Flipper/Rehabber · Seattle, WA · Member since 2018 · 23 posts · 10 votes
I own a triplex in Ohio and all three tenants are friends and each other keep creating some or another issue each month which is going crazy.
1. One tenant never pays on time and she says before paying rent some or other issue when someone is there to repair she never responds.
2. We have a fixed furnace actually got a new furnace since she was out of heat she creates claims to pay for her hotel and all that ...
Every month some of the other issues keep coming or they bring up... I am out of state investor. I have tried with one property management company but didn't go well.
The lease is with the old property management company we ask for a new lease they don't do that also.
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
5y
You need to put the effort into finding a new property manager.
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!
Investor · Midwest · Member since 2019 · 338 posts · 226 votes
5y
@Prasad Gupta
1. When is their lease up? Give them the proper notice that when their lease ends you do not intend to renew it. If they don't have a valid lease, then file to evict after giving proper notice. The key is to follow all procedures / timelines to the letter. You don't want to lose an eviction case on a technical issue.
The CDC Covid restriction says you can't evict for non-payment of rent, it doesn't prevent you from evicting for other violations of the lease or for not having a valid lease. - Check local laws, I'm not a lawyer.
2. What does the lease say about repairs and entry? If a tenant submits a proper maintenance request, but is unresponsive when it comes to sending a repair tech then give them the required notice to enter i.e. 24 / 48 hours that you or your management company will open the door for a repair tech. - Check your local laws given COVID.
3. What does your lease say about covering temporary housing? Our lease specifically says we don't cover cost of temporary housing for ANY reason. Probably to late in this case, but add it or ensure whatever property management company you use has it in their lease. Again, check local laws, consult an attorney.
Your lease or the lease of your property management company can make your life easy or difficult. Make your lease as detailed as possible.
Every time we get the short end of the stick on an issue we learn and then add a clause for it in the lease. It prevents future tenants from jumping through the same loopholes.
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
5y
You need to put the effort into finding a new property manager.
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!
Realtor · Oakland, CA and a Real Estate Investor with Multi-Family Units and a Self Storage Facility · Member since 2016 · 2k+ posts · 2k+ votes
5y
That's why I LOVE my properly screened Section 8 tenants here in the Bay Area as well as Cleveland. Me and my PM never have to deal with that kind of nonsense from them. Sounds like you definitely need a new PM. Reach out to @Dave Terbeek with Remax Haven.
If your property is located anywhere near Cleveland Ohio, reach out to Andrew Weiner at Realty Now Property Management. He is easy to talk to and should be able to help you figure out your tenant situation.
Wholesaler, Fix and Flip, Buy and Hold · Akron, OH · Member since 2015 · 1 post · 0 votes
5y
I would love to speak with you about this issue. Sounds like it may be time for some new tenants. You may also want the PM to validate the temperature in the units. I'd take a look at your current leases and see when they expire and start planning to notify the tenants that it is time to move on (literally).
Flipper/Rehabber · Seattle, WA · Member since 2018 · 23 posts · 10 votes
5y
@Brandon Sturgill it is just time.. I wanted someone on the ground to solve the issue but I didn't have good exp with PM too I am trying my best to solve
Flipper/Rehabber · Seattle, WA · Member since 2018 · 23 posts · 10 votes
5y
@Greg beris that is what i m one is in month to month lease so kicking them out and other lease expire so now middle tenant seems to ok so will see how that goes
Flipper/Rehabber · Seattle, WA · Member since 2018 · 23 posts · 10 votes
5y
Thanks for all the feedback most important Carls on what should be on the lease. Thanks all for sharing your contracts... so sweet of you... I have been having a hard time to making decision with PM since unless you try and give then chance you will know