Real Estate Math
A Minnesota property manager collects $22,000 in rent and charges a 9% management fee plus $500 for miscellaneous services. What is the total management cost?
A$1,980
B$2,480✓ Correct
C$2,200
D$2,500
Explanation
Management fee = $22,000 x 9% = $1,980. Total management cost = $1,980 + $500 = $2,480. Property management fees vary by property type and services included. Residential property managers in Minnesota typically charge 8-12% of gross collected rents, often plus fees for leasing, inspections, and other services.
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