What repair spending limit should I give my property manager?

Why a limit matters

Without a limit, you either hear about every faucet or you hear about nothing. A limit gives the manager room to fix small things at once and gives you a say in big ones. It also protects against a manager spending to earn a markup or against a vendor who inflates a small repair. The limit is written in the agreement, so the number you choose is a contract term, not a favor.

How to pick the number

Pick it from your own building, not from a rule of thumb. Look at the last year of repair invoices and sort them. Most jobs in a small building are small; a few are large. The limit should sit above the small ones so you are not asked about them, and below the few that deserve a conversation.

1. List last year's repair invoices by amount.
2. Mark the point where jobs shift from routine to something you would want to approve, such as a water heater or a flooring replacement.
3. Set the limit just below that point, and round it.
4. Set a lower limit for the first three months if you are new to the manager. Raise it once the invoices look right.

Example a made-up fourplex with 22 repair invoices last year. Eighteen were under $400, three were between $700 and $1,100, and one was a $3,800 water heater. A limit of $500 lets the manager handle the routine jobs without asking, and puts the three mid-size jobs and the water heater in front of you.

The emergency exception

Write the emergency exception into the agreement in plain words: the manager may spend what is needed to stop damage to people or the building, such as a burst pipe, no heat in cold weather, a sewage backup or a dangerous electrical fault, and must tell you within a set time, such as 24 hours. See what counts as an emergency repair for a definition you can adapt, and your after-hours plan.

How to review what was spent

• Ask for the invoice with every repair above a small amount, not only the statement line.
• Ask whether a repair was split into two invoices that each fall under the limit.
• Ask for vendor names and whether invoices are passed through at cost; see the fee types.
• For any job above the limit, ask for two quotes unless it is an emergency.
• Review the pattern each quarter: which units and which vendors take the most spending.

Revisit the number twice a year. If the manager is asking about almost everything, the limit is too low; if you are surprised by invoices, it is too high. Put the change in writing and have both sides sign it, so the agreement always matches what you actually expect. Keep the approvals and invoices with your records for the period in IRS Publication 583.

One more protection: ask the manager to tell you about any repair that repeats within a few months in the same unit. A second plumbing call in ninety days is a sign the first fix did not work, and a limit alone will not catch it because each invoice is small.

Where DoorKeeping fits

If you manage your own repairs, DoorKeeping works the same way: a work order goes to a vendor by link, and anything that involves money waits for your one-tap approval. At $2 per unit per month you get a record of what was approved and when.

Sources

1. IRS Publication 583, Starting a Business and Keeping Records, read Oct 30, 2026

Questions

What is a typical repair approval limit?

There is no standard. A limit near one month's rent is a common starting point, then adjust it from your own invoices.

Should the limit apply to emergencies?

Usually not. Allow emergency spending to stop damage and require the manager to tell you within a set time.

Can the manager split one job to stay under the limit?

Your agreement can forbid it. Ask that related work on one issue counts as one job.