Part 2: Maintenance, Repairs & Turnovers – Why These Costs Hurt More Than You Think
If there’s one category of expenses that takes property owners by surprise more than any other, it’s maintenance and turnover costs.
Why? Because they’re inconsistent, unpredictable, and almost always underestimated.
A dripping faucet seems harmless — until it becomes a slab leak. A long-term tenant seems like a blessing — until they give notice and leave behind stained carpets, peeling paint, and outdated appliances.
These moments are where profitability is won — or lost.
In this blog, we’re going to dive deep into what it actually costs to maintain rental property in Billings, Montana, how turnovers silently eat into your profit, and what smart property managers like Premier do to keep you ahead of the curve — and out of the red.
The Wake-Up Call: A Real Owner Story
Let’s talk about a local owner — we’ll call him Mike — who managed a few single-family rental homes in the Heights. He was a hands-on, DIY landlord who believed he was saving money by doing everything himself.
Then came a costly turnover.
His long-term tenant gave notice after 5 years. Mike expected a standard cleaning job and a quick re-rent. But here’s what really happened:
- Carpet replacement (stained, worn down): $1,200
- Full interior repainting: $1,800
- Appliance upgrades (oven and fridge were on their last leg): $2,000
- 39 days of vacancy during peak summer: $1,700 in lost rent
- Cleaning, repairs, and coordinating vendors cost him several vacation days
Total unexpected cost? Over $6,700 — and his stress level? Through the roof.
This is not unusual. We’ve seen turnovers like this many times, and the truth is: most self-managing owners underestimate turnover costs by 30–50%.
Let’s Talk Real Numbers
You can’t fix what you don’t see — so let’s put the costs on the table.
Typical Annual Maintenance Costs per Unit in Billings, MT:
Type | Cost Estimate/Year |
Preventative Maintenance | $150-$300 |
Emergency Repairs | $400–$1,200 |
HVAC/Plumbing/Appliances | $800–$3,000 |
Turnover Costs per Vacancy:
Type | Average Cost |
Cleaning & Repairs | $500–$1,500 |
Painting & Flooring | $1,200–$3,000 |
New Appliances (if needed) | $1,000–$2,500 |
Lost Rent (2–6 weeks of vacancy) | $800–$2,400 |
When you put it together, one turnover can easily cost $2,500–$7,000+, depending on how much work is needed and how long the unit sits empty.
Why These Costs Hurt More Than You Think
1. They Aren’t Planned For
Most owners budget for mortgage, taxes, and insurance — but rarely for annual maintenance, mid-tenancy repairs, or move-out damage.
Let’s say your water heater is 10 years old, your dishwasher is near the end of its life, and your roof is due for patching. If you’re not setting aside reserves for these inevitable costs, you’ll be stuck reacting when they hit — usually at the worst possible time.
Example: A Premier owner recently replaced a $2,000 furnace in November. Because we had proactively planned a capital reserve, the owner wasn’t scrambling for cash. Compare that to another owner who lost heat on a Sunday night and paid nearly $3,800 for an emergency install.
Premier’s Approach: We help owners budget in advance for both scheduled maintenance and capital improvements. You won’t be blindsided.
2. Vacancy Hurts More Than Just Rent
Every day a unit is vacant, you’re losing income — but also covering:
- Utilities (especially heating in winter)
- Lawn or snow care
- Insurance (non-occupied premiums can be higher)
- Lost opportunity if the unit sits idle while better tenants are searching
Example: We had two units in Billings come available the same week. The self-managed owner listed his unit with iPhone photos and couldn’t respond to showing requests promptly. It sat vacant for 27 days. The Premier-managed unit had professional marketing, automated showings, and was leased in 6 days — at $75 more in monthly rent.
Premier reduces average vacancy by up to 50% with fast listing, 24/7 tour scheduling, and responsive communication.
3. The “Cheap Fix” Costs More Long-Term
A $200 unlicensed handyman might seem like a bargain — until:
- The repair fails and needs to be redone
- The tenant files a complaint
- Insurance denies a claim because of unlicensed work
Example: One owner used a low-cost contractor to replace a kitchen faucet. The contractor didn’t tighten the connections properly, and within two days, water had leaked beneath the cabinet, damaging the floor. The redo cost over $2,400.
Premier ensures vendors are licensed, insured, and reliable. We get the work done right the first time — and often at better pricing than owners can find alone.
4. Deferred Maintenance Becomes Emergency Maintenance
A $150 HVAC tune-up is a bargain compared to a $1,500 emergency repair on Christmas Eve. Still, many owners put off regular servicing to save money — and pay dearly later.
Example: One of our clients didn’t realize that skipping annual gutter cleaning could cause water to back up under the shingles. After a spring thaw, water seeped into the drywall. The fix? $3,700. Had we been managing it earlier, a $175 cleaning would have prevented it.
With Billings’ seasonal extremes — dry winters, wet springs, hail in summer — proactive care isn’t optional.
We protect your property before the problem escalates — with seasonal maintenance, maintenance tracking, and vendor coordination.
The Strategic Edge for Long-Term ROI
Property management isn’t just about collecting rent — it’s about managing risk, preserving asset value, and optimizing every dollar of your investment.
Too often, landlords operate in reactive mode: responding to maintenance requests when something breaks, listing a unit only after a tenant has vacated, or scrambling to find a vendor when the regular one doesn’t pick up.
But when you’re reactive, you’re losing money — guaranteed.
Let’s break down the areas where strategy matters most:
Appliance Life Cycles
Most owners don’t track the age or performance of appliances, which means they’re often caught off guard when a fridge stops working mid-lease or a stove fails during a tenant move-in.
Strategic management = fewer surprises.
At Premier, we maintain a property-specific inventory and track appliance age. That means we can:
- Forecast upcoming replacements
- Schedule preventative maintenance
- Suggest upgrades during vacancy windows to avoid disruption
This small shift can save hundreds in emergency labor — and protect your reputation with tenants.
Vendor Backups (and Backups to the Backups)
Billings isn’t Los Angeles — we don’t have a vendor on every corner. When your go-to HVAC tech is booked out for 3 weeks in January, what’s your plan B?
Premier doesn’t just have a vendor — we have multiple vendors per trade, prioritized through long-standing relationships and volume-based agreements.
What does this mean for you?
- Faster response times during peak seasons
- Better pricing due to preferred partner status
- Accountability — vendors want to keep working with us, so they do it right the first time
Turnover Pacing & Timing
The most expensive turnover is the one that drags on.
When you don’t have a set process — a move-out checklist, vendor timelines, leasing handoff — everything takes longer. Time is money, especially when you’re losing $60–$120 per day in vacancy.
Premier starts planning your turnover the day we receive notice. That means:
- Pre-move-out inspection
- Vendor scheduling before the unit is vacant
- Listings go live within 24 hours of cleaning
- Applications processed while work is being completed
This system can cut vacancy by 50–80%, saving you thousands per year.
Preventative Care for Major Systems
Furnaces, plumbing, roofs — these aren’t “if” issues, they’re when issues. And reactive maintenance almost always means:
- After-hours rates
- Delayed responses
- Stress for tenants and owners
- Potential property damage from deferred fixes
Premier’s preventative care approach includes:
- Seasonal HVAC checkups
- Gutter and roof inspections
- Plumbing leak tests and fixture checks
- Appliance safety audits
By addressing problems early, we extend the lifespan of your systems and avoid preventable losses.
Going Beyond Defense — Playing Offense with Your Asset
Reactive management = playing defense.
You’re constantly responding, patching, and chasing peace of mind.
Strategic property management = playing offense.
You’re predicting needs, maximizing performance, and building wealth on purpose.
Premier helps you:
- Build and follow a capital improvement plan
- Minimize income gaps through streamlined leasing
- Protect property value through smart upgrades
- Reduce tenant turnover and maintain consistent cash flow
We turn chaos into clarity — and your property into the predictable income source it was meant to be.
Ready to Get Control of Your Maintenance and Turnover Costs?
If your rental property feels unpredictable…
If you’re constantly reacting to maintenance calls or tenant issues…
If every turnover feels like starting from scratch…
Let’s fix that.
Premier Property Management is your expert partner in rental property management in Billings MT. We bring the systems, vendors, and strategy that make your investment finally feel like an investment.
📞 Call us at (406) 540-8040
💬 Schedule your free strategy consults here!
📍 Locally owned. Results driven. Montana proud.
Coming Up Next:
Part 3: Taxes, Insurance & Regulatory Surprises – What Billings Owners Should Prepare For
Hook:
Think you’ve got your property expenses figured out? Think again. Tax shifts, insurance hikes, and new city regulations are hitting owners harder than ever.
In Part 3, we’ll break down:
- Montana’s new tax model & what it means for landlords
- Insurance changes and liability protections
- Costs of inspections, registration, and local compliance
- How Premier stays up-to-date so you don’t have to