Lease up fees are being implemented to enhance our leasing process and ensure the timely placement of qualified tenants in your properties. By covering the costs associated with advertising, screening, and administrative tasks involved in filling vacancies, these fees ultimately contribute to a more efficient and effective leasing experience. This means faster occupancy rates, reduced vacancy periods, and ultimately, improved performance and profitability for your property.

Lease up fees will be effective June 1st.

HomeRoom has created multiple policies to ensure we stay aligned with our owners when shorter leases are signed.

1) Increased Charges for Shorter Leases: HomeRoom charges more for shorter leases - to offset any leasing costs. In most cases, this premium covers the full lease-up cost for owners.

2. Incentive for Longer Leases: Our leasing team is incentivized to sign longer leases - and we measure their average length of lease they secure

3. Focus on High Occupancy: Finding and acquiring tenants involves significant effort. Both HomeRoom and our owners achieve long-term success through high occupancy rather than frequent tenant turnover. Our goal is to exceed our current average stay of 16 months.

Short-Term Leases: For leases shorter than six months, owners will be charged a half-month rent upfront.

Long-Term Leases: For leases six months or longer, owners will be charged a full month's rent.

Lease up fees apply to new leases, where a new tenant is being placed in the property. Cu reare subject to a flat $100 renewal fee.

Lease up fees are charged each time a new tenant signs a lease.

Lease-up fees are due upfront upon a new tenant signing a lease. It is deducted from the total rent payout.

The 15% management fee covers the ongoing, routine operational management of your property, such as collecting rent, and managing tenant relations. However, leasing involves additional, specialized tasks and expenses that go beyond these day-to-day activities. Property management companies charge a separate lease-up fee to ensure they can allocate the necessary resources to effectively lease your property while maintaining the quality of ongoing management services.

Rent-by-the-room managers charge more than single-family rental property managers due to the increased complexity and workload associated with managing individual room rentals.

Yes, lease up fees are quite common in the industry. As of May 2024, HomeRoom was the only coliving property manager not charging lease-up fees. We are implementing these fees to allow us to drive higher occupancy rates and align our fee structure with industry standards.

Our lease-up fees are very competitive when compared to other property managers in the industry. In fact, we have structured our pricing to be more affordable than most other operators.

It will be listed as its own line item “Lease Up Fees” and the corresponding fee will be included in the monthly owner statement.

To maximize returns we balance short-term cash flow with long-term gains. Our goal is to develop your property into a sustainable, long-term investment. We're adding leasing fees so we can drive higher occupancy which is a key driver of your profitability.

Simultaneously, we're implementing a number of strategies to reduce maintenance costs and improve revenue. All of these initiatives are designed to improve overall profitability in conjunction with the lease up fees.

Lease up fees are an essential component of our property management services and are non-negotiable. These fees allow us to allocate the necessary resources to effectively market your property, screen potential tenants, and secure leases in a timely manner. By streamlining our processes and ensuring the highest standards of tenant quality, we ultimately enhance the performance of your property and maximize your rental income.

At the time of your agreement renewal, these new fees will be incorporated into our updated agreements. For now, we are implementing and standardizing these fees across our entire portfolio.

Refunds are not provided if a lease falls through. This policy ensures that the costs associated with tenant sourcing, leasing, and screening are covered.