A topic I hear about a lot is discussion around how much property managers should charge for their services. As members of the National Association of Residential Property Managers (NARPM), we cannot discuss specific prices. However, when you’re setting a price, you should ask yourself a question: What are all of the things you do? What’s your experience, education, training, professional associations you belong to and volunteer work you do in the community? If you were to list all of that out on a job description, how much would it cost you to hire someone to do all that? That’s the value and the expertise that you bring to the table, and people are willing to pay for it.
If I were to tell you to raise your prices, what kind of internal dialogue would you be having with yourself? You might be saying that you cannot do that, or that your clients would never pay that amount of money or that percentage for your service. Is that really true?
When we think small and live small, people will pay us what we are willing to accept for ourselves. The reality is that our clients have huge expectations about what they want us to do, but they aren’t willing to pay us the true value of what we bring to the table.
You need to get real about what you are really worth and own it. When you feel you are worth a certain amount of money, charge it. All those cheap people who don’t appreciate all the work you do and diminish you or make you feel like you are “less than†and therefore that’s what you have to accept, they will naturally go away and you will open yourself to the opportunity to having clients who truly value everything you bring to the table. They will pay you what you ask.
From personal experience, I can tell you that I’m not the cheapest property manager in Santa Cruz. Through that, I’ve accumulated awesome clients to work with over the years because they understand the value that I bring. When you feel valued, you don’t mind providing excellent customer service.
Challenge yourself and ask what you’re really worth. When you need to raise your prices to match what you are worth, do it. If you have any questions about property management business coaching and the services we can provide to your business, please contact us at The Property Management Coach.
Kathleen Richards, MPM®, CPC®, MS in Management, was Broker/Owner of a successful management company with CRMC®. She knows firsthand the highs and lows of being a business owner. She is a nationally recognized coach, speaker, instructor, author, and thought leader for the last 30 years focusing on business, leadership, and specifically the field of property management. She owns PM Made Easy – customizable products to streamline operations and founded The Property Management Coach. She can be reached at 800-475-3084.
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