All Forum Posts by: Dave Spooner

@Daniel Gage You can't go wrong with any of the big three being thrown around on the thread. But they're the old guard. What you get in pedigree and consensus, you pay for in modern design and ease of use. I would definitely suggest exploring a few more modern systems. Ultimately, it depends on fit and the functionality you're looking for, but you might find a simpler to use, less expensive platform that provides everything you're looking for.

What kind of features are must-have for you?

I second what @Mike Derenthal said. It's probably best to have a structural engineer take a look and give you a better idea of what is going on and what repairs can be made. Fixing sloping floors can be an expensive undertaking, and it's best to know as much up front as possible so you don't get into a situation that ends up costing you way more time and money than you are willing to invest. 

In one of the better scenarios, a sloping floor could just be caused by something as basic as improper installation of the flooring. If it's an older property, you may be looking at a support system under the floor that is starting to fall apart. Both of these situations are going to be easier fixes than a serious foundation issue. 

Better to be safe and get a structural engineer, than to get stuck with a building that has serious issues that you don't want to have to deal with. 

Great post @Matt Jones. I like your point on sticking to long-term plans. Panic makes people do crazy things sometimes, but if you have a clear long-term plan in place, you can make slight tweaks as needed. Staying level-headed with the natural ups and downs that come with real estate is crucial (especially in times like these), and having a clear purpose and plan is now even more helpful than ever before.  

There is a time and a place to use a PM, but it's beneficial to do the leasing process yourself. That's one of the most critical steps when renting out a property like @Michael Jones mentioned. I also recommend learning to do things yourself when you are first starting out before you ever decide to use a PM. Like others have mentioned, Zillow, Craigslist, and Facebook Marketplace are all great resources to utilize. I'd definitely require criminal, credit, and eviction checks in addition to an application. 

I'm looking to expand in the Cincinnati area, but I would like to get some insight on the demographics from local investors.

@Kumar Gaurav You absolutely can! The main purpose behind an LLC is to separate assets to limit liability (hence the name). For example, if you own 3 properties and also run your consulting business through one LLC and someone sues your consulting business, they could technically go after your 3 properties as well (depending on the judgement on the case).

Some landlords put each of their properties in different LLCs to isolate them and provide maximum protection. It's probably overkill, but you also likely don't want to have a huge number of properties and assets under one LLC. Just find the right balance of protection you're comfortable with.

@Terri Jiles - For a CRM, if your intention is to manage potential property deals, Pipedrive is probably a good combo of sufficient, simple features and inexpensive pricing.

For accounting, Quickbooks is great. It takes a bit of learning but there are a TON of resources online to help you get acclimated. I recommend Quickbooks Online, especially if you're just starting out and aren't married to a particular custom Quickbooks structure.

If you're a landlord, you can likely find property management software that will integrate with your Quickbooks account.

@Boe Stingley it really depends on what you're looking for. Cozy is a great product, but it's bare-bones (by design). It's missing functionality and flexibility that a lot of landlords need.

Some of it is basic, like charging any recurring bill other than rent. Other missing pieces are more substantial, like signing and storing documents online. It also can't integrate with Quickbooks, so you may end up doing double entry if you're using QB for accounting. Cozy is usually great if you have a couple of very straightforward, by-the-book properties. But if you want to grow or you have anything unique, it may not be a perfect fit.

What kind of functionality are you hoping for in your software?

@Bryan Blankenship I manage my properties myself, so I can't speak to the property management relationship side of your question, but I did want to throw out an often overlooked aspect of the software PMs choose to use: the tenant experience.

As a property manager, you rightfully evaluate software based on your experience day-to-day interacting with it and your owners experience on their login portal. Makes sense, they're the ones paying you. But many managers and landlords don't put enough focus on the tenant's experience with the software.

Amazon spent $23B on R&D in 2018, a huge chunk of which went into figuring out how to get more people to click a buy button. Paying rent, signing a lease, submitting an application - these are all basically eCommerce activities and you should look for a software partner that takes the tenant digital experience seriously and studies what makes them click.

You'd be surprised how much it can impact vacancy rates, collection percentages, late fee collections, etc.

@Heather Schmidtknecht I definitely agree with @Matt Ziegler. Adding the tenant's mother on as a lease guarantor would definitely act as a safety net for you, in case your tenants ever default on their rent payment. Here's a helpful article if you're looking into lease guarantors - https://innago.com/requiring-lease-guarantor/ I hope this helps!