KEY TAKEAWAYS
- Industry guides commonly cite full-service management fees of roughly 20–35% of revenue, and many managers calculate their percentage on the GROSS booking total — always ask what the percentage is calculated on.
- Hooray Stays’ commission starts at 20% of NET nightly revenue: the nightly rate after the booking platform’s host fee, with cleaning fees and taxes excluded.
- In a hypothetical 3-night Medical Center booking at $150/night, the gross-vs-net difference is roughly $58-$84 in management fees on that one reservation.
- Hooray Stays includes consumables, daily human revenue management, quarterly in-person walk-throughs, and a $1,500 damage waiver at no extra charge.
- Matt and Carissa Codd own and operate their own STRs, so they have real skin in the game — not just a management contract.
The Texas Medical Center generates steady short-term rental demand. Travel nurses rotating through Houston Methodist. Medical residents on clinical rotations. Patient families who need a comfortable, affordable alternative to a hotel for a week or two. If you own a property near the TMC, it’s worth checking exactly what your property manager’s percentage is calculated on. 💰
The Fee Structure Every Houston Owner Should Understand
The most important number in any STR management agreement is not the percentage — it is what that percentage is calculated on. Industry guides commonly cite full-service management fees of roughly 20–35% of revenue, and many managers calculate their percentage on the gross booking total (source). Depending on the contract, “gross” can include the booking platform’s fee, your cleaning fee, and sometimes taxes collected by the platform.
If so, you are paying your manager a commission on money that never reaches you and was never yours to begin with.
A Hypothetical Medical Center Booking Example
Hypothetical example: a travel nurse books three nights near the TMC at $150 per night, with an $85 cleaning fee. Here is how the math works:
- Gross booking total: $450 nightly + $85 cleaning fee = $535 before taxes
- A manager charging 25% of gross: Commission applied to $535 = about $134 in management fees
- A manager charging 30% of gross: Commission applied to $535 = about $161 in management fees
- Hooray Stays at 20% of NET: Commission applied to about $380 of net nightly revenue ($450 less an illustrative 15.5% platform host fee; cleaning fee excluded) = about $76 in management fees
That is a difference of roughly $58 to $84 on a single hypothetical three-night reservation, purely because of how the commission base is defined. Your own numbers will depend on your rates and your agreement.
We broke down the gross-vs-net fee issue in an earlier post worth reading: STR Management Fees in Houston TX (And What to Demand).
Hooray Stays vs. Questions to Ask Any Houston Manager 📊
Before signing anything, ask every manager to answer each of these categories directly. The answers will tell you everything.
| WHAT MATTERS | HOORAY STAYS | QUESTION TO ASK ANY MANAGER |
|---|---|---|
| Commission base | ✅ Starts at 20% of NET nightly revenue | Is your percentage calculated on gross or net? |
| Consumables included | ✅ Soaps, coffee, paper goods, shampoos — fully stocked, no markup | Are consumables included, and do you mark them up? |
| Revenue management | ✅ Daily human review of pricing — not just automated software | Does a person review pricing, and how often? |
| Who you can reach | ✅ Matt directly, (832) 224-6713 | Who will I talk to when there’s a problem? |
| In-person property visits | ✅ Quarterly in-person walk-throughs | How often will someone visit in person? |
| Damage protection | ✅ $1,500 damage waiver included on every reservation | Is damage protection included on every reservation? |
| Guest vetting | ✅ Signed rental agreement + government-issued photo ID before every check-in | Do you verify guests beyond platform screening? |
| Contract flexibility | ✅ 30-day notice to cancel; setup fee waived on select longer-term agreements | What is the term, notice period, and is there auto-renewal? |
Red Flags to Watch in Any Houston STR Management Agreement 🚩
Fee percentage is just the starting point. Experienced owners know to look deeper before signing anything. Here are the warning signs that a management contract is going to cost you more than the quoted rate suggests:
- Gross-based commission with no clear definition. If the contract does not specify exactly what the commission is calculated on, assume it is gross. Ask for it in writing.
- Supply and maintenance markups. Ask whether the manager adds a markup when buying consumables or coordinating repairs. Ask directly: “Do you mark up any vendor or supply costs?”
- Auto-renewal clauses with short cancellation windows. A 30-day notice requirement buried in a 12-month auto-renewing contract can trap you for another year if you miss the window.
- Unclear guest communication. Ask who answers guest questions, how quickly, and whether they can tell a guest where to park at the Texas Medical Center or where to eat near Rice Village.
- No one you can actually call. If reaching a live human requires a ticket, a chat queue, or an email that takes 48 hours, that is how your guest emergencies will be handled too.
- Fully automated pricing with no human review. Dynamic pricing tools are useful, but they may not know that a major concert was just added at Toyota Center or that a medical conference just filled every hotel in the TMC corridor. A human who watches Houston demand daily does.
Why the Texas Medical Center Makes This Conversation Even More Important
Houston’s TMC is the largest medical complex in the world. It does not have an off-season. Travel nurses arrive on 13-week contracts. Families relocate temporarily while a loved one receives treatment. Visiting physicians and researchers fill short-term stays between longer hotel stretches. The demand is real and steady — these guests need to be somewhere comfortable, and they often book on short notice.
That kind of consistent booking volume means fee leakage compounds faster than it would on a purely seasonal property. A beachfront rental in Crystal Beach might sit quiet in February. A well-located Houston unit near the Medical Center probably does not. Every reservation where you are paying commission on the cleaning fee and the platform fee is another quiet drain on your returns.
What Hooray Stays Actually Includes for Houston Owners 🏠
Beyond the net-based commission structure, here is what’s included (consumables with no markup; depending on the agreement, a monthly technology fee covers the smart lock, exterior camera and guest WiFi system):
- Consumables fully stocked: soaps, shampoos, conditioner, coffee, paper goods
- Yale smart lock on every property with a unique door code per guest — no lockboxes, no lost keys
- Ring camera on the exterior for arrival awareness and security
- Proprietary guest WiFi portal that can capture guest emails into the owner’s marketing list, enabling direct booking outreach without platform fees
- UpClose Marketing membership: premium branded products delivered to guests
- Breezeway safety certification and STR permitting guidance
- Annual human trafficking prevention training for all staff
- First 30 days commission-free for new owners (current promotion)
Exact terms vary by property and agreement, so ask us for the details on yours.
The Operator Difference: Skin in the Game 🤝
Matt and Carissa Codd are based in Katy, TX. They own and operate their own short-term rentals alongside every client property they take on. When a pricing decision gets made at 11pm because a last-minute opening just appeared on a high-demand weekend, that decision gets made by someone who feels the same outcome on their own bottom line.
When you call Hooray Stays at (832) 224-6713, Matt answers the phone. That matters most when something goes wrong at 9pm on a Saturday and a guest needs a resolution before they leave a review.
If you are also weighing options for a Gulf Coast property, our breakdown of how much a Galveston vacation rental can make in 2026 gives context on what good management actually looks like for a beach house investment.
The fee audit call is free, no-pressure, and takes about 20 minutes. You will leave with a clear picture of exactly what you would pay under our structure versus what you are paying now — and what the difference adds up to over a full year of Medical Center bookings. You can also read more about our Houston Airbnb property management and what’s included in Hooray Stays property management.
Frequently Asked Questions ❓
What is the typical STR management fee in Houston TX?
Industry guides commonly cite full-service management fees of roughly 20–35% of revenue, and many managers calculate their percentage on the gross booking total. Hooray Stays’ commission starts at 20% of net nightly revenue: the nightly rate after the booking platform’s host fee, with cleaning fees and taxes excluded. Always ask what the percentage is calculated on.
What is the difference between gross and net commission for STR management?
Gross commission is calculated on the full amount a guest pays, including cleaning fees and platform fees that go to Airbnb. Net commission is calculated only on the nightly revenue the owner actually receives. Paying 25% of gross is almost always more expensive than paying 20% of net.
How much can Houston Medical Center STR owners save by switching to a net-based fee structure?
In our hypothetical three-night example ($150 per night plus an $85 cleaning fee), a manager charging 25-30% of the gross total would collect about $134 to $161, versus about $76 at 20% of net nightly revenue. Your numbers depend on your rates and contract, so ask us for a free property-specific analysis.
Does Hooray Stays include consumables in their Houston management fee?
Yes. Hooray Stays stocks every property with soaps, shampoos, conditioner, coffee, and paper goods at no extra charge and with no markup.
Is there a contract required to work with Hooray Stays in Houston?
Hooray Stays agreements can be cancelled with 30 days’ notice. The setup fee is waived on select longer-term agreements, and new owners currently receive their first 30 days commission-free. Exact terms vary by property and agreement.
How does Hooray Stays handle guest communication for Houston properties?
Matt and Carissa Codd run the operation themselves, and owners can reach Matt directly at (832) 224-6713. Every guest also signs a rental agreement and provides a government-issued photo ID before check-in.
Keep reading 📚
- Best Airbnb Management Companies in Galveston TX: What Local Owners Should Know Before Hiring
- Galveston Vacation Rentals for July 4th Weekend: Book Direct
- Corporate Housing in Houston: 5 Revenue Hacks for Property Managers Hosting Medical Center & Business Travel Guests
Thinking about professional management? 🏡
Get a free, no-pressure property analysis from Matt and Carissa, real Gulf Coast operators. Your first 30 days are commission-free.
Written by Matt & Carissa Codd, owners of Hooray Stays and active Texas Gulf Coast short-term rental operators. Last updated July 27, 2026. Questions? Call 832-224-6713.