What to Count in Rental Management Fees in Paris?

You want to rent your Parisian accommodation, but the legal constraints related to the rental of accommodation are a hindrance. This is pushing more and more owners in Paris to turn to rental management experts. It is a less restrictive option which saves owners the administrative and technical difficulties. However, this is a service that comes at a cost, which must be known before starting.

What are the costs associated with rental management?

Despite the high prices in this industry, investing in real estate has always been viewed as a profitable investment. By opting for a rental management agency, the lessor should expect certain costs, but which should not be a brake, in view of the saving of time. It is for example, the following point, but you can benefit from more detail with Paris Gestion Immobilier administrator of properties:

  • Drafting fees
  • Management fees
  • Inventory costs
  • Fees related to the security deposit
  • Unpaid rent insurance costs
  • Home insurance costs
  • Housing tax fees
  • Recoverable charges.

To avoid unforeseen costs, pay attention to the services included in the rental management mandate. Take a good look at all the points of the contract, so as not to have any surprises in the end, a good manager will explain everything to you.

What percentage for rental management?

Given the variety of services offered by the different experts, the cost of rental management is heterogeneous. Indeed, all rental real estate agencies do not offer the same rates. For its services, a neighborhood agency receives between 7 and 9% of the rent. Some agencies can go up to 10%, the same depending on where the property is located, in the Parisian capital the costs will be higher than in the provinces.

With the arrival of online agencies, prices have been revised downwards. Thanks to digitalization, these modern agencies receive only 5% of the rent, i.e. 4% less than the usual rate. However, it will be necessary to be attentive with regard to the agencies proposing at first glance prices too low.

Which rental management to choose according to these costs?

Woman working in a glass-fronted office, on her computer and a phone in hand

When an owner puts a home for rent, he very quickly finds himself in a dilemma: entrust his home to a property administrator or manage it himself? The lessor has the choice between traditional rental agencies and modern online agencies offering better services at a more attractive cost such as Paris Gestion Immobilier.

Once the costs are known, how does the rental management work?

Rental management is an interesting option for owners, because it saves them time, by reducing administrative procedures, for example. To request the services of a property administrator, the lessor must sign a rental management mandate. The latter will be responsible for collecting the rent, issuing receipts, regularizing charges, carrying out repairs, etc.

Thus, the professional can take care of all the aforementioned tasks in exchange for remuneration. He therefore takes care of the administrative, technical and accounting follow-up. It is also the property management agency that will take care of the tax declarations of rental income. Claims that are not covered by a tenant’s home insurance can also be managed by the professional.

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