Real Estate Law
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Congratulations on joining this particular revolution. There are some things that legally I would recommend to you so you can be sure to turn a profit but also protect yourself legally as well.
As far as commissions are concerned to a manager, that is going to be highly dependent on their experience, the rate for the area, and the job that they are going to do. Regardless, I would recommend making sure that they are an independent contractor and not an employee. This will prevent you from having to pay unemployment insurance and also prevent you from having to pay worker's compensation insurance as well. Also, if the contractor is sued, you won't be sued along with them most likely because they are an independent contractor.
As far as a special kind of contract with the renters and the manager, generally, you should include in your rental agreement with the renter that the independent contractor is not employed by you, but is only paid to ensure that the renter's stay is as peaceful as they could possibly make it. Just make sure that if you are creating this agreement, that you ensure that you are not liable for the acts of an independent contractor at all and you cannot be held personally liable for the independent contractor's actions. The reason this is important is in part because if a person sues an employee of yours, you, as the employer, could be held liable under the law. ICs cannot hold the other party to a contract liable.
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