Basic Maintenance Plan – Does it Pencil?

Basic Maintenance Plan –  Does it Pencil Out?

Helping Property Managers Maximize Efficiency Without Sacrificing Revenue
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any property management companies hesitate to outsource property surveys, viewing it as a potential loss of a profitable revenue stream. However, the reality is that most in-house inspection models carry significant hidden costs — from payroll and scheduling to time spent in the field — which can dramatically reduce or even eliminate actual profit margins.

The Basic Maintenance Plan is designed to help you retain survey-related profits while offloading the operational workload. More importantly, it provides a high-quality, value-driven product that your owners will appreciate and trust. This page will guide you through a clear comparison of in-house vs. outsourced options, helping you evaluate true profitability and efficiency.

CRUNCH THE NUMBERS

Calculation Details

THE COMMON MISCONCEPTION

We do our own inspections, so we’re keeping all the revenue.”

While this is true on the surface, the real question is: What does it cost you to do them in-house?

When you account for employee time, travel, scheduling, management, operational overhead, the true cost per inspection adds up quickly—often eating away most of the margin. 

As this is our core business function, we have optimized the processes and have a strong understanding of these numbers. Below we will break down the general expenses and justify the costs calculated. Using internal data, payroll, insurances, taxes, workers comp, and other overhead expenditure data points, we have broken down the average cost per survey.


EMPLOYEE EXPENSE

PAYROLL | PAYROLL SERVICE  | EMPLOYER TAXES | WORKERS COMP | INSURANCE

At first glance, a property survey might seem like a quick task — 30 to 45 minutes on site, and it’s done. Based on that, it’s tempting to assume that labor costs are minimal, especially if you’re paying an employee $15 an hour. But that assumption significantly underestimates the actual time and cost involved in consistently executing inspections at scale.

Our team of full-time technicians averages approximately 1,000 inspections per year, earning an average of $33,000. That translates to four or five inspections per day, four to five days a week, across 50 working weeks annually — a full workload. While the on-site portion of the inspection typically takes 30 to 45 minutes, the actual time invested per inspection averages closer to two hours. This includes travel to and from properties, unexpected delays such as traffic or wrong addresses, and daily prep and wrap-up activities at the office. It also accounts for time spent attending meetings, gassing up company vehicles twice a week, routine vehicle cleanings, as well as managing no-shows and last-minute reschedules. All of these tasks accumulate over time, contributing to significant hours paid that are not directly tied to the inspection itself.

In addition to direct wages, we incur approximately 22% in overhead costs per employee. This includes payroll processing, payroll taxes, general liability insurance, and workers’ compensation coverage. Industry benchmarks suggest overhead typically ranges from 20% to 40%, putting us on the more efficient, low-cost end of the spectrum.

When fully accounted for, our actual per-inspection employee cost comes out to $42. This is a comprehensive figure that reflects both the labor required and the broader operational infrastructure necessary to consistently deliver inspections at scale. These are real costs that often go unnoticed when property managers attempt to run inspections in-house — ultimately impacting both margins and management bandwidth.


SCHEDULING & MANAGEMENT 

POSTING NOTICES | SCHEDULING | FIELDING TENANT ISSUES | OVERSEEING SURVEYS DAILY

Scheduling and managing inspections is another operational layer that carries meaningful costs. Depending on the process and tools used to notify tenants, coordinate appointments, handle access issues, and manage rescheduling, this line item can vary significantly. In our model, one full-time manager is able to effectively oversee and coordinate approximately 6,000 inspections per year. At a salary of $50,000, this equates to a management and scheduling cost of approximately $8 per inspection. This cost covers tasks such as tenant communication, system updates, notice postings, real-time support for field staff, and ensuring the overall flow of inspections stays on track. While often overlooked in internal models, this layer of administrative effort is essential to maintaining efficiency and a positive tenant experience.


GAS & VEHICLE EXPENSE

REIMBURSEMENT RATE | VEHICLE DEPRESSION | CAR PAYMENTS

Travel-related expenses are another important consideration when calculating the true cost of in-house inspections. Depending on your geographic coverage area, unit density, and routing efficiency, mileage can vary significantly. In our operation, we average between 100 to 115 miles per week per inspector — roughly 20 miles per day, or approximately 5 miles per inspection. Using the current IRS mileage reimbursement rate of $0.70 per mile, this results in a vehicle and fuel cost of about $4 per inspection. This figure accounts for not only fuel, but also wear and tear, maintenance, and the broader vehicle-related expenses involved in running a field-based inspection program.


VALUE OF MY TIME

YOU ARE YOUR MOST VALUABLE RESOURCE ARE YOU TREATING IT AS SUCH

For Property Managers who personally handle surveys, it’s important to assess the true opportunity cost of your time. As a business owner or senior operator, your time is one of your most valuable assets. When you’re tied up conducting surveys — tasks that can be reliably outsourced at a fixed, low cost — you’re not just saving money; you may actually be losing it. If your time is conservatively valued at $50 per hour, every hour spent on tasks that could be delegated is time taken away from revenue-generating activities like acquiring new doors, strengthening owner relationships, or refining operations. Building a scalable business means focusing your energy where it creates the most impact — and surveys, while important, are rarely the best use of a property manager’s expertise.


While your expenses may differ, this is a detailed and accurate evaluation

Frequently Asked Questions

What is the Basic Maintenance Plan?

The Basic Maintenance Plan is designed to provide consistent and reliable occupied survey documentation, as well as provide preventative care for your properties. We ensuring minor issues are addressed before they escalate into costly repairs. By scheduling regular inspections and handling routine upkeep, we aim to preserve the condition and value of your property, reduce emergency repair calls, and help keep tenants happy and long-term. It’s an affordable, proactive way to protect your investment.

LEARN MORE

How is the Property Condition Report different from the regular inspections I already do?

The Property Condition Report, provides a detailed, in-depth assessment of the property’s physical state, examining all major systems and structures as well. This report gives you a clearer picture of potential maintenance needs, upcoming repairs, and long-term planning for your property’s upkeep. It’s a valuable tool for proactive property management.

SAMPLE INSPECTION REPORT

What types of maintenance are included in the Basic Maintenance Plan?

The plan covers routine and preventative maintenance tasks, such as gutter cleaning, and minor plumbing repairs, caulking repair, etc. The goal is to catch any potential issues early on. Larger, more complex repairs aren’t covered under this plan but can be done at a discounted rate. We can share a full list of the covered services to give you a better idea of what’s included.

How will I be updated on the maintenance done and the condition of my properties?

After each inspection or maintenance visit, you’ll receive a detailed report, including photos and notes on the condition of the property. This transparency ensures you’re always in the loop and can make informed decisions about any recommended repairs or improvements. We’re here to answer any questions and ensure you’re comfortable with the process.

How is this billed?

Depending on your invoicing and management software, this will be added as a recurring monthly expense to your clients, and then you remit payment to us for our services monthly. Total costs are dependent on the services included.

Who performs the maintenance and inspections under this plan?

Our employees specialize in property maintenance and have a proven track record with high-quality service and attention to detail. We understand rental property and tenant rights, we are fully licensed, bonded, and insured.