How Much Do Property Managers Charge? Vacation Rental Fees

If you own a second home in Montana, or plan to buy one, one of the first questions you will ask is: How much do property managers charge?

Here is the short answer:

• Vacation rental managers usually charge 20% to 35% of booking revenue for full service.
• Long-term rental managers usually charge 8% to 12% of monthly rent, plus a fee when they place a new tenant.

This guide explains what these numbers mean, what you get for the money, and which extra charges to look for before you sign a contract.

Property Management Fees at a Glance

Type of management	Typical fee	What it usually covers
Full-service vacation rental	20% to 35% of booking revenue	Listing and marketing, pricing, guest messages, bookings, and cleaning and maintenance coordination
Half-service or co-host	10% to 15% of booking revenue	Listing and marketing, while the owner handles local work such as cleaning and repairs
Long-term rental	8% to 12% of monthly rent	Rent collection, tenant communication and repair coordination
Flat-fee management	A fixed monthly amount	Depends on the company

These ranges are based on several industry fee reports published in 2026. Actual quotes depend on the property, its location and the services included. In resort and rural markets, fees are often at the higher end, around 25% to 40%.

Why Vacation Rental Management Costs More

A long-term manager may only visit a rental a few times a year. A vacation rental manager deals with a new guest every three to five nights, which means much more work:

• Turnovers after every stay. A “turnover” is the cleaning and reset between one guest leaving and the next one arriving.
• Frequent pricing changes. Nightly rates are reviewed and adjusted often, based on demand.
• Guest support at all hours. Many managers offer 24/7 support for guest questions and problems.
• Lodging tax filings. Short-term stays often require taxes to be collected and filed regularly.

How Property Managers Charge

Percentage of Booking Revenue

This is the most common fee model for vacation rentals. The manager keeps a set share of the rental income. Because the fee goes up and down with bookings, the manager has a reason to help the home earn more.

Gross or net: always ask which one. “Gross” means the full amount guests pay. “Net” means what is left after certain costs are taken out. The same percentage can cost you different amounts. For example:

• A guest pays $1,000: $800 for the nights and $200 for cleaning.
• A 25% fee on the full $1,000 is $250.
• A 25% fee on the nightly amount only is $200.

Check what the percentage is based on before you compare two quotes.

Flat Monthly Fee

Some managers charge a fixed dollar amount each month instead of a percentage. The amount stays the same whether the home is busy or quiet, which makes budgeting more predictable.

Long-Term Rental Fees

Long-term managers usually charge 8% to 12% of monthly rent. On top of that, you may see:

• A leasing fee of 50% to 100% of one month’s rent when they find a new tenant
• A lease renewal fee of about $150 to $500 when a tenant signs for another term

What a Full-Service Fee Usually Includes

Full-service vacation rental fees commonly bundle these services:

Service	What it means
Listing marketing	Creating the listing and promoting it on booking sites such as Airbnb and VRBO
Dynamic pricing	Adjusting nightly prices up or down based on demand
Guest communication	Answering guest questions before, during and after each stay
Booking management	Handling reservations, changes and the booking calendar
Cleaning coordination	Scheduling cleaners between guests
Maintenance coordination	Arranging repairs when something needs fixing

With lower-priced plans in the 10% to 15% range, the owner usually runs the local work, such as cleaning and repairs. If a quote leaves out cleaning and maintenance, ask whether it is a half-service plan.

Extra Fees to Watch For

The headline percentage is not always the full cost. Some managers add charges on top of it, such as:

• Onboarding or setup fees: a one-time charge to get the home ready and listed
• Photography fees: for listing photos
• Linen fees: for sheets and towels
• Cleaning fee markups: charging more than the cleaning actually costs
• Maintenance markups: an extra amount added to repair bills
• Booking and card processing fees: charged on each reservation
• Early cancellation fees: some managers require contracts of one to three years

A low base rate with many add-ons can cost more than a clear, all-inclusive rate. Ask every manager for a full list of fees in writing.

Don’t Forget Booking Site Fees

Booking platforms charge their own fees, separate from your management fee.

Airbnb now charges hosts a single host-only fee of 15.5%. Airbnb takes this fee out of the booking total, including cleaning and pet fees, before it pays the host. Under this model, guests do not pay a separate Airbnb service fee at checkout.

Example: A guest pays $1,000 through Airbnb. Airbnb keeps $155, and the host receives $845. Your management fee may then be based on the $1,000 or on a smaller amount, depending on your contract. This is another reason to ask about gross and net.

Example: Comparing Fee Options

Here is a simple example for a home that earns $50,000 in bookings in a year. These are sample numbers to show the math, not a quote.

Option	Management fee	Who does the work
Full service at 25%	$12,500	The manager handles most of the work
Half service at 12%	$6,000	The owner arranges local work, such as cleaning and repairs
Self-managing	$0	The owner does all the work

The lowest fee is not always the lowest total cost. With half service or self-management, owners still pay cleaners and repair people directly and spend their own time managing them.

Is a Property Manager Worth the Cost?

It depends on your time, your location and how you want to own the home. Ask yourself:

• Do you live near the home, or far away?
• Can you reply to guests quickly, including late at night?
• Do you have reliable local cleaners and repair people?
• How many properties do you own?

Questions to Ask Before You Sign

• Is the fee based on gross or net revenue?
• Which services are included, and which cost extra?
• Do you add a markup to cleaning or repair bills?
• Who pays for supplies, such as the items on a vacation rental checklist?
• How do you set nightly prices?
• Which booking sites will list my home?
• How quickly do you answer guest messages?
• How long is the contract, and what does it cost to leave early?

How Explore Montana Rentals Approaches Fees

Explore Montana Rentals is based in Flathead County and manages vacation homes in Kalispell, Whitefish, Columbia Falls, Glacier National Park, Lakeside and Bigfork. Our vacation rental management services use one all-inclusive fee, with no separate charges for supplies.

Owners also get:

• Free drone photography
• Free digital locks
• A 100% satisfaction guarantee
• Listings on Airbnb, VRBO and our direct booking site
• Data-driven pricing
• Superhost and Premier Partner status
• Direct access to a reliable local team

Getting started takes three steps: schedule a phone consultation, let us visit your property and prepare a contract, and then relax while we take care of the rest. To get a fee quote for your home, contact our team.

Frequently Asked Questions

What are average property management fees?

For vacation rentals, most full-service managers charge 20% to 35% of booking revenue. For long-term rentals, most charge 8% to 12% of monthly rent, plus a leasing fee when a new tenant moves in.

Why do vacation rental managers charge more than long-term managers?

A long-term manager may only visit a rental a few times a year. A vacation rental manager handles a new guest every three to five nights, along with cleaning after each stay, frequent pricing changes and guest support.

Are property management fees tax deductible?

For short-term rentals, management fees are generally treated as ordinary business expenses. Tax rules depend on your situation, so speak with a tax professional.

Do property managers charge when the home has no bookings?

Percentage-based fees are tied to rental income, so they typically bring no fee when there are no bookings. Flat fees stay the same every month.

Can I negotiate a property management fee?

It is a good idea to discuss and negotiate fees before you sign. Compare the full list of services and extra charges, not just the headline percentage.

Is 30% too much for vacation rental management?

Not necessarily. A lower rate with many add-on fees can cost more than a higher all-inclusive rate. Compare the total cost, not just the percentage.