How to Monetize Your Resident Benefits Package Without Junk Fees

Creating a DIY resident benefits package isn’t just about improving the resident experience—it’s also a powerful tool for generating ancillary revenue. But there’s a right way to do it, and a wrong way. With increased scrutiny around “junk fees” in the rental industry, property managers need to ensure that the benefits they offer provide real, tangible value to residents while staying transparent and compliant.

By structuring your own benefits package rather than relying on a third-party provider, you keep full control over pricing, offerings, and transparency. You decide which services make sense, how they’re presented, and how to create revenue streams without unnecessary markups or hidden fees.

Let’s break down how to do this the right way.

Understanding the Difference Between Value-Added Services and Junk Fees

Not all fees are bad, but renters (and regulators) are quick to push back when charges feel unnecessary or misleading. The key to monetizing your benefits package ethically and effectively is ensuring that each charge corresponds to a real service or value.

What Is a Value-Added Service?

A value-added service is a benefit that enhances the renter’s experience in a meaningful way. It provides convenience, cost savings, or a quality-of-life improvement. Examples include:

✔ Air filter delivery – Ensures cleaner air, lower energy bills, and prevents costly HVAC damage.
✔ Credit-building services – Helps renters improve their credit score simply by paying rent on time.
✔ Renter’s insurance enrollment – Protects residents and owners from unexpected losses.
✔ Package lockers – Secure, 24/7 access to deliveries without the risk of theft.

Each of these services solves a problem for residents. That’s what makes them legitimate, value-driven offerings—and what allows you to monetize them transparently.

What Is a Junk Fee?

A junk fee is a charge that lacks clear justification, is excessive, or doesn’t provide real value to the resident. These fees can lead to complaints, increased scrutiny, and potential regulatory issues. Examples include:

🚫 Mandatory fees for services residents don’t use or benefit from
🚫 Overpriced markups without added value
🚫 Fees that aren’t clearly disclosed upfront

Avoiding junk fees doesn’t mean you can’t charge for your resident benefits package. It just means the fees you charge should be reasonable, clearly communicated, and backed by real services.

Keeping Transparency and Compliance Top of Mind

While we won’t get into legal specifics, it’s essential to ensure your DIY resident benefits package is structured in a way that aligns with fair and transparent business practices. Here’s how:

1. Clearly Communicate the Value of Each Benefit

When presenting your benefits package to residents, spell out exactly what they’re getting and why it’s valuable. Instead of listing a single, vague “Resident Benefits Package Fee,” break down the specific perks they receive:

✅ $X/month – Air filter delivery service (improves air quality, lowers energy bills, prevents HVAC issues)
✅ $X/month – Credit-building service (reports rent payments to credit bureaus to help build credit history)
✅ $X/month – Renter’s insurance enrollment (meets lease requirements, protects against losses)

When residents understand what they’re paying for, they’re far more likely to see the package as a benefit rather than an unnecessary charge.

2. Offer Options Instead of Mandatory Fees

One way to avoid the perception of a junk fee is by allowing flexibility in how residents engage with your benefits package. While certain services (like air filter delivery) might be built into the lease for compliance reasons, others—such as credit-building tools or pet perks—could be optional add-ons.

By offering choices, you reinforce that your package is about delivering value, not just collecting fees.

3. Ensure Pricing Reflects Actual Costs and Benefits

Pricing your benefits package fairly is critical. Residents will compare the costs of the services you provide with what they might pay elsewhere. If they can easily find the same services for significantly less on their own, they may see your package as a markup rather than a benefit.

A DIY approach gives you the advantage of negotiating directly with service providers or sourcing affordable solutions yourself, rather than paying a third-party company’s inflated fees. This means you can keep your own pricing competitive while maintaining profitability.

Structuring Your Benefits Package for Clear Value and ROI

Now that we’ve covered what makes a strong, ethical resident benefits package, let’s look at how to structure it effectively.

Step 1: Choose High-Impact, High-Value Services

The best benefits packages focus on practical, everyday value. This means prioritizing services that residents will actually use and appreciate.

💡 Must-have services:
✔ Air filter delivery (built-in lease requirement)
✔ Renter’s insurance enrollment
✔ Utility concierge service
✔ Credit-building tools

💡 Optional add-ons for lifestyle enhancement:
✔ Smart home features
✔ Pet perks
✔ Discounted gym memberships

Step 2: Price It for Profitability Without Overcharging

With a DIY model, you get to control the margins—no unnecessary third-party markups. When determining pricing, consider:

✔ Cost of services (e.g., negotiating bulk rates for air filter delivery)
✔ Competitive market rates (ensuring residents see it as a deal, not an upcharge)
✔ Profitability for your business (a reasonable, transparent markup that covers costs while generating ancillary revenue)

Step 3: Present It as a Resident-Centric Benefit

Instead of framing your package as an extra fee, position it as a valuable service bundle that enhances their living experience.

✅ Market it as a convenience that saves time and money
✅ Highlight how it helps residents stay compliant with lease requirements (like air filter changes and insurance)
✅ Show them how they benefit financially (lower energy bills, better credit, exclusive discounts)

When done right, your DIY resident benefits package won’t just be something residents accept—it will be something they actually appreciate.

A well-structured resident benefits package is one of the most effective ways to improve resident satisfaction and create a new revenue stream. The key is ensuring that every service you include adds real value while keeping pricing transparent and fair.

By taking the DIY route, you stay in control of how your package is built, priced, and presented—allowing you to maximize revenue, improve resident retention, and provide services that actually make a difference.

Want to learn more about building a DIY resident benefits package? Download our Free eBook to discover how to build a DIY resident benefits package that boosts revenue, improves retention, and delivers real value to residents—without junk fees.