All Forum Posts by: Doug Johnson

I have a pretty good questionnaire that I use to interview property managers. It's simple and gets to the point of the important things that I look for and want in a PM.

Recently, I came across a situation and wanted to know if this would be unfounded to do.

For those that utilize PMs, have you ever hired a PM and had as part of the contract that if they are not able to get the property rented in x days that you the owner have the right to terminate the contract? In this example it relates to hiring a new PM that is not managing any of your properties and you have one that you just bought and want them to manage and get rented.

In the contracts that I have with my PMs it simply states that either party must give 30 days notice to the other if they want to terminate. I have also "never" stipulated when I hired them that they had x days to get it rented or I would get another PM. I enter into the agreement with the thought in mind that they are qualified until I see they are not qualified. 

I've only had to switch PMs one time. I hired them and they prooved in 4 months after ring hired that they were incapable of performing the job. But that's a story for another time. :)

Hi Daniel, 

   I was thinking about using Memphis/Dallas invest as a Turnkey provider. Do you know much about them and will it still be hard to get a turnkey property through them?

Thanks so much for all the helpful replies! I think maybe the suggestion to call the competition might be helpful. I would be interested in keeping laundry on site for my tenants, and a 50/50 split might be ok, but there's no way I'm going to do business with this company after all the threats and attempts at intimidation. Like I said before, involving lawyers would be my last resort simply because I don't want the headache of a drawn out legal battle.

Just an update: When I emailed and asked for proof that Jetz had made every reasonable attempt to pay their rent in the last year (Me: "You claim that the rent checks were issued to {previous owner} and returned as undeliverable. {Previous owner} claims that you told them the rent checks were being sent to the owner before them, Mr. ------. If they were being sent to Mr. -------, I'd like to see proof of that. If they were being sent to {previous owner} and returned, I need to see scanned copies of every check, along with proof that the payments were returned as undeliverable before we can proceed. I also need to know how long it's been since any payment has been made for these facilities. I would also like to see your proof of ownership of these machines. As I stated before, I had never heard of your company before receiving your email, and I can find nothing on either machine that would connect them with Jetz Service Co.)

The guy responded with this: "In reading your response it is obvious you're not interested in mitigating the circumstances and accepting our offer. I assume you chose to disregard my suggestion to talk with your title insurance company. If you were unaware of the lease you should have issue with the title company, not Jetz. We are sincerely open to a reasonable resolution but will not will not continue the unproductive back and forth. As I stated before please do not underestimate Jetz Service Company's resolve and willingness to defend and protect our lease rights. If we're forced to seek legal action any potential resolution from that point forward, as per the lease agreement will include any attorney fees and costs we incur."