Mobile, Alabama  ·  Reading two management proposals side by side

How to compare property management proposals in Mobile, Alabama

The percentage on the front page is the smallest part of the decision. Here is what to line up beside it, and the questions that get you a straight answer in writing.

The short version

  • Compare scope before rate. Two proposals quoting the same percentage can describe very different amounts of work.
  • Find the events that create a charge. Placing a tenant, renewing a lease, a turnover, coordinating a repair, an extra inspection. Not every proposal lists the same events.
  • Settle spending authority in writing. How much can be spent on a repair without asking you, and what counts as an emergency.
  • A higher percentage is sometimes the cheaper year. What matters is the rate plus the events your property actually triggers, not the headline on its own.
  • Ask for the management agreement, not the summary. The agreement is the thing you are signing.

Start with scope, not the rate

A management fee is a price for an amount of work. Until you know the amount of work, the price has nothing to attach to.

So before you compare a single number, write out the work and ask each provider to mark every line included, extra or not offered:

  • Marketing the property, taking calls and showing it
  • Tenant screening, and what the screening standard actually is
  • Preparing and signing the lease
  • Collecting rent, and chasing it when it is late
  • Coordinating maintenance and dealing with vendors
  • Inspections, and how many are included in a year
  • Monthly owner statements and year-end accounting
  • Lease renewals and rent reviews
  • Serving notices
  • Move-out, deposit accounting and turnover
  • Coordinating an eviction if it comes to that

That marked-up list is the comparison. Everything else is commentary on it.

Find the events that create a charge

Monthly management is rarely the only line. Ask each provider which of these creates a charge, how it is calculated, and whether it is capped:

  • Placing a new tenant
  • Renewing an existing one
  • A vacancy, and whether the monthly fee continues through it
  • Coordinating a repair, and whether that is a flat amount or a percentage of the invoice
  • An inspection beyond the ones included
  • Serving a notice, or coordinating an eviction
  • Ending the agreement before its term is up
  • Setting up the account in the first place

None of those are improper. A manager who charges for turnover work is charging for work, and somebody has to do it. The only real problem is an event you did not know was an event. Getting the list in writing is what turns a surprise into a decision.

Who can spend your money, and how much

This is the clause owners skip and then think about constantly for the next two years.

  • What is the spending limit before they have to ask you, and did you pick that number or did the form?
  • What counts as an emergency, in writing, where that limit does not apply?
  • What happens when they cannot reach you, which on the Gulf Coast is a real scenario and not a hypothetical one?
  • Is any markup added to a vendor invoice, and is it disclosed to you?
  • Does the manager own, or have an interest in, the maintenance company doing the work? Ask plainly. A yes is not disqualifying, but it should be disclosed rather than discovered.

Our answers to those three, since we are the ones telling you to ask

  • Do we own the vendors? No. 764 the Agency, LLC keeps a vetted vendor list, and neither the brokerage nor its owner holds any ownership or financial interest in a vendor we assign work to.
  • Do we mark up invoices? No. Vendor invoices pass through at cost. We do not add a markup, and we do not take a fee, rebate or commission from a vendor.
  • Do you have to use our vendors? No. You can use your own, provided they meet our vetting requirements.

Those three belong in a management agreement, not only on a web page. Ask anyone you are considering the same three questions, and ask for the answers in writing.

What you get in writing, and when

  • What is on the monthly statement, and which day of the month it lands
  • Whether you see the actual vendor invoices or only the totals
  • Where rent and security deposits are held
  • What you get at year end for your accountant
  • Whether there is an owner portal, and what you can see in it without calling anybody
  • Whether inspections come with photographs and a date

A manager holding money that belongs to someone else is holding it under Alabama license law, which is one of several reasons the license question comes before the fee question. We wrote that one up separately: does a property manager need a license in Alabama.

How it ends

Read the end of the agreement before you enjoy the beginning of it.

  • How long is the term, and does it renew by itself?
  • How much notice ends it, and in what form?
  • Is there a charge for ending it, and does it apply if you sell the property?
  • What transfers when it ends: leases, deposits, keys, tenant ledgers, vendor warranties, inspection history
  • Do they keep managing properly through the notice period? Ask how that has gone before.

Then run the arithmetic on your own property

Do not compare two percentages in the abstract. Put them against your actual rent and the events your property is actually likely to have in a year.

For scale while you are doing that: average rent for a two bedroom in the city of Mobile was $1,216 a month as of September 2026 (RentCafe, September 2026). A one bedroom averaged $1,020 and a three bedroom $1,592. Those are city averages, not your property, and they move.

Take your own rent. Multiply the monthly rate across twelve months. Then add the events: are you likely to place a tenant this year, renew one, carry a vacancy, run a turnover? Do that twice, once per proposal, with the same assumptions both times. The answer is frequently not the one with the smaller headline.

Arithmetic, not a quote, and not a prediction about your property.

The questions, on one page

Scope

Which of these are included, which cost extra, and which do you not do at all?

How many inspections a year are included, and what do I get afterwards?

Charges

Which events create a charge, how is each calculated, and is any of it capped?

Does the monthly fee continue while the property sits empty?

Authority

What can be spent without asking me, and what counts as an emergency?

Is anything added to a vendor invoice, and do you have an interest in the vendor?

Reporting

What is on the monthly statement and when does it arrive?

Where are rent and deposits held, and what do I get at year end?

Exit

What is the term, what ends it, and what does ending it cost?

What transfers to me or to the next manager when it does?

Accountability

What is your license number and who is your qualifying broker?

Verify it free at the AREC license search.

Is there a standard management fee in Mobile?

No. Alabama does not set management fees and there is no official rate. You will find ranges quoted online; we are not going to repeat one here as though it were a rule, because a range tells you nothing about the scope attached to it. Compare the proposals in front of you against the work they describe.

Should I just take the lowest percentage?

Only if the scope and the event charges are genuinely the same, which is rare. The cheapest headline with the longest list of extras can be the most expensive year, and the reverse happens too. Run both against your own rent.

Does the person managing my rental have to be licensed?

For the core activities of the job in Alabama, yes. That question comes before the fee question, and it has its own page: does a property manager need a license in Alabama.

My current manager is fine. Should I still do this?

Reading your own agreement with this list beside it takes about fifteen minutes and tells you what you already agreed to. The point of the exercise is not to change managers. It is to know what you signed, which is worth knowing whether you stay or not.

What if the honest answer is that I should sell instead?

Then that is the answer, and we will say so. Some properties do not carry management at any rate, and an owner is better served knowing that than being signed up.

Before you choose a manager, know what the property actually nets

We will run your rental against current Mobile market rent and show you the net rather than the gross: what it would rent for, what it would sell for, and what it keeps after vacancy, turnover, insurance and repairs. If the numbers say sell, we will tell you that.

Run my rental numbers

Or call 251-360-3166 and ask us every question on this page. We will answer all of them, in writing if you want them in writing.

We have a stake in this, and you should read it that way. 764 the Agency, LLC is a licensed Alabama real estate brokerage that offers property management, so we are one of the options an owner doing this comparison might be weighing. Nothing on this page describes, names or characterizes any other company, and no fee, rate or practice is attributed to anyone. The questions here are the ones we expect to answer ourselves.

General information, not legal or financial advice. Mary Hill is a licensed Alabama Qualifying Broker and not an attorney. A management agreement is a contract; what any particular clause means for you is a question for a licensed Alabama attorney. Nothing here is a promise of rent, cost, return or results.

Rent figures are Mobile city market data from RentCafe, last updated September 30, 2026, and will change. License verification: AREC license search. Published by 764 the Agency, LLC on October 30, 2026.