The True Cost of Property Management Door County STR (Hidden Fees)

The True Cost of Property Management Door County STR (Hidden Fees)

New investors often look at the gross rental income and think, “I’m going to be rich.” Then the monthly statement arrives. Between commissions, cleaning fees, and surprise maintenance markups, your profit margin can shrink fast. Understanding the true cost of property management is the difference between a profitable asset and a money pit. Learn more about the Cost of property management Door County STR in this article.

Management fees in Door County typically fall into three buckets. You get what you pay for.

1. The “Marketing Only” Model (10% – 15%)

  • Who: National brands like Rent Door County or Evolve.
  • What they do: They build your listing, take photos, and handle the booking calendar.
  • The Catch: You do the rest. You must find your own cleaner, your own plumber, and be the “on-call” person when a guest locks themselves out at midnight. This is not passive income.

2. The “Full Service” Local Standard (20% – 30%)

  • Who: Established local companies (e.g., Rent Door County, Lundquist).
  • What they do: Marketing, guest communication, cleaning coordination, and basic maintenance triage.
  • The Value: They act as your “boots on the ground.” You rarely hear from guests directly.

3. The “Luxury Boutique” Tier (30% – 40%)

  • Who: High-end managers focusing on luxury estates.
  • What they do: Concierge services, gift baskets, strict guest vetting, and proactive property care.
  • The ROI: They often charge higher nightly rates, which can offset the higher commission.

Compare these costs to your potential income here: Investment Niche: Why Little Sturgeon Bay is the Next Waterfront Hot Spot.

The “Pass-Through” vs. “Owner” Costs

New owners often confuse what they pay versus what the guest pays.

  • Cleaning Fees: The guest pays this. It is added to the nightly rate. However, if you use the home yourself, you pay the cleaning fee (usually $150-$350 per turn).
  • Linen Fees: Hidden Cost Alert. Some managers charge owners a “linen program” fee (annual or monthly) to supply commercial-grade sheets and towels. Ask about this upfront.
  • Platform Fees: Airbnb and Vrbo take their cut (3% – 15%) before the money even hits your manager’s account. Your manager’s commission comes out of the remaining amount.

The Door County “Winter Tax”: Snow & Maintenance

In Florida, you pay for pool cleaning. In Wisconsin, you pay for snow.

  • Plowing & Shoveling:This is almost always billed separately to the owner.
    • Driveway Plowing: $40 – $75 per storm.
    • Shoveling Walkways: Often an hourly rate. If you have a strict STR license, you must keep fire exits clear at all times.
  • Hot Tub Maintenance: If you have this high-ROI amenity, expect to pay $100-$150 per month for weekly chemical checks and cleaning.
  • Maintenance Markups: Many managers charge the cost of the repair plus a 10-20% coordination fee. Clarify this percentage in your contract.
  • See tax comparisons for different towns here: Tax Talk: How Baileys Harbor Property Taxes Compare to Fish Creek.

Final Thoughts

The lowest commission is not always the best deal. A 15% manager who lets your pipes freeze costs you more than a 30% manager who checks the furnace weekly. You need to look at the “Net Income” line, not the “Commission” line.

Request a “Management Contract Audit”

Don’t sign a standard agreement without checking the math.

Request our Private Comparison Tool: “The Manager Interview Checklist.”

We will send you:

  • The 5 critical questions to ask about hidden fees (linens, markups, credit card fees).
  • A comparison sheet of the top 3 local management companies in your specific village.
  • A “Net Income” calculator to test different commission models.

Protect your profit margins. Contact us today for your checklist.

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Investment & STR Eric Hegwer