Q&A · Last reviewed 2026-05-01
How much does property management cost?
Standard residential property management in Australia is 6.6-9% of weekly rent + GST, plus letting fees (1-2 weeks rent at each new lease) + administrative fees. On $500/week rent that's $35-45/week ongoing, roughly 7-9% of gross yield consumed.
Property management fees vary by state and market. Sydney + Melbourne metro: typically 6.6-7.7% incl GST. Brisbane + Adelaide: 7-8.8%. Perth + regional: 8-9.9%. Plus letting fees: 1-2 weeks rent at each new lease (so once every 12-18 months on average); plus inspection fees, advertising fees, lease renewal fees.
Annualised: on $500/week rent ($26,000/year), expect $1,800-$2,400 in management fees + $500-$1,000 letting fees on lease turnover. Total ~$2,300-$3,400 per year. That's roughly 9-13% of gross rent depending on tenant turnover.
Self-managing saves the fee but eats time. Realistic time burden: 4-8 hours/month for routine tenant communication + maintenance coordination + rent reconciliation, plus 20-40 hours per lease turnover. At professional hourly rates the management fee is usually break-even or favourable.
When to self-manage: single property, in your local market, you're tenant-friendly + rule-current, comfortable with bond-board mediation. When to use a manager: interstate property, multi-property portfolio, time-poor professional, rental in regulatory-complex jurisdictions (VIC + ACT have heavier compliance overhead).
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Informational. Not financial advice. Verify with a licensed adviser appropriate to your circumstances.
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