What is typical for property manager

Question

Hello,

Our property manager frustrates me and I’ve been sort of lazy to remove her.

1. she traditionally is harder for me to get a prompt answer from. Granted if something is going wrong at property she is more available.

2. I get paid at variable times every month and really only kicked into gear if I harass her. Her deduction is like clockwork, the 10th of every month. When do you guys all get paid?

3. how much do y’all pay. I pay 250 a month and half a first months rent for finders fee. One property rents 1300, another 2300.

4. I had a month vacancy/turn over? Seems a bit high for august 1-31.

5. she has me Put all electric and utilities in my name between tenants. Can’t you save me the com Ed and gas call!?

really if I was just paid on time monthly I’d be a lot happier. I make a lot of money and feel stupid begging for money given my financial situation but I strongly prefer to have money in and out my accounts quickly and into the buckets I have allocated… 3600 cash is a decent chunk of change and it sucks to wait on even with tennant paying on time.

6. When repairs are done, I don’t really get invoices because she hires the people directly? Shady?

pluses: she seems to rent at or above market value. She has dealt with peoblematic tennants.

I’m a nice guy and feel bad letting anyone go and I realize grass always seems greener on other side.

Nathan Gesner · Answer

There's a lot to punpack.

1. Your payment timing may depend on when she's able to get invoices paid. Instead of expecting payment the same month the rent is received, switch to getting paid the month after. In other words, the October rent gets paid to you on November 1. That gives your PM the entire month of October to receive rent, pay invoices, prepare your statement, etc. You get paid on the first business day of the following month so it's reliable.

2. A month vacancy isn't unusual, but it depends on the market, price of the home, quality, amenities, job market, and 17 other factors. It's too hard to answer without knowing all the details.

3. How much we pay depends on what we agreed to. Some companies charge a flat fee. Some charge a full month for a leasing fee, while others don't charge anything. There are too many variables. Again, study your market to see what other managers are charging in your area. Bottom line: you signed an agreement, so you'll pay what the agreement outlines.

4. Putting utilities in your name during vacancy is normal. It's your house, your responsibility. Be thankful the manager is handling that for you.

5. Communication is another variable. Are you micro-managing the manager, or are you asking 1-2 questions a month? Did you read your PM agreement and the website first to see if your question has already been answered? Are you asking at the end/beginning of the month when the PM is really busy collecting rent and paying invoices?

6. Your PM should provide you copies of invoices, even if she uses her own maintenance crew. This is a non-negotiable. You could write her an email stating the importance of knowing where your money is spent and requiring her to send copies of the invoices with your monthly statement. IF she refuses, I would definitely look for another PM.

Michael Davidson · Answer

First of all, I would never pay $250/mo for a property manager. There are just way too many PM's willing to do it for cheaper. Second of all, half a month's rent is pretty standard...but they should have a 6-month guarantee that if there's a vacancy...they don't charge you. Otherwise what's stopping them from just creating vacancies every month with sketchy tenants and getting paid $250/mo + the finders fee of $650 or $1,150 per month? And why are there always repairs? She didn't fix the place? I own rentals and things don't break constantly every month...so if that's the case with your rentals...might want to look into that. You need to demand those invoices because what if the workers she hired aren't bonded? What then? What if she hired her cousin to cut down a tree and a limb falls through the roof? I can already tell your PM and I would not get along very well.

Corey Mitchell · Answer

This setup sounds similar to the company that manages my rental; however, they were upfront about the process of billings and payments.I think the only irregularities in payments were in the initial tenancies but I think that was because part of the payment went to the property's reserve fund.

If the contract with the PM is at will, it might be best to wait until the tenants move out and let contract terminate if you're still want a different PM.

Charles Carillo · Answer

@Edward Kanive

I would setup a phone meeting with her and work through the issues. It is a hassle to switch managers so I would have a call with them first to address your points prior to just firing them. It seems like they are not that assertive with your property and these issues (in most instances) can easily be corrected.

Maybe find your own people to make repairs or do unit turns if you want this sped up. You can also call the utility companies and have them automatically put them back in your name when someone turns them off. We do that; not sure the process with the companies in your area though.

What is typical for property manager

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