Property Management

A Louisiana property manager who charges a management fee based on a percentage of collected rents is using which type of fee structure?

AFlat fee management
BPercentage of gross rents✓ Correct
CPer-unit fee
DPerformance-based fee

Explanation

The most common property management fee structure in Louisiana and nationwide is a percentage of collected (or gross) rents — typically 8–12% for residential properties. This aligns the manager's incentive with maximizing occupancy and rent collection.

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