?

Put your concerns in writing and ask for a fix with a deadline. If it doesn't improve, end the contract under its terms. For licensed brokers, you can file a complaint with the California Department of Real Estate. Read the guide: How to switch property managers

Rules and the rental market

How much can I raise the rent in California?

Under AB 1482, most rentals can rise at most 5% plus local inflation (CPI) per year, capped at 10% in any 12 months. Some homes are exempt, and some cities have stricter local rules. Read the guide: California rent increases and just-cause rules for owners

How much notice do I need to give for a rent increase in California?

At least 30 days' written notice for increases of 10% or less in a 12-month period, and 90 days for larger increases (Civil Code 827). Allow extra days if you mail it. Read the guide: California rent increases and just-cause rules for owners

Do I need a reason to end a tenancy in California?

For most rentals, once a tenant has lived there 12 months you need a just cause listed in Civil Code 1946.2, such as non-payment or a lease breach, or a no-fault reason like moving in yourself, which usually requires relocation help. Read the guide: California rent increases and just-cause rules for owners

What is the maximum security deposit in California?

Generally one month's rent since July 1, 2024 (AB 12). Owners who are individuals (or certain LLCs or family trusts) with no more than two rental properties and four units can charge up to two months, except to service members. Read the guide: Tenant screening and security deposits in California

How long do I have to return a security deposit in California?

21 days after the tenant moves out, with an itemized statement of any deductions. Read the guide: Tenant screening and security deposits in California

Should I accept Section 8 vouchers?

In California you cannot refuse a tenant because they pay with a housing voucher; source of income, including vouchers, is protected (SB 329). You can still apply the same screening to the tenant's share of the rent. Read the guide: Tenant screening and security deposits in California

Using this site

How do you choose which companies to list?

We started with every property management listing on Google in California and kept only active companies that manage rentals for owners. We removed closed or duplicate listings, landlords that only rent out their own buildings, vacation-rental-only and out-of-state companies, businesses that don't manage property at all, HOA-only and commercial-only firms, companies rated under 2.5 stars, and companies with little sign of recent business activity.

How are the ratings and badges on this site calculated?

Best match and our review badges use each company's Google rating adjusted for how many reviews it has, so a 4.8 from 100 reviews beats a 5.0 from 2. Highly Recommended needs 100+ reviews and strong recent reviews; User Recommended needs a high adjusted rating and strong reviews in the last 12 months. Years in business come from the company's own license date or a founding year on its website.

Can companies pay to be listed or ranked higher?

No. Listing is free and rankings follow our published rules. If we ever offer featured spots, they will be clearly labelled.

Is it free to request quotes?

Yes. Requesting quotes is free for property owners, with no obligation to hire anyone.

Who sees my quote request?

Only the managers named on the last step of the form, before you press send, plus our team so we can confirm it was delivered.

How quickly will managers contact me?

Most managers reply within one to two business days. If you are in a hurry, call the managers directly; their phone numbers are on each listing.