All Forum Posts by: Beary Bowles

Hello ALL

I've purchases and self manage a 12 unit apartment building for approximate 1 year and a few months.  I have assistance and marketing and screening and a on call handyman.  Yeah this isn't my best system but i'm working on it.  The units are all 1bd room, 1bath studio apartments ranging from newer $495 models to order models $425 a month.  I've been mostly attracting single person tenants or occasional couple every now and then.  The tenants that I currently have are mostly on social security (SSI), Disability , and some working class (low income). 

The problem that I'm having is collecting rent from them.  Some have have paid late, or when I call them on the day the SSI check comes in I hear an excuse to what happen to the money or the need more work hours to go with the SSI. The only person who's been consistent on paying his rent is one tenant on Disability (What gives). 

Another problem I've noticed is that low income tenants do not have smart phones or thats what I think. With that said, I can't apply any online portals for them to pay the rent since some are not phone nor technologically savvy. 

I thought about doing Section 8 for all the units since it's consistent, but my education base have been lacking in that area. Any tips on running a property through Section 8? 

I've been mostly collecting the rent from money orders, square soft from my phone, and occasionally in cash to a small few (I know tisk tisk).

Any help, ideas, and strategies would be gratefully appreciated. 

Thank you to all

I have a bird dog whose constantly calls me and finds me multiple deals consisting from 10 units and up to 20 units. He recently came across a 6 unit apartment, 2 bd/1bath, in a residential neighborhood with a 8 to 9 cap area (St. Louis, MO) market. The bird dog said the unit was very nice and he thinks the unit will be sold for 100 per door ($600,000).

This time and from previous deals I've had deals fall through my fingers due to funding and pulling the trigger.

BACK STORY:

I'm a seasoned investor and owner of a 12 unit apartment building. I've been in the business and currently own a total 13 door and currently in the process of cashout-refinancing my 12 unit building. At the time I used to manage the 13 units to fully know the ins and out of the business. Also I've have funded, rehabbed, and successfully flipped one property during my experience.

I'm currently do have plenty of cash and even more after the refinance.

I'm seeking any investors/partners who are interested and joining me in the deals as a equity partner or money partner? 

Thanks in advance.

Thank you @Greg Scully and @Kristel Daugherty for the feed back.  Initially I had only 4 tenants when I first bought it and was self managing now managing 12 personalities and their unique situation can be daunting.  The handyman lives down the street and very reliable and convenient. 

As a question, can I hire a property manager to do certain duties but not all?  For example from noticing my own weakness in this business is (1) collecting rent in a timely fashion and (2) interview/screen/and show tenants the units.  Everything else I can mostly handle. 

For the most part I will eventually hire a property manager.  Thanks again

So I own a 12 unt apartment building in the St. Lous County Market for approx 1yr.  My team consist of myself, property manger (the previous owner), and a local handyman. So far the team have been decent since I have a 40hrs a week job.  My current problem now is that we have it completly occuppied but my property manager is stuck in the past with technigolgy and has a terrible marketting strategy by using out dated news paper ads to advertise for rent.  Now I manage the handyman, pay the handyman, collect 95% of the rent by phone charge (Square), occasially screen tenants, and pay expenses.  

Should I just lose some of the cash flow by hiring a real property management company or create a template and hire/teach a employee to deligate some of my assingmets?

Any advice would be helpful. 

So I've own a 11 unit apartment building in Missouri.  This is the season when it rains constantly during the month of April.  Luckily enough when I bought the property I had a 5 year roof warranty.  Mind you the roof is flat and have a total of 4 corner drainage spots.  I've had one particular tenant call several times about water coming into her unit (which is near corner drainage spots).  I've called the roofing company and they have came out to the property multiply times.  Recently I've found out that the drainage spot might not be running into the drainage valves and into the units from inside the roof.  What can I do to remedy a solution? 

1: rip up the existing roof near drainage corner

2: already fixed and sealed rain runoff drainage pans.          

Morning investors and like minded people.  Just wanted to give a update on whats been going on.  So me and my contractor went through every single unit from top to bottom. From every sink to every faucet lol.  At the time the water bill will still $600 to $700 so i was pulling my hair out lol.  Find out I had a running flapper in a units toilet and have been like that for months.  The toilet was fixed and the water stopped.  I checked the master water meter and the dial has also stopped.  A month later went by and the water bill went down drastically.  Now I can charge my tenants back utilities due to the fact that its in their budget versus dividing a $700 a month water bill divided by 11 tenants lol.  Thanks for all the help and advise.  till next time. 

Great job and good work!!!

Greeting all, just a heads up I've done a walk through with my contractor in all the units.  It literally took hours going through all the sinks, toilets, and shower heads for leaks.  Found several dripping faucets and one major leaking toilet which was leaking severly.  Made improvements by changing multiple flappers, floaters, and ect.  I've checked my master meter and the meter did not move (slow flowing dial).  I will check in the next month and see how the water bill amount and what has changed.  Thank you all for the tip and insight.

@Kenny Dahill It has actually been less.  I will use my current situation.  Before I inherited the building the leases read "Tenants are responsible of 15% of the quarterly water bill".   At the time i had only 4 tenants, so the quarterly water bill used to be $125 to $200 every three months.  With that said the tenants were paying $25 every three months.  Over time, I improved the building, repaired a major water main leak, and also the water company changed their quarterly water bills to monthly ugh.

So now i received a MONTHLY water bill from the company with my existing 10 tenants of roughly $340 a month.  I could send out a notice to the tenants informing them that the water bill has increased and changed?  With the mentioned information of 15% could pay for the monthly water bill would be $50 month per tenant.  I guess I will just need to make the changes and inform the tenants the the water bill will increased and enforce monthly payments?

@Al Williamson Thats an idea, never heard of clamped and wifi meters.  can you send me a link so I could look into this more.  Yeah I've asked one major plumbing company and he also mentioned that could be very expensive especially multiply meters

@Nathan Gesner I will make several different changes when it comes for their lease renew.  For now they pay electric which is billed back.  Its all electric units so it could range from $65 to $120 a month depending on the summer and winter season.  The area and building in C building in a blue collar neighborhood.  With that said I'm concerned about pressing the envelope to the point that they cant afford and would have even more difficulty collecting electric and water payments.  

@Kenny Dahill I currently have 10 tenants out of 12.