All Forum Posts by: Michael Smythe

This is where negotiating a percent of the rent, may make sense. 

We charge one month of rent, which many "experts" on this site claim is too high.

What they typically fail to understand is that fee covers:

- All advertising
- All showings
- All application underwriting
- Creating the lease and getting it signed.

Yes, it sucks if we rent the property in a week. But it saves on the "per showing" fee model if it takes longer. With Days On Market increasing across the USA for rentals, which do you think is better?

@Artur A. Why are you being charged for your PMC to drop off welcome package and lockbox? Should be part of the management fee they are charging you.

Why so many trash pickups? 

Where did they charge the tenant for the drain clogged with hair and the false alarm on the fridge?

How are you going to wholesale a foreclosure list?

Make sure they have easily explainable processes in place that you can get a copy of to hold them accountable.

Communication is also critical.

The location would be better in the title of your post as most experienced BP'ers have keyword alerts set and don't visit any specific forum.

You didn't mention how you are sourcing properties.

This will be a big key to your ongoing growth and success.

Too many investors are only buying off the MLS and think getting a property at 5-10% below asking price is a "good deal".

The reality is that a "good deal" is one that meets your investment goals. So, offer that price or less, not anything based upon what the seller is asking.

@Cristin Andrews this is why we believe owners should ask a lot more questions about a PMC's tenant applicant screening PROCESS, as well as all their processes, before hiring them.

Many PMC's are outsourcing their screening process and/or solely using technology to approve applicants. While this avoids Fair Housing issues, it does create possibilities like you have mentioned.

Communication and systems!

Grosse Pte is  Class A

Hamtramck Class A, B, C

Highland Park Class C & D

Prices will be lower on the lower Classes.

You will pay higher rates for DSR loans than FNMA loans.

FNMA will require you to close in your name, DSR can only close in LLC.