All Forum Posts by: Kim Meredith Hampton

need to put some sort of cap on utilities in your next leases. If it goes over X, then they pay Y

congrats on the property!

Usually if it’s in one meter, you should include in the rent amount. This is how we are supposed to do that here in Florida, per law. Do you know how much the typical bills have been in the past? You could also call the utility companies to get averages too. You could also put a stipulation in the lease that if the bill goes over xxxx they will be charged an additional fee. People tend to waste a lot when everythings included, so this helps to avoid that problem.

There are also companies out there that can install a meter in lieu of doing a full submeter to ascertain how much usage the unit is using monthly. I use this type of system in a ten unit that I own because the cost to submeter each one was cost prohibitive 

I usually don’t include other items like wifi/internet unless it’s a furnished/short term rental. 

We use Appfolio for our long term, but I think you need a minimum of 100 units now, which is sad. I am sure there are more software that does the same thing and costs less. Its expensive, but we have used this since 2009!

Cut it open and see what’s going on, it may not be much, but if it is, file on your insurance and then they can go after the tenant. 

Not sure if you use a PM, but my software tracks the policies and lets me know automatically if there is a lapse in the renters policy, so that we can try and avoid this type of scenario. Hard to say which way this could go, just keep good notes, records and photos, dates, times etc… maybe this could possibly go under their previous policy?

@John Roberts, This is a corporate style lease, and I would have a real estate attorney and/or pm prepare for you. Also an officer of the corporation must sign. There are a lot of caveats and problems that can arise with so many people in and out all the time that have not been vetted! I know it all sounds great, but it just takes one problem for this to turn into a nightmare. Better to be safe than sorry

Jeremy,

I would imagine that most bonus for the team looks different on each level of the team; PM or Leasing looks different than maintenance.

KPI's could be tied to occupancy, achieving budget, no variances for expenses, leases, renewals, work orders completed, testimonials and google reviews. rent collection, customer service. Bottom line is increasing revenue and decreasing expenses with all the people above contributing into how the property performs. 

Everybody loves money, but company culture also is important. Sometimes events and outings are a good way to reward your team. This can be achieved monthly, quarterly, annually etc...

I have always paid leasing monthly per lease, per renewal and for google reviews.

Managers are given bonuses quarterly for meeting budget, collections, occupancy and other KPIs

Maintenance (split among the team) is usually based on staying in budget, how many work orders received, as to how many completed and google reviews

Honestly, I would not sign any lease until you positively close and legally own the property. Anything can and does happen all the time. I have seen these circumstances; people die, go out and buy a car, lose their job, etc… 

Just my own two cents, I’m not an attorney, just play one on TV

John

First look at your states licensing laws, they can easily be found online. Most states require a RE license and or Broker’s License. Here in Florida, you first obtain your RE license and work under a Broker for two years. 
If I were you and you need to meet the requirement of working under a Broker, just make sure your agreement with the broker allows you to take all your properties with you once you leave, obtain your brokers license and start your own brokerage

I would also start looking at software systems and joining the National Association of Residential Property Managers. This association is the best thing you can do for yourself in the education, networking and vendor relationships

Jackie

Is there any way they can go and visit the current PM and also meet the new PM, or even ask the new PM to go by the office of the current PM to see if they can see if they are still in business? Go online to check the DBPR and make sure they are licensed. They could also call the local board of realtors and talk to the grievance or professional standards dept to file a complaint. I’m sure this will get their attention.

I had to do this same thing with a client that had not heard from the short term PM in months

Unfortunately. this is typically considered normal wear and tear. Obviously, if there is a large hole in the wall or they painted a different color, then you can charge them to paint. Always be cautious of what you charge on things like paint, flooring etc.. most judges will use life expectancy and divide out a pro rated amount you could charge the tenant for excessive damage and not normal wear and tear