Property Management Fees – Melbourne (VIC) + Fee Calculator

Use our interactive map below to find out average property management fees in your suburb.

In Melbourne and throughout Victoria there are two main fees associated with property management. These are: a letting fee and a management fee. The letting fee is payable to the agent for sourcing a new tenant at the beginning of the lease. In Victoria this can range from an amount equating to 1-4 weeks rent.

The management fee is usually a percentage of the weekly rent, payable for the day-to-day management of the lease, and in Victoria can vary from approximately 5-10%. Melbourne is one of the country’s most competitive marketplaces for property management and the average management fees sits around 6%. It is higher in regional Victoria.

Need more information on management fees? We’ve updated our property management fees guide to include a list of management fees and structures.

Property Management Fees Calculator – Melbourne (VIC)

Below you will find our Property Management Fees Calculator. Input the individual costs to uncover the annual property management fees you can expect to incur. The costs listed below are not a comprehensive list. Before appointing your Property Manager be sure to ask them for a full list of possible additional charges and allow for this is in the field marked ‘other’. This can include such things as annual statement fees, routine inspection fees, advertising fees etc.

Bear in mind, you will also have other costs associated with insurance and possible repairs and maintenance to your property.

Property management fees don’t have to be expensive. View our deals with top-performing property management agencies here.

Melbourne Property Management Fees List

Weekly Rent – Actual or estimated rent collected from the tenants of your property on a weekly basis. The median rent in Melbourne for the December 2018 quarter was $420, while the rest of the state was $310.

Letting Fee – A fee collected by the property manager in return for sourcing a new tenant for your property. In Melbourne and VIC, this is generally equivalent to 1-4 weeks rent.

Management Fee – Ongoing cost of managing your property paid to the property manager, and is usually expressed as a percentage of the rent. In VIC, the fee can range between 5 to 10%, depending on the location and style of property. You can use the interactive map above to find an average management fee.

Other Fees – This covers all other fees that you and/or your property manager may encounter while looking after the property and tenants. This may include annual statement fees, inspection fees, advertising fees and more.

Annual Management Fees – A summary amount that purely shows the management fee over the course of a year for your property. For a median Melbourne property collecting $420 a week, this would be somewhere between $1,100 to $2,300 annually.

Total Annual Fees – These are your total fees for an entire year’s worth of property management, including the management fees, letting fees and any other fees you may encounter. It assumes that the letting fee and other fees are incurred annually, but your tenants may stay for a number of years. This would save you from paying multiple letting fees or advertising costs.

We’ve found package deals with property management agencies in your area. Have a look at them here.