Property Management

Fee for a manager to handle tenants, repairs, and rent collection — default 10% of EGI.

Definition

Even if you self-manage today, model this cost. It represents the value of your time and ensures the deal works at scale. If you ever hire a PM or step back, the deal should still pencil.

Formula

Management = EGI × property_management_pct (default 10%)

How Kaison Uses This

Configurable via operating_expenses.property_management_pct. Set to 0 at your own risk.

Example

$1,518 EGI × 10% = $152/mo

Pro Tip

Model 10% even when self-managing. Your time has value, and you want deals that work without you.

Related Terms

Effective Gross Income (EGI)

Gross rent minus vacancy — the realistic income baseline.

Total Operating Expenses

All recurring costs: management + maintenance + capex + insurance + tax.

Maintenance & Repairs Reserve

Reserve for routine repairs and upkeep — default 12% of EGI.

Educational content only. Consult a CPA or attorney for advice specific to your situation.