Property Management: Comparison of Three Strategies

The charts below show how Genstar Property Management Advisory is the most cost effective solution, while also reducing your risk as an owner. These comparisons lay out the total annual cost and operational tradeoffs of each management approach at three portfolio sizes, using Greater Boston/Southern New Hampshire market assumptions.‍ ‍

Twenty-Five Unit Portfolio

Comparison table showing costs, backup coverage, systems, HR risk, owner time, and savings for Self-Managed, In-House Staff, and Genstar business models.

Takeaway: At 25 units, in-house doesn't yet mean a real property manager — it's part-time clerical and property management support while the owner still carries the operational load and risks.

Fifty Unit Portfolio

Comparison table of three staffing options: Self-Managed, In-House Staff, and Genstar, detailing annual cost, backup coverage, systems in place, HR/Turnover risk, owner time required, and annual savings.

Takeaway: 50 units is the pressure point for self-management — 24+ hrs/week is no longer sustainable alongside anything else. A part-time in-house PM starts to look slightly comparable in cost to third-party, but carries single-point-of-failure risk that a firm's staff depth avoids.

One Hundred Unit Portfolio

Comparison table of self-managed, in-house staff, and genstar business options, including costs, backup coverage, system setup, HR risks, owner time, and savings.

Takeaway: At 100 units, self-management is no longer realistic without additional hires — the hours required exceed a full-time job on their own. The real comparison is full-time in-house PM vs. third-party: in-house costs less on the fee comparison but carries turnover, HR, and coverage risk that a firm absorbs.

Bottom Line

The crossover isn't really about unit count in isolation — it's about when the fully-loaded cost of building your own team (or the hidden cost of your own time) starts to exceed a management fee that already includes systems, redundancy, and expertise. For most owners in the 25-100 unit range, that crossover favors third-party management once owner time and turnover risk are priced in honestly. ‍ ‍ ‍

Assumptions

Average gross rent of $2,200/unit/month; third-party management fee of 4% - 5% of collected rent depending on portfolio size; owner time valued at $75/hr.  In-house property manager rate of $75/hour, bookkeeper rate of $50/hr.  6 hours each at 25 units, 12 hours each at 50 units.  For 100 units, 45 hours/week for full-time property manager, 24 hours/week for admin/bookkeeper.  Actual figures will vary by market, unit mix, and specific staffing arrangement.  ‍ ‍

Why owners partner with Genstar and stay.

  • Premium Attention

    Owners have direct access to Genstar’s management team. Robust 24/7 support staff for tenants.

  • Technology First

    Live dashboards, automated workflows, AI capabilities, and modern portals for both owners and residents.

  • KPI Driven

    We leverage data like occupancy rates, NOI growth, and days to drive our decision making.

  • Trusted Local Network

    Deep, long standing relationships with the best trades people and industry specialists in the region.

  • Full Operating Stack

    Leasing, maintenance, bookkeeping, capital projects- all managed by Genstar.

  • Time Back For Owners

    We remove the day to day management tasks to free up your time, allowing you to focus on what you do best.