3 Years This Month

8 Replies

I think this a good time to reflect as 3 years ago this month (August 2011), I purchased my first rental.  It was an out of state duplex, in a not so nice section of Rochester NY.

At the time, the rental was 1 of 4 properties another out of state investor owned and was looking to unload them all.  I originally visited this property in February, made the offer within 30 days, but it was contingent on certain repairs and a new Certificate of Occupancy (hence the 6 months between offer and closing).  The repairs weren't too bad, and the property was overall in good shape (roof, HVAC good) but a bunch of little maintenance things and exterior paint.

Each unit was 3 bedrooms, 1 bath, about 1200-1300 square feet each and were very clean.  When I took ownership in the property grossed monthly $450/unit or $900.00 and was 'professionally' managed by a company up there.  Issues started within the first 90 days, but mostly with the management company.  I was begging for my money, not getting communications, repairs were being made without consent or communication, each statement (if I received it) was a surprise.  I wanted out...didn't want to hassle or the risk.  As a few more months went on, I felt like I was never going to get a head. I almost quit!

Then, I was fortunate.  Through some networking (and prior to knowing about this site) I transferred management to another company.  I was looking for someone who would over-communicate until I could get that trust built and know that my interests are being protected.

Fast forward to now (and the reason I put this in the Success Stories section) is I hardly need to talk to my PM anymore.  More importantly, this month not only marks 3 years for me, but also a month where a tenant turnover situation allowed me the opportunity to increase the rent an additional $75 a month.  Working with a good PM (as well as a good market) has allowed me to effectively increase the rents of each unit, that my gross is now $1175 combined, or $275.00 / month increase from 3 years ago.

I hadn't actually sat down and thought about the big picture growth until this new tenant moved in on the 1st of August.  I thought it could be motivational for some ;)

Chris

@Christopher Schmidt  Congratulations on making it work.  Being an investor often requires you to find solutions--to sellers' problems, to your investment strategy, to management, etc.  Good work.

I get asked about management companies here on occasion.  Do you mind sharing who you use?

Congrats @Christopher Schmidt Thanks for sharing! That is good to hear and encouragement for myself as a newbie about to purchase my first duplex in Rochester.

This post has been removed.

Originally posted by @Larry Turowski:

@Christopher Schmidt  

I get asked about management companies here on occasion.  Do you mind sharing who you use?

I second this, I would love to know who you use!

Thanks, it's a journey lol...but I'm hoping to realize the dream.

@Larry T.  and @Dustin Kester   I'm fortunate with my current PM, he's actually scaled down but used to operate under a company named Safe Harbor Management.  He's a friend of my in-laws (I wish they told me that before I signed up with the bad PM) but I keep trying to convince him to partner up and scale up again =)

@Shannon Sadik  best of luck, once I got a rhythm, I've been fortunate.  Now if I can just scale it up some =)

Chris

As a property manager in Rochester NY I am so happy to hear you are satisfied with your management company!  Often you hear so many horror stories of bad management companies, but us good guys are out there, also  :)  It's nice to have someone share success stories-thanks!

Congratulations and best wishes for continued success  :)

@Christopher Schmidt  thats a great story to share, I'm glad that things turned around for you. Sounds like I may have your old PM, as I will be getting away from them soon I hope. Best of luck.

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