What do you guys do when a repair goes over the owner’s approval limit?
Member since 2026 · 11 posts · 3 votes
What do you guys do when a repair goes over the owner’s approval limit?
Most Popular Reply
Drew SygitBusiness Member
Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votesLike so much in business, "it depends".
How much over the owner approval threshold?
How serious is the extra issue(s)?
How much will the additional service charge be?
What's your relationship like with this specific owner?
How flexible and understanding is this specific owner?
Will this owner's portfolio balance and reserves cover the extra cost?
Unfortunately, there are often judgment calls like this you will have to make.
Just be sure to document the Before & After condition of the work, along with a GREAT writeup about why the work was needed, so you give the owner as little to complain about as possible!
Logical Property Management4.9458 Reviews
28 Replies
- Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes2mo
The owner approval number must be high enough for routine "emergencies". Usually I always required an amount equal to a full month rent. A water heater replacement, toilet replacement or full internals, range or refer replacement, disposal with drain and waste assembly to the wall, a circuit breaker troubleshooting and replacement, these are all routine, and there should be no delay in handling for occupied units.
Finding a collapsed or severely blocked and deteriorated waste or sewer line in need of replacement, tub surround tile grout missing and allowing water to penetrate behind the wall causing a lot of long term damage, a large tree limb through the roof, fires, actual flooding or major sewer backup, these are the unusual emergencies.
For a turnover, for anything beyond minor, we would have sent pics and initial scope of work with notes regarding potential additional costs. We then discuss with the owner, and request needed funds. No money, no workee.
If the owner insists on deferring items, we make clear notes of that decision. When they turn into an emergency that needs an overnight or weekend repair, and the owner gets upset over the cost, we simply remind them of our earlier recommendation. Eventually, they learn that prevention on their schedule IS less costly than remediation on others schedule.
No PM is going to front funds for an Owner. In some cases, they may be able to defer the vendor payment until the next month rent is collected, but they are not going to delay payment beyond their normal NET 15 or 30 days for the vendor, as that will have adverse effect on ALL business with that vendor. The vendor does not know or care who the owner is, he is "hired" by the PM.
For those unusual emergencies and bigger planned projects, estimates are obtained, depending on the actual relationship between vendor/PM and size of project. Renos, sewer line replacements, major repipes, turnovers and other projects always require a signature from the owner and payment to our Trust account prior to authorizing vendor to start work. Long term owners with great track records or multiple properties under our management, we really only hold off the start for major renos. New owners without a track record, or habitually slow to respond, we can wait as long as it takes before authorizing work.
The only exception is a true catastrophe...a boulder crashing through a house, a major fire, criminal or violent acts, and similar issues we have the responsibility to protect the property from further damage by first of all documenting, and then securing or if necessary cutting utils. However, no cleanup will begin without funds in hand or authorization from insurance company.
- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Richard F.:
The owner approval number must be high enough for routine "emergencies". Usually I always required an amount equal to a full month rent. A water heater replacement, toilet replacement or full internals, range or refer replacement, disposal with drain and waste assembly to the wall, a circuit breaker troubleshooting and replacement, these are all routine, and there should be no delay in handling for occupied units.
Finding a collapsed or severely blocked and deteriorated waste or sewer line in need of replacement, tub surround tile grout missing and allowing water to penetrate behind the wall causing a lot of long term damage, a large tree limb through the roof, fires, actual flooding or major sewer backup, these are the unusual emergencies.
For a turnover, for anything beyond minor, we would have sent pics and initial scope of work with notes regarding potential additional costs. We then discuss with the owner, and request needed funds. No money, no workee.
If the owner insists on deferring items, we make clear notes of that decision. When they turn into an emergency that needs an overnight or weekend repair, and the owner gets upset over the cost, we simply remind them of our earlier recommendation. Eventually, they learn that prevention on their schedule IS less costly than remediation on others schedule.
No PM is going to front funds for an Owner. In some cases, they may be able to defer the vendor payment until the next month rent is collected, but they are not going to delay payment beyond their normal NET 15 or 30 days for the vendor, as that will have adverse effect on ALL business with that vendor. The vendor does not know or care who the owner is, he is "hired" by the PM.
For those unusual emergencies and bigger planned projects, estimates are obtained, depending on the actual relationship between vendor/PM and size of project. Renos, sewer line replacements, major repipes, turnovers and other projects always require a signature from the owner and payment to our Trust account prior to authorizing vendor to start work. Long term owners with great track records or multiple properties under our management, we really only hold off the start for major renos. New owners without a track record, or habitually slow to respond, we can wait as long as it takes before authorizing work.
The only exception is a true catastrophe...a boulder crashing through a house, a major fire, criminal or violent acts, and similar issues we have the responsibility to protect the property from further damage by first of all documenting, and then securing or if necessary cutting utils. However, no cleanup will begin without funds in hand or authorization from insurance company.
Thanks, this is really helpful. When you send the owner photos, scope, estimate, and funding request, where does that usually happen? email, text, or over phone call?
If the vendor finds more work after the owner has already approved the original scope, do you stop and get a new approval before continuing?
Also, have you ever had to go back later and prove exactly what the owner approved or chose to defer? How easy was it to pull everything together?
- Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes2moI am retired now, but in the past always did everything via email. It was extremely rare to need additional funds for additional work. For major guts, we would sometimes get a separate demo estimate, have it approved, and then once everything opened up, provide the rebuild estimate with a new photo series of the entire project with a focus on the newly exposed issues.
Quote from @Mysha Mehjabin:
Quote from @Richard F.:
The owner approval number must be high enough for routine "emergencies". Usually I always required an amount equal to a full month rent. A water heater replacement, toilet replacement or full internals, range or refer replacement, disposal with drain and waste assembly to the wall, a circuit breaker troubleshooting and replacement, these are all routine, and there should be no delay in handling for occupied units.
Finding a collapsed or severely blocked and deteriorated waste or sewer line in need of replacement, tub surround tile grout missing and allowing water to penetrate behind the wall causing a lot of long term damage, a large tree limb through the roof, fires, actual flooding or major sewer backup, these are the unusual emergencies.
For a turnover, for anything beyond minor, we would have sent pics and initial scope of work with notes regarding potential additional costs. We then discuss with the owner, and request needed funds. No money, no workee.
If the owner insists on deferring items, we make clear notes of that decision. When they turn into an emergency that needs an overnight or weekend repair, and the owner gets upset over the cost, we simply remind them of our earlier recommendation. Eventually, they learn that prevention on their schedule IS less costly than remediation on others schedule.
No PM is going to front funds for an Owner. In some cases, they may be able to defer the vendor payment until the next month rent is collected, but they are not going to delay payment beyond their normal NET 15 or 30 days for the vendor, as that will have adverse effect on ALL business with that vendor. The vendor does not know or care who the owner is, he is "hired" by the PM.
For those unusual emergencies and bigger planned projects, estimates are obtained, depending on the actual relationship between vendor/PM and size of project. Renos, sewer line replacements, major repipes, turnovers and other projects always require a signature from the owner and payment to our Trust account prior to authorizing vendor to start work. Long term owners with great track records or multiple properties under our management, we really only hold off the start for major renos. New owners without a track record, or habitually slow to respond, we can wait as long as it takes before authorizing work.
The only exception is a true catastrophe...a boulder crashing through a house, a major fire, criminal or violent acts, and similar issues we have the responsibility to protect the property from further damage by first of all documenting, and then securing or if necessary cutting utils. However, no cleanup will begin without funds in hand or authorization from insurance company.
Thanks, this is really helpful. When you send the owner photos, scope, estimate, and funding request, where does that usually happen? email, text, or over phone call?
If the vendor finds more work after the owner has already approved the original scope, do you stop and get a new approval before continuing?
Also, have you ever had to go back later and prove exactly what the owner approved or chose to defer? How easy was it to pull everything together?
The key is simply honesty, early and often. It is impossible to predict every expense, but you should be able to find signs and predict most worst case issues.
I really only had one REALLY screwed up disaster caused by prior HOA Boards and their chosen contractors and approved "repairs". Add to the mix, serious termite issues. The Association was responsible for major portions of the repairs, but the individual unit owner reneged on their agreement to reimburse for repairs that were clearly their responsibility, but inseparable in terms of the repair work process. Initially it seemed like a fairly straightforward leak source caused the structural damage. BUT, termites contributed to the observable symptoms, which included binding of the sliding glass lanai doors (due to structural members collapsing). We had to jack up the second floor to replace structure, including elements the owner was responsible for due to NOT performing proper preventative treatments. The costs went well over initial estimates, but was not optional, and, the HOA had the funds to proceed without further approvals. We had copious amount of photos at every stage, and written report from vendor upon completion. The job was completed, restored, and the the argument between owner and Board went on for some time...
It was not a big deal to pull the info together, pretty routine. Every property, every unit, every significant project has a file, and a clear naming convention is used for pics and docs. - Member since 2026 · 11 posts · 3 votes2mo
Quote from @Richard F.:
I am retired now, but in the past always did everything via email. It was extremely rare to need additional funds for additional work. For major guts, we would sometimes get a separate demo estimate, have it approved, and then once everything opened up, provide the rebuild estimate with a new photo series of the entire project with a focus on the newly exposed issues.Quote from @Mysha Mehjabin:
Quote from @Richard F.:
The owner approval number must be high enough for routine "emergencies". Usually I always required an amount equal to a full month rent. A water heater replacement, toilet replacement or full internals, range or refer replacement, disposal with drain and waste assembly to the wall, a circuit breaker troubleshooting and replacement, these are all routine, and there should be no delay in handling for occupied units.
Finding a collapsed or severely blocked and deteriorated waste or sewer line in need of replacement, tub surround tile grout missing and allowing water to penetrate behind the wall causing a lot of long term damage, a large tree limb through the roof, fires, actual flooding or major sewer backup, these are the unusual emergencies.
For a turnover, for anything beyond minor, we would have sent pics and initial scope of work with notes regarding potential additional costs. We then discuss with the owner, and request needed funds. No money, no workee.
If the owner insists on deferring items, we make clear notes of that decision. When they turn into an emergency that needs an overnight or weekend repair, and the owner gets upset over the cost, we simply remind them of our earlier recommendation. Eventually, they learn that prevention on their schedule IS less costly than remediation on others schedule.
No PM is going to front funds for an Owner. In some cases, they may be able to defer the vendor payment until the next month rent is collected, but they are not going to delay payment beyond their normal NET 15 or 30 days for the vendor, as that will have adverse effect on ALL business with that vendor. The vendor does not know or care who the owner is, he is "hired" by the PM.
For those unusual emergencies and bigger planned projects, estimates are obtained, depending on the actual relationship between vendor/PM and size of project. Renos, sewer line replacements, major repipes, turnovers and other projects always require a signature from the owner and payment to our Trust account prior to authorizing vendor to start work. Long term owners with great track records or multiple properties under our management, we really only hold off the start for major renos. New owners without a track record, or habitually slow to respond, we can wait as long as it takes before authorizing work.
The only exception is a true catastrophe...a boulder crashing through a house, a major fire, criminal or violent acts, and similar issues we have the responsibility to protect the property from further damage by first of all documenting, and then securing or if necessary cutting utils. However, no cleanup will begin without funds in hand or authorization from insurance company.
Thanks, this is really helpful. When you send the owner photos, scope, estimate, and funding request, where does that usually happen? email, text, or over phone call?
If the vendor finds more work after the owner has already approved the original scope, do you stop and get a new approval before continuing?
Also, have you ever had to go back later and prove exactly what the owner approved or chose to defer? How easy was it to pull everything together?
The key is simply honesty, early and often. It is impossible to predict every expense, but you should be able to find signs and predict most worst case issues.
I really only had one REALLY screwed up disaster caused by prior HOA Boards and their chosen contractors and approved "repairs". Add to the mix, serious termite issues. The Association was responsible for major portions of the repairs, but the individual unit owner reneged on their agreement to reimburse for repairs that were clearly their responsibility, but inseparable in terms of the repair work process. Initially it seemed like a fairly straightforward leak source caused the structural damage. BUT, termites contributed to the observable symptoms, which included binding of the sliding glass lanai doors (due to structural members collapsing). We had to jack up the second floor to replace structure, including elements the owner was responsible for due to NOT performing proper preventative treatments. The costs went well over initial estimates, but was not optional, and, the HOA had the funds to proceed without further approvals. We had copious amount of photos at every stage, and written report from vendor upon completion. The job was completed, restored, and the the argument between owner and Board went on for some time...
It was not a big deal to pull the info together, pretty routine. Every property, every unit, every significant project has a file, and a clear naming convention is used for pics and docs.Thanks again, You clearly had a disciplined system for documenting everything.
Thinking back to other property managers you personally worked with, trained, or took over properties from, can you walk me through a specific turnover where approvals, photos, estimates, or invoices were not documented as carefully as yours? What went wrong, what did it cost or delay, and was it an isolated mistake or something you saw repeatedly, especially with newer or less-experienced managers?
- Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes2moMost commonly the problems were a lack of systems and standards, and no clearly defined processes or guidelines. As result, every experience was a new one for them, requiring too much time to analyze, too many "new" decisions, too much research of common issues. There was not enough real knowledge of laws and rules, construction methods and processes, and little to no troubleshooting ability. Most of all, there was no clear communication of what "quality" looked like...everyone has a different idea of what was "good enough".
Quote from @Mysha Mehjabin:
Quote from @Richard F.:
I am retired now, but in the past always did everything via email. It was extremely rare to need additional funds for additional work. For major guts, we would sometimes get a separate demo estimate, have it approved, and then once everything opened up, provide the rebuild estimate with a new photo series of the entire project with a focus on the newly exposed issues.Quote from @Mysha Mehjabin:
Quote from @Richard F.:
The owner approval number must be high enough for routine "emergencies". Usually I always required an amount equal to a full month rent. A water heater replacement, toilet replacement or full internals, range or refer replacement, disposal with drain and waste assembly to the wall, a circuit breaker troubleshooting and replacement, these are all routine, and there should be no delay in handling for occupied units.
Finding a collapsed or severely blocked and deteriorated waste or sewer line in need of replacement, tub surround tile grout missing and allowing water to penetrate behind the wall causing a lot of long term damage, a large tree limb through the roof, fires, actual flooding or major sewer backup, these are the unusual emergencies.
For a turnover, for anything beyond minor, we would have sent pics and initial scope of work with notes regarding potential additional costs. We then discuss with the owner, and request needed funds. No money, no workee.
If the owner insists on deferring items, we make clear notes of that decision. When they turn into an emergency that needs an overnight or weekend repair, and the owner gets upset over the cost, we simply remind them of our earlier recommendation. Eventually, they learn that prevention on their schedule IS less costly than remediation on others schedule.
No PM is going to front funds for an Owner. In some cases, they may be able to defer the vendor payment until the next month rent is collected, but they are not going to delay payment beyond their normal NET 15 or 30 days for the vendor, as that will have adverse effect on ALL business with that vendor. The vendor does not know or care who the owner is, he is "hired" by the PM.
For those unusual emergencies and bigger planned projects, estimates are obtained, depending on the actual relationship between vendor/PM and size of project. Renos, sewer line replacements, major repipes, turnovers and other projects always require a signature from the owner and payment to our Trust account prior to authorizing vendor to start work. Long term owners with great track records or multiple properties under our management, we really only hold off the start for major renos. New owners without a track record, or habitually slow to respond, we can wait as long as it takes before authorizing work.
The only exception is a true catastrophe...a boulder crashing through a house, a major fire, criminal or violent acts, and similar issues we have the responsibility to protect the property from further damage by first of all documenting, and then securing or if necessary cutting utils. However, no cleanup will begin without funds in hand or authorization from insurance company.
Thanks, this is really helpful. When you send the owner photos, scope, estimate, and funding request, where does that usually happen? email, text, or over phone call?
If the vendor finds more work after the owner has already approved the original scope, do you stop and get a new approval before continuing?
Also, have you ever had to go back later and prove exactly what the owner approved or chose to defer? How easy was it to pull everything together?
The key is simply honesty, early and often. It is impossible to predict every expense, but you should be able to find signs and predict most worst case issues.
I really only had one REALLY screwed up disaster caused by prior HOA Boards and their chosen contractors and approved "repairs". Add to the mix, serious termite issues. The Association was responsible for major portions of the repairs, but the individual unit owner reneged on their agreement to reimburse for repairs that were clearly their responsibility, but inseparable in terms of the repair work process. Initially it seemed like a fairly straightforward leak source caused the structural damage. BUT, termites contributed to the observable symptoms, which included binding of the sliding glass lanai doors (due to structural members collapsing). We had to jack up the second floor to replace structure, including elements the owner was responsible for due to NOT performing proper preventative treatments. The costs went well over initial estimates, but was not optional, and, the HOA had the funds to proceed without further approvals. We had copious amount of photos at every stage, and written report from vendor upon completion. The job was completed, restored, and the the argument between owner and Board went on for some time...
It was not a big deal to pull the info together, pretty routine. Every property, every unit, every significant project has a file, and a clear naming convention is used for pics and docs.Thanks again, You clearly had a disciplined system for documenting everything.
Thinking back to other property managers you personally worked with, trained, or took over properties from, can you walk me through a specific turnover where approvals, photos, estimates, or invoices were not documented as carefully as yours? What went wrong, what did it cost or delay, and was it an isolated mistake or something you saw repeatedly, especially with newer or less-experienced managers?
- online · Member since 2026 · 99 posts · 44 votes2mo
Paying from reserve and explaining after the fact seems like the only workable answer when the vendor needs payment on the spot and the owner isn't reachable, the alternative (walking away or delaying) usually costs more than the overage itself.The cases where I've seen it turn ugly afterward are almost always when there was no reserve to draw from in the first place, so the property manager fronts it personally or the tenant experience suffers while everyone waits. Feels like the approval limit conversation is really a symptom of a bigger question: is there actually a reserve sitting there ready to be used, or is "the reserve" just a number on paper that nobody's actually set aside?
- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Giuseppe Cavucci:
Paying from reserve and explaining after the fact seems like the only workable answer when the vendor needs payment on the spot and the owner isn't reachable, the alternative (walking away or delaying) usually costs more than the overage itself.The cases where I've seen it turn ugly afterward are almost always when there was no reserve to draw from in the first place, so the property manager fronts it personally or the tenant experience suffers while everyone waits. Feels like the approval limit conversation is really a symptom of a bigger question: is there actually a reserve sitting there ready to be used, or is "the reserve" just a number on paper that nobody's actually set aside?
In the last case where a manager or company had to front the money, was the owner supposed to maintain a funded reserve that nobody verified, or was there never a real reserve requirement in the first place?
- Rental Property Investor · Joliet, IL · Member since 2013 · 102 posts · 48 votes2mo
As an owner, I get extremely frustrated when a property manager authorizes a repair above the management agreement threshold without my approval.
That said, I would not evaluate the decision based only on the dollar limit. If my PM has a strong history of communicating, cannot reach me, and must make a time-sensitive decision to protect the property or tenant, I will support that decision.
However, that flexibility has to be earned. I expect the PM to have a track record of:
- Obtaining good value from contractors
- Seeking owner approval when circumstances allow
- Charging repairs back to the tenant when responsibility is reasonably established
- Investigating repeat failures instead of repeatedly authorizing the same repair
- Providing clear documentation of what happened and why the work could not wait
The approval threshold establishes the normal process. Trust and good judgment determine how I respond to a legitimate exception.
- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Alison Robinson:
As an owner, I get extremely frustrated when a property manager authorizes a repair above the management agreement threshold without my approval.
That said, I would not evaluate the decision based only on the dollar limit. If my PM has a strong history of communicating, cannot reach me, and must make a time-sensitive decision to protect the property or tenant, I will support that decision.
However, that flexibility has to be earned. I expect the PM to have a track record of:
- Obtaining good value from contractors
- Seeking owner approval when circumstances allow
- Charging repairs back to the tenant when responsibility is reasonably established
- Investigating repeat failures instead of repeatedly authorizing the same repair
- Providing clear documentation of what happened and why the work could not wait
The approval threshold establishes the normal process. Trust and good judgment determine how I respond to a legitimate exception.
Thanks, the distinction between the contractual limit and earned trust makes sense.
Thinking about the most recent turnover where the unit was not ready when expected, what was the first incomplete item or missed handoff, and how did you find out about it?
Also, on the last turnover your manager declared ready, what documentation did you actually receive, and did you discover anything afterward that still needed correction?
- Rental Property Investor · Joliet, IL · Member since 2013 · 102 posts · 48 votes2mo
Quote from @Mysha Mehjabin:
Quote from @Alison Robinson:
As an owner, I get extremely frustrated when a property manager authorizes a repair above the management agreement threshold without my approval.
That said, I would not evaluate the decision based only on the dollar limit. If my PM has a strong history of communicating, cannot reach me, and must make a time-sensitive decision to protect the property or tenant, I will support that decision.
However, that flexibility has to be earned. I expect the PM to have a track record of:
- Obtaining good value from contractors
- Seeking owner approval when circumstances allow
- Charging repairs back to the tenant when responsibility is reasonably established
- Investigating repeat failures instead of repeatedly authorizing the same repair
- Providing clear documentation of what happened and why the work could not wait
The approval threshold establishes the normal process. Trust and good judgment determine how I respond to a legitimate exception.
Thanks, the distinction between the contractual limit and earned trust makes sense.
Thinking about the most recent turnover where the unit was not ready when expected, what was the first incomplete item or missed handoff, and how did you find out about it?
Also, on the last turnover your manager declared ready, what documentation did you actually receive, and did you discover anything afterward that still needed correction?
Those are good questions, but our operating model is a little different. We self-perform and coordinate our turnovers, while the property manager primarily handles tenant communication, non-turn maintenance, marketing, and leasing.
As a result, the manager does not declare the property ready—we inspect the completed work and make that determination ourselves. I therefore do not have a comparable example of receiving a turnover documentation package from the manager or discovering something they had incorrectly signed off on.
Your questions do highlight an important distinction: before evaluating whether the documentation and handoffs are adequate, the owner first needs to be clear about who actually owns each part of the turnover process.
- 2moMike FisherBusiness MemberNew Lenox, IL · Member since 2024 · 101 posts · 56 votes
The part that saves you here is the management agreement, not the phone call at the vendor's truck. Every owner I sign gets a standing approval limit written in, plus a separate emergency clause that lets me authorize anything affecting habitability or anything that causes more damage the longer it waits (water, sewer, no heat, active leak) without a callback. That one paragraph ends most of these standoffs before they start.
On the reserve: I keep one to two months of rent in an owner reserve for exactly this. If a turnover plumber finds a bad shutoff or a rotted supply line while he is already there, I authorize it off the reserve, photograph it, and send the owner the pictures with the invoice the same day. I have done this in the Chicago south suburbs since 1991 and I have never regretted fixing it while the truck was still in the driveway. A second trip charge plus another vacant week costs the owner far more than the repair did.
What I do not do is front my own money for an owner's repair. If the reserve is short and it is not a true emergency, the vendor gets scope and photos, I get owner sign-off, then the work happens. No funds, no work, and I document the delay in writing so the vacancy days land on the right decision.
On the owner questioning it later: yes, once. He did not want to pay for a sewer rod that turned into a spot repair. What ended it was the paper trail, the before photo, the vendor's note, and my same-day email recommending it. When it is documented in real time there is nothing to argue about. The owners who push back are almost always the ones who never got a photo. Photograph everything, send it the same day, and the reimbursement conversation takes care of itself.
M Property Group LLC | MF Cashflow Property Management4.9102 Reviews- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Mike Fisher:
The part that saves you here is the management agreement, not the phone call at the vendor's truck. Every owner I sign gets a standing approval limit written in, plus a separate emergency clause that lets me authorize anything affecting habitability or anything that causes more damage the longer it waits (water, sewer, no heat, active leak) without a callback. That one paragraph ends most of these standoffs before they start.
On the reserve: I keep one to two months of rent in an owner reserve for exactly this. If a turnover plumber finds a bad shutoff or a rotted supply line while he is already there, I authorize it off the reserve, photograph it, and send the owner the pictures with the invoice the same day. I have done this in the Chicago south suburbs since 1991 and I have never regretted fixing it while the truck was still in the driveway. A second trip charge plus another vacant week costs the owner far more than the repair did.
What I do not do is front my own money for an owner's repair. If the reserve is short and it is not a true emergency, the vendor gets scope and photos, I get owner sign-off, then the work happens. No funds, no work, and I document the delay in writing so the vacancy days land on the right decision.
On the owner questioning it later: yes, once. He did not want to pay for a sewer rod that turned into a spot repair. What ended it was the paper trail, the before photo, the vendor's note, and my same-day email recommending it. When it is documented in real time there is nothing to argue about. The owners who push back are almost always the ones who never got a photo. Photograph everything, send it the same day, and the reimbursement conversation takes care of itself.
Thanks, this is really helpful. Thinking about the last turnover where several vendors were involved, how did you keep track of when one job was finished and the next vendor needed to start? Was there ever a delay between those steps, and what caused it?
- OR · Member since 2026 · 20 posts · 8 votes2mo
One thing that's helped us when working with rental properties is separating repairs from property readiness. Sometimes a repair is finished, but the unit still isn't ready because it has leftover junk, abandoned furniture, or construction debris.
We've seen property managers save time by planning the cleanout at the same time as the repair work instead of treating it as a separate step. That way, once the contractor is finished, the property can be cleaned out, photographed, and listed much faster.
Whatever approval limit you use, having a documented process for repairs, cleanouts, and final inspections helps avoid delays and keeps owners informed throughout the turnover.
- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Casey Hunt:
One thing that's helped us when working with rental properties is separating repairs from property readiness. Sometimes a repair is finished, but the unit still isn't ready because it has leftover junk, abandoned furniture, or construction debris.
We've seen property managers save time by planning the cleanout at the same time as the repair work instead of treating it as a separate step. That way, once the contractor is finished, the property can be cleaned out, photographed, and listed much faster.
Whatever approval limit you use, having a documented process for repairs, cleanouts, and final inspections helps avoid delays and keeps owners informed throughout the turnover.
Thanks, that distinction is really helpful. Could you please walk me through the last turnover where the repairs were complete but the unit still wasn’t ready? How was the remaining work noticed, assigned, and tracked until the property was finally ready to list or hand over?
- 2moAmit PatelBusiness MemberProperty Manager · Bartlett, IL · Member since 2025 · 151 posts · 61 votes
This comes up more often than people expect during turnovers. The cleanest approach is to have the approval limits and any turnover exceptions clearly written in the management agreement so everyone knows the process ahead of time.
When the vendor finds extra work and the owner is not answering, we document everything with photos and a clear description of why the additional work is needed. If it is something that would cause a second service call or delay the next tenant, we usually authorize it within a reasonable extra amount, pay from the owner’s reserve if available, and send a full explanation with photos the same day. Waiting often costs more in the long run than the extra repair itself.
We try not to advance company money for long periods. If the owner later questions the bill, the photos, vendor notes, and written communication usually resolve it quickly because everything is documented.
The best protection is setting clear expectations with owners at the start about what happens when they are unreachable during a turnover. Most understand once they see the cost of delaying a new tenant versus approving the extra work.
Casanomy Property Management564 Reviews- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Amit Patel:
This comes up more often than people expect during turnovers. The cleanest approach is to have the approval limits and any turnover exceptions clearly written in the management agreement so everyone knows the process ahead of time.
When the vendor finds extra work and the owner is not answering, we document everything with photos and a clear description of why the additional work is needed. If it is something that would cause a second service call or delay the next tenant, we usually authorize it within a reasonable extra amount, pay from the owner’s reserve if available, and send a full explanation with photos the same day. Waiting often costs more in the long run than the extra repair itself.
We try not to advance company money for long periods. If the owner later questions the bill, the photos, vendor notes, and written communication usually resolve it quickly because everything is documented.
The best protection is setting clear expectations with owners at the start about what happens when they are unreachable during a turnover. Most understand once they see the cost of delaying a new tenant versus approving the extra work.
Thanks, this is helpful. Thinking about the last turnover where you approved extra work to avoid another service call, how did you keep the remaining vendors and expected ready date updated afterward?
- 2moAshish AcharyaBusiness MemberCPA, CFP®, PFS · FL · Member since 2017 · 5k+ posts · 3k+ votes
Whichever way it gets paid, the timing and documentation are what matter for the owner's return. If reserve funds cover it and get reimbursed later, or the management company fronts it and bills back, keep the invoice tied to the actual date the work was done, not when payment cleared, since repair-versus-capital-improvement classification depends on what the work was, not how the cash flow was routed. And if an owner ever disputes a bill after the fact, having that original invoice broken out by scope of work is what protects the deduction if it's ever questioned on audit. A vague lump-sum bill after a dispute is a lot harder to defend than clean documentation from day one.
Happy to connect!
INVESTOR FRIENDLY CPA®5241 Reviews- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Ashish Acharya:
Whichever way it gets paid, the timing and documentation are what matter for the owner's return. If reserve funds cover it and get reimbursed later, or the management company fronts it and bills back, keep the invoice tied to the actual date the work was done, not when payment cleared, since repair-versus-capital-improvement classification depends on what the work was, not how the cash flow was routed. And if an owner ever disputes a bill after the fact, having that original invoice broken out by scope of work is what protects the deduction if it's ever questioned on audit. A vague lump-sum bill after a dispute is a lot harder to defend than clean documentation from day one.
Happy to connect!
Thanks, this is useful. Thinking about the last repair record you had to review or defend, how were the invoice, scope, photos, approval, and work date gathered, and was anything difficult to find?
- Investor · Charleston, SC · Member since 2018 · 198 posts · 84 votes2mo
I would separate the decision into three buckets: authority, funds, and proof.
If the agreement gives emergency or habitability authority and the owner reserve is funded, I would approve the work, then send photos, vendor notes, invoice, and the reason waiting would cost more the same day.
If it is not urgent and the reserve is short, I would send scope and photos, document that the delay is owner driven, and wait for approval or funds. The part that prevents the reimbursement fight later is not the dollar limit by itself, it is a contemporaneous record that shows the owner what decision was made, when, and why.
- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Eduardo Cavasotti:
I would separate the decision into three buckets: authority, funds, and proof.
If the agreement gives emergency or habitability authority and the owner reserve is funded, I would approve the work, then send photos, vendor notes, invoice, and the reason waiting would cost more the same day.
If it is not urgent and the reserve is short, I would send scope and photos, document that the delay is owner driven, and wait for approval or funds. The part that prevents the reimbursement fight later is not the dollar limit by itself, it is a contemporaneous record that shows the owner what decision was made, when, and why.
Thanks, separating authority, funds, and proof is a helpful way to look at it. Thinking about the last turnover where one of those was missing, how was the delay handled and how did the next vendor know when to continue?
- Member since 2026 · 4 posts · 1 vote2mo
- 2moJimmy LieuBusiness MemberReal Estate Agent · Columbus, OH · Member since 2019 · 3k+ posts · 2k+ votesThis is one of those situations where having clear expectations with the owner upfront makes all the difference. Most of the experienced investors and property managers I know have a spending limit written into their management agreement, and if a repair is truly necessary to keep the turnover moving, they'll approve it from the owner's reserve as long as it's within that authority. If it's over the limit and not an emergency, I'd rather wait for the owner's approval than assume they're okay with it. If waiting means another trip charge, I'll explain that tradeoff and let the owner decide. I've also found it helps to ask the vendor to send photos or do a quick video call before proceeding so everyone understands why the additional work is needed. I've seen owners question bills before, but having documentation, photos, and a written explanation of why the repair was necessary usually resolves the conversation pretty quickly. Happy to connect and answer any questions you have!
Quote from @Mysha Mehjabin:
I’m curious how this works in real life.
Say you send a plumber or handyman out during a turnover, and once they’re there they find something else that needs to be fixed. The cost is now above what you’re allowed to approve, the owner isn’t answering, and the vendor needs an answer or payment before leaving.
Do you usually wait for the owner, pay from the reserve and explain it later, or sometimes have the company cover it temporarily? What happens if waiting means another service call or delaying the next tenant?
Also, has an owner ever questioned the bill afterward or refused to reimburse something you already paid for? How did you handle it?
I know every agreement is different. I’d just like to hear how the last real situation like this played out for you.
Jimmy Lieu, Red 1 Realty4.9120 Reviews- Member since 2026 · 11 posts · 3 votes2mo
Quote from @Jimmy Lieu:
This is one of those situations where having clear expectations with the owner upfront makes all the difference. Most of the experienced investors and property managers I know have a spending limit written into their management agreement, and if a repair is truly necessary to keep the turnover moving, they'll approve it from the owner's reserve as long as it's within that authority. If it's over the limit and not an emergency, I'd rather wait for the owner's approval than assume they're okay with it. If waiting means another trip charge, I'll explain that tradeoff and let the owner decide. I've also found it helps to ask the vendor to send photos or do a quick video call before proceeding so everyone understands why the additional work is needed. I've seen owners question bills before, but having documentation, photos, and a written explanation of why the repair was necessary usually resolves the conversation pretty quickly. Happy to connect and answer any questions you have!Quote from @Mysha Mehjabin:
I’m curious how this works in real life.
Say you send a plumber or handyman out during a turnover, and once they’re there they find something else that needs to be fixed. The cost is now above what you’re allowed to approve, the owner isn’t answering, and the vendor needs an answer or payment before leaving.
Do you usually wait for the owner, pay from the reserve and explain it later, or sometimes have the company cover it temporarily? What happens if waiting means another service call or delaying the next tenant?
Also, has an owner ever questioned the bill afterward or refused to reimburse something you already paid for? How did you handle it?
I know every agreement is different. I’d just like to hear how the last real situation like this played out for you.
Thanks, this is really helpful. Thinking about the last time waiting for an owner’s approval affected a turnover, how did everything unfold, and how did the vendor share photos or join a quick call while the decision was being made?
- Investor · Charleston, SC · Member since 2018 · 198 posts · 84 votes2mo
When one of those is missing, I treat it as a handoff problem first and a repair problem second.
The next vendor should see one written status note: what was approved, what money is available, what proof was sent, and what has to happen before they continue.
If that note does not exist, everyone is working from memory.
That is how a 24 hour delay becomes a second trip charge or a missed ready date.
- Member since 2026 · 72 posts · 30 votes2mo
Quote from @Mysha Mehjabin:
I’m curious how this works in real life.
Say you send a plumber or handyman out during a turnover, and once they’re there they find something else that needs to be fixed. The cost is now above what you’re allowed to approve, the owner isn’t answering, and the vendor needs an answer or payment before leaving.
Do you usually wait for the owner, pay from the reserve and explain it later, or sometimes have the company cover it temporarily? What happens if waiting means another service call or delaying the next tenant?
Also, has an owner ever questioned the bill afterward or refused to reimburse something you already paid for? How did you handle it?
I know every agreement is different. I’d just like to hear how the last real situation like this played out for you.
Usually, depending on the type of issue, we can provide an approximate cost. However, we will shoot them a message prior to sending out a text for the approval. We have a clause in our agreement that if we are unable to reach the owner, we may proceed with emergencies w/o their direct approval. I.E. flood, fire, heat, water, etc. State law always trumps contracts. In the states we operate in, the property manager is responsible for preserving the property. If we fail to preserve the property, we can, in theory, be held liable.
- Investor · Charleston, SC · Member since 2018 · 198 posts · 84 votes2mo
I handle that as a turnover handoff record, not a phone chain. One note says what stopped, what is approved, what money is missing, who owns the next decision, and which vendor can start next. If the next vendor cannot read that note without calling me, the process is not ready.
- 2moMike FisherBusiness MemberNew Lenox, IL · Member since 2024 · 101 posts · 56 votes
@Mysha Mehjabin good question. The short answer is a vendor checklist tied to a sequence, not just a list of who is coming.
For a turnover with multiple vendors I build a simple order-of-operations before anyone shows up: demo or cleanout first, then any structural or plumbing, then paint, then flooring, then punch items. Each vendor gets a written scope with a finish condition, not just a task. "Paint complete" means walls, trim, and touch-ups, with photos sent to me before I release the space to the next trade.
I use a shared notes thread (text works fine, nothing fancy) where each vendor confirms when they are done and I confirm before the next one enters. That single handoff text is the record. No text, no handoff.
Delays happen when a vendor finishes but does not confirm, and the next trade assumes the space is ready when it is not. I had a flooring crew show up once to find wet paint -- that was my fault for not requiring a finish photo before scheduling them. After that I added the photo requirement and the overlaps stopped.
The whole system is just: define done before anyone starts, confirm done in writing before passing the baton, and photograph each stage so you can see the timeline later if a question comes up.
M Property Group LLC | MF Cashflow Property Management4.9102 Reviews - 2moDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
Like so much in business, "it depends".
How much over the owner approval threshold?
How serious is the extra issue(s)?
How much will the additional service charge be?
What's your relationship like with this specific owner?
How flexible and understanding is this specific owner?
Will this owner's portfolio balance and reserves cover the extra cost?
Unfortunately, there are often judgment calls like this you will have to make.
Just be sure to document the Before & After condition of the work, along with a GREAT writeup about why the work was needed, so you give the owner as little to complain about as possible!
Logical Property Management4.9458 Reviews
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