All Forum Posts by: Patricia Steiner

Two things you can do rather quickly:

1.  Call the Mayor's Office. Explain that you were dismissed very quickly by the Water Department to have your next month bill return to the normal amount. Offer that no leak was found and no repair made - and that you were hoping this would be quickly resolved as it was obviously a new meter issue. Suggest that this is something you can't just let go as if it happened to you, it's happened to others and you'll need to involve the local media if necessary - not a threat, just a fact.  Here's the reality:  the water person never imagined that you would call the Mayor...he thought he would be king and you would go away.  Rock his world...make the call.

2.  Call the local news channel's consumer advocate and let that person go on camera with the water department and ask how many other owners are experiencing this same thing.  

I would do one or both of these before engaging an attorney; these are tried and true - and can resolve an issue in minutes.  Go get your money back...best.

Don't do it...the mortgage lender is going to need to vet where the funds came from and a personal loan will not be an acceptable source as the expectation is that you are able to bring liquidity into the deal. My recommendation isn't sexy but it is the stuff of wealth building: find the highest loan-to-value mortgage possible - maybe FHA which is 3.5% downpayment and save as frantically as you can for that amount. Sell personal items you no longer use/need; cut back on your expenses, take a side job - whatever you can do to invest in something greater: YOU.

Before I share with you why Tampa is the market most chosen by successful investors, here's the downside of investing in Florida:  we have some of the highest property insurance premiums and property taxes in the nation.  We don't have a state income tax so the property tax is a killer.  Now for why Tampa:

"No market is doing better than Tampa Bay when it comes to net migration. The region rose from second to first in attracting new residents, with a population growth of nearly 2.9%, outpacing Austin, Phoenix and Jacksonville. And the migration rate of people between the ages of 25 and 34 jumped from 12th to 8th, “which means we are attracting workforce talent.”  (End)

Property appreciation and rental price increase both exceed 20% depending on the market within Tampa. We have a housing shortage that is years in the making and with over 200 people relocating here EACH DAY, demand far exceeds supply. STR is most profitable in communities that have something worth going to on a routine and regular basis. All things Disney brings a lot of competition and price slashing at times. The beaches are a mainstay for my clients but come with flood insurance - which isn't always cost prohibitive depending on the construction. Tampa has the major sports franchises, universities, world renowned medical communities like Moffitt Cancer - so it has the draw - as well as the proximity to the beaches, Orlando, more.

Managing properties remotely is commonplace and the traditional PM model is just costly and outdated.  

Florida offers a lot of distinct investment opportunities. Each market has its own tourist demographic as well so you may want to consider who would be your preferred guest/tenant.  My recommendation is if you decide to invest here, time is of the essence because our prices are only going in one direction.  

Hope this helps...

The brokerage size doesn't matter. What does is how committed the Broker will be to your development. Passing the real estate license prepares you for nothing...that just allows you to get in the game.  Real Estate Brokerages 'collect' agents; they make money off of monthly desk fees for each agent they bring on as well as a split of your commissions.  Some firms just want the body count. Others will charge you for each and every thing including training.  Don't let the 'we really want you' pitch sway you, remember you're the product for these firms.  Find out what they have to offer you and if a mentor (who you don't have to pay) will be assigned to you and if unsolicited calls to the brokerage could be assigned to you (future clients).  You have to KNOW how the business works to be successful. Do the homework...

Oh so bolt...why do you want to pay for this level of (non)service/maltreatment?  Post a review and you can bet you'll be contacted right away. They're not the only source.  Value yourself and your property enough to ONLY DO BUSINESS with those who are good enough to earn it each and every time.  

Cash ain't trash...a lot of big investors are building stockpiles.  I am working with a couple set of investors who are looking at untraditional real estate plays for residential that are innovative, cost efficient, and takes it all to a new level.  In times of uncertainty and transition is when the best innovations surface.  Jump in...

It's worth reaching out to Corporate Housing Groups (most HR Departments at large employers have this division as well as Relocation Companies that you can find via an internet search) to offer your property as a 30-day furnished rental. If you're near a medical and/or law school, monthly rentals are preferred by those who are preparing for board exams over vacation rentals as well as by visiting professors.  My family was an investor in a Corporate Housing designated complex and it turned out to be very profitable. Also, custom builders are always looking for temporary housing for their clients who are building new homes or doing major renovations. They issue for them has always been getting caught between a long-term lease which isn't needed and/or a vacation rental that is just too transient.  I think you have a temporary marketing issue that has the potential for turning into something pretty great.  Hope this helps...

Why Zillow?  Why aren't you getting more traffic?  Why are you giving control of inquiries to your realtor?  Resetting the clock won't cure whatever isn't working.  Lowering the credit score just gets you a lower quality tenant and one who has a record of not paying on time or at all.  Time to reassess your rental and marketing:

1.  Is it priced correctly? What is the rent for comparable properties in the same area?

2.  Does the narrative 'market' the property - sharing all the location has to offer, the great condition of the property?  I've read some rental listings that sounded like they were being managed by someone's mother.  What's the invite to apply - is there a hefty application fee?  Are the photos a turnoff?

3.  Is Zillow the right site?  It's kind of the Facebook of real estate now so it may not be getting you enough traffic. Also, do you have a sign on the property? DId your realtor hold an open house?  That old 'put it out there and someone will take it' is not the best way to generate interest and get your investment cash flowing.  In other words, do something else!

You may need to explain the time on market by stating something like "now available; time on market due to pre-marketing."  Again, do something - and do something else.  You're running a business - and your 'merchandise' isn't moving by what you've done so far...a lot of time has been wasted already.  

KNOW this:  "When a sex offender moves into a neighborhood, houses within a one-tenth mile area around the sex offender's home fall." If a registered sex offender, reformed or not, moves into your immediate neighborhood, it's bad financial news. The potential price for your home likely has been trimmed substantially."  It's a finding from Megan's Law and is common knowledge with real estate professionals. The valuation trim can be 12% to 20% depending on the market mix (greater hit on markets that cater to families). Also, don't be surprised if a tenant moves in and finds out this fact afterwards - and demands lease termination for your failure to disclose.  

There are some issues that should be thoroughly investigated; this is one. Do online searches and consult realtors/parent organizations, etc.  This isn't a BP opinion topic for decision making.  

Please do the research.  

The PM did not handle this well and I would be looking to replace them as soon as permitted by your contract.  As far as hiring a collection company directly, check your PM contract to see if it prohibits you from doing so.  And a common mistake that investors make with PM companies is that they give full control of their property to the PM, fail to actively manage/hold PM accountable, and get results that are far less than if there were no PM at all.  

Resolve this situation first and then take time to figure out what you really need from a PM. It concerns me that the PM so mishandled your tenant situation - and then advises you that they'll go through collections for a 40% cut?!!!  Makes it sound like they are hanging on to an income stream here by not proactively managing tenants to the contract.

Dump them asap...they're working for themselves - not you.