All Forum Posts by: Bret Kennedy

@Stephen Glover (Preface) While I agree that I should have read the contract in a lot more detail than I did, as a General Contractor doing home remodelling I ensure that I go through all of my contracts with my clients verbally for full understanding. 

So what has happened is that I was not informed or contacted by the PM when the tenants didn't pay on time. They had their payment date, then they also have their 'grace period date'. First month the didn't pay until after the grace period, and I didn't find this out until I got the statement. Once I finally got the statement I noticed in a 'fee', a leasing fee. This was the first part of the signed contract I missed, yep totally my fault. Then a second 'retainer' was taken out which was also in the contract after I re-read it for a 'maintenance retainer'. ie: any work that needed to be done this could be used. While I understand this, as mentioned above I would have walked this through my client. So instead of my first rental payment being $1020, I got $380 (roughly) That didn't cover half of my mortgage which is why I got ticked off. 

Come second month, I checked my Bank and again no money. I had to follow up with my PM to find out what was happening, they said they still hadn't paid. Then after I challenged them on this, the PM told me 'he didn't force the tenants to sign the agreement, and He can't force them to pay rent'. And while if you want to be technical and say this is true, that isn't what a PM should be doing. They should be communicating with the owner and the client to ensure all is being done to have the rent paid. 

Come the 3rd month, again I haven't been told the rent is late until I question them. Speaking with an investor friend of mine in the same area, I have found out that very few PM's charge the additional fees I have been charged on top of my monthly PM management fee. Then I find out that the PM charges the tenant a late fee, of which he takes 60% which isn't outlined in the contract anywhere. After disputing this and a long email from the PM he didn't want to "get into a pissing contest about he is to be doing his job". I told him that the tenants late payment wasn't acceptable, and while I understand eviction, my point would have been to have a talk with the tenant and work out a way to get this solved. Instead he took it as me telling him that I wanted them out. I said 'if they can't get it together then we need to find alternate arrangements'. 

In summary, his attitude, his lack of communication and his continual fees that I have to pay lead me to want to fire his ***. :()

So that clears it up a little. I am going to VA and to be honest I don't want to evict anyone. I am happy to create a much nicer environment for the tenant if we can work out how to fix it. I just don't want this PM to have anything to do with my properties any more.

Please feel free to chime in or ask additional questions. 

Bret

@Stephen Glover While I can see where my mis labelling of verbiage has confused everyone which I apologize for, your attitude in saying ' I am the problem' is not helpful, which is what this forum is about right?

@John Underwood Unfortunately it doesn't seem like he is. I have told him I want to look after the property myself and that I don't want to use him or his company any further, but his retort was that until an eviction is performed they will run the course of the property management. 

The contract doesn't have any verbiage in there that says I can cancel the contract, he does have some in there that he can cancel under certain terms. 

Is there any way legally I can have the contract cancelled or something along those lines?

Bret

@John Underwood

OK clearly I wasn’t good at writing this particular post.

Let me start again.

I own a property. I am ploy a property manager to lease the property out for me. The tenants have been late three months in a row. I no longer wish to have the rope try manager run the property management for me. The property manager has put in a pay or quit request to the court which is scheduled for the 15th I have asked the property manager To stop being my landlord. He wanted to wait until the tenants were evicted which is the only thing holding us to together. I have told him that I will take over the issues with the tenants and no longer wish to use him as a property manager.

@John Underwood

Sorry. I am the property owner..

I am currently in a lease with a tenant and landlord in Richmond VA. I have not been happy with the landlord. The tenant had been late 3 months in a row and after a large argument with the landlord I want to fire them. They have put in a pay or quit notice to the court which is scheduled for 15th this month.

I have asked him to release me from the lease so I can take care of the property myself. He said after the tenants are evicted.

I’m happy to work with the tenants but want nothing to do with him.

What are my options ?

@Harjeet Bhatti I don't think that is accurate. The whole reason for purchasing through an LLC is to protect yourself. I already have 2 hard money loans through my LLC and I am sure that you can refinance (cash out for conventional loans) in your LLC's name.

My main dilemena is sifting through the different types available to me . 

Bret

If the house is purchased under an entity, doest that affect the percentage rate V's refinancing under your personal name? I know that we use entities for protection, but just wondering if there is a difference in the % as well

Bret

HI all. I have a 2 main questions. 

1) I really need to get more information on mortgages. The different kinds of them available as an investor, who to speak to that can help me with this information? or any online resources you suggest that I can read more about these. Using entities V personal for investment mortgages etc

2) I currently have 2 properties in VA ( I am based in CA) I have a rental that has basically seasoned (6 months of a hard money loan) and I want to refinance to a better rate. The first offer I got though was for 9%, and the repayments of the loan were more than the hard money loan I have. So are there any Mortgage brokers licensed in all 50 states or in VA that I can speak with that can help with a refinance? this is a little time sensitive so would to chat as soon as possible.

regards

Bret

But would I be able to refinance a higher amount?

HI all. Bought a place in VA in december last year. It is being rented now and was purchased through my LLC. I want to cash out the equity in the property and pay off the hard money loan. From what I hear though an LLC will only get up to 75% of current market value. Is there a way I can refinance with a personal mortgage to increase the cash out amount? The 75% will cover the loan for hard money but won't really give me any cash. Also what is the time limit I need to wait, I keep getting told 6 months to get the best value, but if I refinance earlier how much will that hurt the refinance?

bret