Pittsburgh property management recommendation for OOS investor
Most Popular Reply
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
6yRemember: cheaper doesn't mean you'll make more money.
You can start by going to www.narpm.org to search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start. Regardless of how you find them, try to interview at least three managers
1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their different staff qualifications.
2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.
3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees. Fees should be clearly stated, easy to understand, and justifiable. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate!
4. Review their lease agreement and addenda. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.
5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance, late rent, evictions, turnover, etc. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that it is enforced equally and fairly by their entire staff.
6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact they are complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.
7. Look at their marketing strategy. Are they doing everything they can to expose properties to the widest possible market? Are their listings detailed with good quality photos? Can they prove how long it takes to rent a vacant property?
This isn't inclusive but should give you a good start. If you have specific questions about property management, I'll be happy to help!
The DIY Landlord Book4.7248 Reviews
7 Replies
- Rental Property Investor · Pittsburgh, PA · Member since 2018 · 150 posts · 50 votes6y
@Anand S. where are your properties?
- Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes6y
Remember: cheaper doesn't mean you'll make more money.
You can start by going to www.narpm.org to search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start. Regardless of how you find them, try to interview at least three managers
1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their different staff qualifications.
2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.
3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees. Fees should be clearly stated, easy to understand, and justifiable. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate!
4. Review their lease agreement and addenda. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.
5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance, late rent, evictions, turnover, etc. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that it is enforced equally and fairly by their entire staff.
6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact they are complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.
7. Look at their marketing strategy. Are they doing everything they can to expose properties to the widest possible market? Are their listings detailed with good quality photos? Can they prove how long it takes to rent a vacant property?
This isn't inclusive but should give you a good start. If you have specific questions about property management, I'll be happy to help!
The DIY Landlord Book4.7248 Reviews - 6yAnand S.Investor · San Diego, CA · Member since 2014 · 36 posts · 8 votesOP
Originally posted by @Clayton Hepler:
@Anand S. where are your properties?
These are small multifamilies/duplexes around Mt.Oliver area/Carrick in Pittsburgh
- 6yAnand S.Investor · San Diego, CA · Member since 2014 · 36 posts · 8 votesOP
Thanks @Nathan Gesner for the pointers... I will check out the listings... The problem I see is that I am doing most of the management for the PMs and the ball gets dropped on many issues, unless I remember to follow up. Examples will include follow-up on maintenance requests, rent collections, unauthorized repairs, eviction notices etc. I do pay 8% and I am not necessarily looking for a cheaper option - but someone who can provide a good first hand PM referral will be worth its weight in gold at this point.
- Rental Property Investor · Pittsburgh, PA · Member since 2015 · 35 posts · 22 votes6y
@Anand S. - I just sent you a direct message with some information that might be helpful.
- Summerville, SC · Member since 2018 · 553 posts · 252 votes6y
I had this same exact problem on my OOS duplex in Pgh. Actually a good property manager, just not aggressive enough with collecting rent and evictions. Like you, I made nominal money under their management. I made a change, and although not great, I'm in a better position finally than I was. In case you're wondering, I do not have a property manager. A pseudo-partner rather (long story)
- 6yAnand S.Investor · San Diego, CA · Member since 2014 · 36 posts · 8 votesOP
Update - I was unable to switch the property manager because they say I have to pay them the management fees for the next 10 months which is the remainder of the contract which auto-renewed for another year (I was not aware). I am losing a lot of money every month on this - 3 eviction candidates out of 5 tenants placed by them in the last 5-6 months. When I visited the properties, it seemed really scary - the quality of tenants placed was very sketchy. Any advise on how to deal with this?
Join the conversationCreate a free account to reply, vote on answers and follow this thread.