All Forum Posts by: Michael Smythe

@Jay Y. you can send it to us for our review.

Find it hard to believe a large org like them wouldn't cover this correctly!

PM us for our email.

@Raylynne S. most PMCs will terminate their contract, with little to no penalties, if an owner is truly going to reoccupy the property.

@Errand P Braithwaite is the applicant using this as an enticement to get you to approve them and overlook redflags?

@Zachary Luchs

An agent and a PMC should work together to find you great rental properties!

We don't recommend relying solely on an agent as they're out of the picture after the closing. Also, in our experience, 95+% of agents have no clue how to calculate ROI, Cash-on-Cash, Cap Rate, etc., so what are they really going to help an investor with?

No one has more "skin in the game" than a PMC as they have to deal with the property every day until an owner sells or fires them.

Also recommend finding your own Inspector and not one referred by an agent. You want an unbiased Inspector.

Then:

• Do a SWOT analysis of your resources
• Write down your real estate goals
• Pick an asset type: SFH, 2-4 units, 5+ units, or something else like MHP.
• Pick an asset class: Class A, B, C & D properties, research pros & cons, pick one to focus on
• Pick a real estate market that matches your resources & goals
• Contact local agents & PMC’s to start sending you listings to analyze
• Analyze a few deals weekly, get comfortable with the market and refine what you're looking for

Sign up for the BP Property Management lead system:)

@Daniel Grimsley sounds like you have a Class C tenant.

They are probably planning on saving the rent they owe you to use to move and pay first month's rent + security deposit on a new home.

Why didn't you start the eviction process when they didn't pay May rent?

Your inaction has just rewarded their bad behavior.

Start ASAP as they will probably stay past June 30 because they don't think you're serious.

@Jay Dave what law gives you the right to break a lease contract, just so you can sell the property?

You're legally required to honor the lease contract unless you can incentivize the tenant to accept a termination. 

@Raylynne S. none of this sounds good.

1) Failed to communicate about 21-Day Itemization Rule
-Did they do it at all?

2) Past tenants refusing to pay for damages
-Very common! Only option is to pursue them in court, which may cost more than you recover.

3) Cleaning
-If there was $10k in damages, who did the repairs?
-Why didn't the repair company do the cleaning?
-Doesn't matter how many people clean a house, it's just a question of how much time it takes.

Going to guess there's a money issue here with the PMC. You may be penny-pinching too much and they don't like it, so they are giving you a level of service corresponding to what you want to pay.

Or, they are incompetent and you need a new PMC.

You can use a standard purchase agreement. It should have a checkbox for land.

Appears to be a well oiled machine?

So did Bernie Madoff's investment company...

What due diligence have you done on the company and its owners?

What protection will you have on your investment?

What's the Absorption Rate of housing in the area?

There are many more questions you should be asking!