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How to hire a property manager

A practical plan for choosing a manager for a rental home in Pensacola, Tallahassee, Key West or on the Mississippi Gulf Coast: the steps, the questions to ask, the red flags and what to check in the contract before you sign. New to renting out a home? Start with the beginner's guide.

On this page: Steps · Interview questions · Typical fees · Red flags · Contract checklist · FAQ

Steps to hire a property manager

1. Write down what you need

   Long-term tenants or vacation rentals? In the Keys especially, many companies focus on vacation rentals, so say which you want up front. Decide whether you want full management or placement-only, how hands-off you want to be, and whether you'll be managing from far away (see the military owners guide).

2. Build a shortlist of three or four

   Filter the comparison table by area and open company profiles. Only 15 of the 54 companies we track publish fees, so don't rule out the others; ask them for a written quote.

3. Check the license

   In Florida, managing or leasing someone else's property for pay requires a real estate license (Chapter 475, Florida Statutes). The company should operate under a licensed real estate broker. Look up both the company and your day-to-day contact on the DBPR license search and check that the license is current. In Mississippi, use the MREC lookup.

4. Get the fee schedule and a sample agreement

   Ask each company for its full fee schedule and a blank management agreement before the interview, so you can ask about specifics.

5. Interview each manager

   Ask everyone the same questions (below). Bring the printable interview checklist.

6. Compare the total yearly cost

   Put each quote into the fee calculator and add the extras from the hidden fees guide. Compare total cost, not the headline percentage. Then see what you'd keep after fees, vacancy and costs in the rent & net income estimator.

7. Check references and reviews

   Ask for a few current owner references and call them. Each profile on this site shows a rating and where it came from.

8. Read and negotiate the contract

   Go through the contract checklist. If something you were told isn't in writing, ask for it to be added.

9. Onboard and watch the first statements

   Hand over keys, lease and deposit records, and insurance details. Read the first few monthly statements closely for unexpected charges.

Interview questions to ask

For each topic, here's what to ask and, where a local company publishes it, an example of what managers here actually charge. Examples come from each company's own website (checked October 2026).

What fees are typical?

These are summaries of fees companies publish themselves, not a survey of every manager. Many don't publish at all.

• Pensacola area: management fees of 8%–12.5% of monthly rent, most often 10%; leasing fees most often 50% of one month's rent; renewal fees of $95–$325 or 10%–25% of a month; setup or onboarding fees of $100–$250. Compare Pensacola-area managers.
• Mississippi Gulf Coast: the two companies that publish, MS Coast Rentals (Biloxi) and PMI Biloxi (Property Management Inc.), list 8%–12%. Compare MS Gulf Coast managers.
• Tallahassee: the three that publish list 8%–10%, with leasing fees from a flat $200 to 75% of one month and $200 renewals. Tallahassee fees & managers.
• Key West / Florida Keys: Key West Residential Property Management lists 10% for long-term rentals and Stay The Keys 15% for vacation rentals. None publish a leasing fee. Key West fees & managers.

Red flags

• Won't give you the full fee schedule and a sample management agreement in writing before you sign.
• Can't or won't give a license number, or the state lookup shows no active real estate license.
• Vague answers about maintenance markups, in-house repair rates or the repair approval limit.
• A long contract with a steep or unclear cancellation fee, or a fee for keeping the tenant they placed. A promotional rate that only applies with a longer contract deserves a close read.
• A promised rent figure with no comparable rentals to back it up.
• Can't say where rents and security deposits are held, or when you'll be paid each month.
• No written tenant screening standards, or screening that sounds like it treats applicants differently in ways fair housing law forbids.
• Slow or no replies while they're trying to win your business. It rarely gets faster after you sign.
• No clear plan for storms and post-storm inspections (see hurricane prep).
• Pressure to sign today.

Contract checklist

Tick these off as you read the management agreement.

• Every fee is listed: management, leasing, renewal, setup, inspection, admin, minimums, markups, eviction and early termination.
• The fee base is clear: rent collected or rent due, and whether fees apply to late fees or utility reimbursements.
• Contract length, any automatic renewal, the notice period and the cost to cancel.
• What happens to the tenant, the lease and the deposit if you end the agreement, and whether there is a fee to keep the tenant.
• The repair approval limit, and what counts as an emergency the manager can handle without asking.
• Whether vendor invoices are marked up, and that you can request original invoices.
• Payout date and method, and any reserve held in your owner account.
• Who holds the security deposit, and in what kind of account.
• Monthly statements, year-end summary and 1099, and owner portal access.
• Tenant screening standards, who signs leases and who sets the rent.
• Who decides on evictions and who pays each cost.
• Insurance: what policy you must carry, and what insurance the manager carries.
• Hurricane and storm duties, including inspections and photos for claims.
• The licensed broker's name and license number.
• Hand-over terms if the agreement ends: keys, records, deposits and final statement.
• Anything promised to you verbally is written into the agreement.

Frequently asked questions

Does a property manager need a license in Florida?

Generally yes. Under Chapter 475 of the Florida Statutes, renting or leasing someone else's property, or finding tenants for it, for pay is real estate brokerage, so it requires an active real estate license: a broker, or a sales associate or broker associate working under a broker. Owners managing their own property are exempt, and there are a few narrow exemptions. A community association manager (CAM) license doesn't cover single-family or apartment management. Check any license on the DBPR license search.

How much does a property manager cost here?

Among Pensacola-area companies that publish fees, 10% of monthly rent is the most common management fee and 50% of one month's rent the most common leasing fee. Tallahassee firms that publish list 8%–10%, the two MS Gulf Coast firms that publish list 8%–12%, and one Key West long-term manager lists 10%. Only 15 of the 54 companies we track publish fees, so get written quotes.

How many property managers should I interview?

Three or four is usually enough to compare fees, contracts and how each one communicates. Ask every one the same questions so the answers line up.

What is the difference between full management and placement-only?

With full management, the company finds the tenant and then runs the tenancy: rent, repairs, inspections and renewals. With placement-only (leasing-only), it finds and signs the tenant and hands the tenancy back to you. Placement-only is often priced at about one month's rent among local firms that publish it.

Can I cancel a property management agreement?

Usually, but the terms depend on the agreement. Look for the notice period, any early termination fee and any fee to keep a tenant the manager placed, and get them in writing before you sign.

Should I just pick the cheapest manager?

Not on the monthly percentage alone. A lower rate can come with a higher leasing fee, renewal fee, minimum or maintenance markup. Add up the total yearly cost in the calculator and weigh it against screening, communication and reviews.

General information only. This guide is not legal, tax, insurance or financial advice. Rules change, so confirm details with the company, your insurer, a licensed professional or the relevant agency.