Property Management in Milwaukee area

20 Replies

Who would you recommend for property management services (single family and duplex) in the Greater Milwaukee area? Thanks in advance!

I have been using Porch Light (http://porchlightproperty.com) for over a year now for my single family home.  They charge 10.5% of monthly rent. 

We finally were able to find the ideal tenants and things have been pretty. They replaced 2 smoke detectors on the last walk thru that they charged over $100 (that seems a little high).  They also didn't give me notice of rental renewal or the option to increase rent, maybe this is on me but a few things i've learned during the process of using a property management service. 

@Brandon Williams

Haven't used any of the following but I have heard nothing but great things about the following companies:

REIS @Matt Maurice

PMI of Greater Milwaukee

@Dan Zuperku you might want to contact one of these guys. 10.5%- is the first time I've heard of that number...

All the best to you both,

I have use SUV, PMI and RPM. All have not done a good job. RPM is so far the worst. If anyone has a good company in Milwaukee to recommend, I would be happy to listen!

I use Citywide not to please with them either, I'm also following this post

I am currently interviewing PMs in MKE, so I am curious to hear what others say. 

Thank you @Todd Dexheimer and @Chai Xiong for your input! I will put it in my notes as folks to avoid.  

I have used SUV and in my long history of unsatisfactory property managers have been happy with them . I used to split my investments in two cities but moved almost everything to SUV because they have performed well for me, better than the other  property manager in the other city. I have 20 rentals with SUV and will be adding a few more.

Whatever you do avoid Prospect management.  

I have an 8 family with Performance Asset Management, so far I have being happy with them. 

For the people who are disappointed with their current management, would you explain specifically why you are disappointed or share a specific problem that has happened? I am just curious and would like to learn from others experiences. Looking back, is there anything you would have asked or done differently during the vetting/interview process?

I currently manage most of my properties myself, but I have one property in an IRA which means I'm not allowed to self-manage. I use SUV Properties for that rental.

I have been using SUV Properties for years now. They manage many of my properties, and many properties I own in partnerships. Melanie is very knowledgeable and has a solid team. She manages a TON of properties and is definitely on the ball.

There a million things that can go wrong over time in this business. Having someone that has seen most of those things and knows how to best handle them as they come up is invaluable. 

With that said, as an owner you still have to do your part sometimes and manage the manager as no one is going to treat your portfolio with as much care as you do.

Dawn Anastasi do you manage other people's properties as well? I currently use RPM & I'm not having a good experience.  Charges show up on the owners statement that I was never told about. I have had 2 & soon-to-be 3 PM since June 1st. If I email and/or call, it takes over a week for a response, sometimes longer. Up to this point, their communication has been POOR.

Originally posted by @Rae'Chel Harris :

Dawn Anastasi do you manage other people's properties as well? I currently use RPM & I'm not having a good experience.  Charges show up on the owners statement that I was never told about. I have had 2 & soon-to-be 3 PM since June 1st. If I email and/or call, it takes over a week for a response, sometimes longer. Up to this point, their communication has been POOR.

I manage my own properties and have helped some investors start investing in Milwaukee, but I'm not a property management company.

You should share your experiences on this property management company (stating facts only, not opinions) so that others can decide.

There's a "turnkey reviews" website but I'm unaware of a "property management company reviews" website. Maybe that's something someone should build?

Originally posted by @Dawn A. :

I currently manage most of my properties myself, but I have one property in an IRA which means I'm not allowed to self-manage. I use SUV Properties for that rental.

Hi Dawn, where did you hear that? I am referencing the book "Leverage your IRA" by M.Allen, 2nd eddition page 159 on Property Management:

"The rules allow you to perform ministerial service for your IRA. The selection of a rental tenant passing along rent checks and expense invoices to your custodian are generally permitted. However, providing improvements and repairs through your own labor would constitute a prohibited transaction."

Obviously you have different information...?

Originally posted by @Marcus Auerbach :
Originally posted by @Dawn Anastasi:

I currently manage most of my properties myself, but I have one property in an IRA which means I'm not allowed to self-manage. I use SUV Properties for that rental.

Hi Dawn, where did you hear that? I am referencing the book "Leverage your IRA" by M.Allen, 2nd eddition page 159 on Property Management:

"The rules allow you to perform ministerial service for your IRA. The selection of a rental tenant passing along rent checks and expense invoices to your custodian are generally permitted. However, providing improvements and repairs through your own labor would constitute a prohibited transaction."

Obviously you have different information...?

I went to a seminar about self-directed IRAs and investing in real estate. I was told that you cannot be an "active participant" in the property. When I purchased the property, there was rehab work to be done, but I was told that I could not do any of the work myself because that would be considered "actively particpating". However, I could select the contractor and direct the IRA custodian to do the work.

Maybe I misunderstood the "active participant" relationship with property management. I consider property management to be very active -- following up with the tenant, sending out notices if the rent is late (which means mailing via certified mail -- I cannot pay for this out of my own pocket, I was told all income and expenses need to be run through the IRA). If you somehow self-manage, there are many things that would have to be accounted for. How are you making sure you're not indirectly benefiting from your IRA?

Originally posted by @Dawn A. :
Originally posted by @Marcus Auerbach:
Originally posted by @Dawn Anastasi:

I currently manage most of my properties myself, but I have one property in an IRA which means I'm not allowed to self-manage. I use SUV Properties for that rental.

Hi Dawn, where did you hear that? I am referencing the book "Leverage your IRA" by M.Allen, 2nd eddition page 159 on Property Management:

"The rules allow you to perform ministerial service for your IRA. The selection of a rental tenant passing along rent checks and expense invoices to your custodian are generally permitted. However, providing improvements and repairs through your own labor would constitute a prohibited transaction."

Obviously you have different information...?

I went to a seminar about self-directed IRAs and investing in real estate. I was told that you cannot be an "active participant" in the property. When I purchased the property, there was rehab work to be done, but I was told that I could not do any of the work myself because that would be considered "actively particpating". However, I could select the contractor and direct the IRA custodian to do the work.

Maybe I misunderstood the "active participant" relationship with property management. I consider property management to be very active -- following up with the tenant, sending out notices if the rent is late (which means mailing via certified mail -- I cannot pay for this out of my own pocket, I was told all income and expenses need to be run through the IRA). If you somehow self-manage, there are many things that would have to be accounted for. How are you making sure you're not indirectly benefiting from your IRA?

That is the same way I understand it too - you can not do any work on the property (or contribute sweat equity) and you can not pay for any expenses out of your own pocket. That also lines up with the guidelines my IRA custodian (Midland) sent me. I manage our own portfolio and completley agree with you - it is work! The way I understood it, the IRS is okay we me pushing paper and speaking with people, which is part of the job. If there are any repairs, a contractor will have to do it and get paid from the IRA. That is my current understanding, but I will clarify and make sure that's 100% water tight. PM fees add up over the years...

Dawn,

Lose your custodian for IRA.

Instead, open Solo401k Plan. It has exactly the same properties as an employer 401k .. But you can assign yourself as a Treasurer and Administrator. In other words, you have checkbook privileges without junk fees, delays, custodial expenses and other hassles with a third party intermediary.

It also has another unusual feature.. you can put up to 54k a year (maybe more by now) vs. standard 401k limit of 18k or so.

You can invest in almost anything .. the only restriction is a self-dealing. One should buy and sell to and from an unrelated party. It can be a boy/girlfriend but not a wife/husband/parents/children

If you need more details on how to set it up, let me know. This vehicle saved me lots of money.

Regards,

Leonid

@Brandon Williams Can you elaborate on Greater Milwaukee?  I have a possible lead for Racine area if that's what you are looking for.  (Disclosure: It's not my company either.  It's another firm that may still service those areas.)

My properties are with Performance Asset Management.  I had 1/2 my portfolio with VP Investors until June and it was the worst experience I have ever had.  Straight up negligence, incompetence, and overall a hot mess.  I am still recovering from their screw ups.

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