All Forum Posts by: Ryan Spath

@AJ Satcher thanks for sharing! This will likely help. 

@Marcus R. What AI tools have you found to be most beneficial?

@Damani Tilton

Honestly, I’m not entirely sure why some property managers discourage rent increases. It could be that they want to avoid turnover or that their operation has scaled faster than their staffing, leaving them without the resources to handle turnovers effectively. I’ve never asked one directly, but the next time I speak with a PM during an acquisition, I’ll be sure to bring it up.

Regarding secure self-access for tenant viewings, I’m referring to code boxes that verify a prospect’s identity before granting entry. We looked into Rently, but they require a minimum of 25 units under management, which doesn’t work for us right now. I was referred to Tenant Turner and actually have a call scheduled with them later today.

At this point, we haven’t found a perfect fit. We only started discussing this over the weekend after one of our out-of-state units became vacant. The person we usually rely on to show the property isn't always available when prospects want to view it, and that’s created a bottleneck we're trying to solve.

If you know of any other solutions that accommodate smaller portfolios, I’d love to hear about them.

Hey, great conversation!

For perspective, we currently self-manage a dozen doors across two states. While we’ve used a property manager in the past, we now handle everything in-house for a couple of key reasons:

1. Faster and cheaper turnovers – Using our own vetted subcontractors allows us to turn units more quickly and cost-effectively.
2. Maximized rent potential – We’ve found that when we self-manage, rents stay closer to market rates. When we’ve used property managers in the past, they often discouraged raising rents to market levels. I’ve noticed the same pattern when helping clients purchase tenant-occupied, PM-managed properties.

We’ve kept our systems simple. For the past 10 years, we’ve used spreadsheets and ScheduleMyRent.com for rent collection. I’m currently exploring RentRedi as a more complete platform for rent collection, lease signing, and communication. Based on what we have learned so far this one may be the winner for us, I am currently trying this with one property as it is turning and will likely convert more as they turn/renew.

One of our current goals is to implement secure self-access for tenant viewings. This has become one of my biggest time sinks—especially when a unit is 30 minutes away, and a prospect cancels last-minute.

Early on, I valued meeting tenants in person—seeing how they maintained their car, getting a feel for them. Over time, I’ve realized that credit, income, and references are just as telling as an in-person impression. People are people, and keeping the process efficient helps everyone involved.

In our experience, multi-unit properties typically offer a higher ROI compared to single-family rentals. That said, older buildings often require more attention—how much depends on the major systems and whether they've been updated.

For example, a few of our smaller multifamily units in Florida were built in the 1980s. We’ve had to fully replace the plumbing in a couple of them. Most of our properties are on septic systems—one is currently being replaced—and, of course, roofs and HVAC systems only last so long. We've also noticed that in our market, insurance tends to be significantly higher for properties built before 2000.

Regarding reserves, we keep it simple: we set aside a fixed dollar amount each month into a dedicated reserve account. For perspective, with a dozen rental doors, we save approximately 9% of our monthly rental income.

This approach has worked well for us—it easily covers smaller repairs and maintenance issues, while allowing the reserve fund to steadily grow over time to handle larger capital expenses when they come up.

If the building you’re looking at is sitting on the market while others are moving quickly, there's a good chance it's overpriced. Have you tried connecting with a local real estate agent who understands investment properties and has a strong feel for that specific market? Partnering with someone like that can give you valuable insight and help you make a more informed decision.

Hey, great question!

We self-manage a dozen doors across two states. We have a separate bank account that handles all rental-related activity. Personally, I don’t think the specific bank matters—as long as the account is completely separate from your personal finances and used solely for your rental business.

For tracking, we keep things simple with an Excel spreadsheet. Each property has its own tab, and we track profits and expenses in detail for each unit. It’s worked well for us, and we’ve done our best to keep the system easy to manage.

That said, the key is finding what works best for you. Create a system, stick with it, and improve it as your portfolio grows or your needs change.

Feel free to reach out if you have any specific questions—always happy to help and share what we’ve learned over the years!

1. Have a Strong, Specific Lease
   Make sure your lease clearly outlines expectations and addresses common situations. Here are two key clauses to consider:

• Early Termination Clause
  Example:

If the tenant seeks to terminate this rental agreement before the lease end date, the tenant agrees to pay [$____], not to exceed two months' rent. The landlord agrees to waive the right to seek additional rent beyond the month in which possession is regained.

• Why it helps: Useful if a tenant needs to relocate or purchase a home mid-lease—it sets clear expectations and simplifies the process.
• Holdover Clause
  Example:

The tenant must vacate and remove all personal belongings by 11:59 p.m. on the lease end date. Failure to vacate may result in immediate eviction proceedings. If the tenant remains without a written agreement and the landlord accepts rent, tenancy converts to month-to-month at a rental rate of [$          ]/month, payable in advance, and subject to the lease terms.

• Why it helps: If a tenant needs a short extension, this clause applies pressure to either move out promptly or formally renew for another term.

1. Separate Banking
   Set up a dedicated bank account for all rental income and expenses. This makes tax time easier and helps keep your finances organized and professional.
2. Online Rental Payment collection: Tons to choose from, chose one that fits your needs. Rent Redi, Schedule my rent, avail.

Why it helps: Automation is key, most platforms enforce your late fees etc.

Hope this helps, we self manage a dozen doors in two states, feel free to reach out if you have any specific questions. Always glad to help and share what we have learned.

We understand how challenging tenant situations like this can be. However, we do have a clear policy in place: if a tenant is late more than once within a twelve-month period, we do not offer a lease renewal. In this case, the tenant has been consistently late multiple times over the past year, even though you've been patient and allowed them opportunities to catch up.

Given that the lease ends on 5/31/25 and you provided appropriate notice 45 days in advance, you are well within your rights to end the tenancy. While they are requesting an extension and suggesting they could pay more, based on the history of payment issues, that promise may not be reliable.

While vacancy is never ideal, continuing with a tenant who has an ongoing pattern of late payments often leads to more stress, lost income, and potential legal headaches. It may be in your best long-term interest to stick with the lease-end notice and plan for a new, more stable tenant.

If you want to show a gesture of goodwill, you might consider offering them a strictly non-renewable 2-week extension (with clear written terms) to aid in their move-out — but only if you believe they’ll honor it and leave cleanly. Otherwise, it may be better to follow through with the original plan and start marketing the property immediately.

Hey Michael,

Congrats on getting into real estate—it’s an exciting journey, and asking these kinds of questions early on puts you on the right path.

To help clarify a few things:

• DSCR loans (Debt Service Coverage Ratio loans) are business-purpose loans strictly for non-owner-occupied investment properties. That's likely why the lender said you need to already own or live in a separate property—they want to ensure you're not trying to live in the DSCR-financed property. These loans are for rentals only.
• Regarding the down payment, as long as the funds are seasoned (meaning they've been in your bank account for at least three full bank statement cycles), most lenders won’t require you to explain where they came from. Gifting rules vary a bit, but many lenders won’t allow the entire down payment to be a gift—so the 5% requirement sounds about right.
• As for reserves and unemployment—that's a big one. DSCR loans may not rely on personal income, but you still need reserves (usually 3–6 months of PITI) to show you can weather vacancies or unexpected expenses. If you're currently unemployed and don't have reserves, I'd encourage you to be very cautious. Real estate can be cash-intensive. Things break, tenants leave, and holding costs don’t stop. It’s super important to go in with a strong financial cushion.

Keep asking questions and learning—it’s a process! And feel free to DM if you need help digging deeper into any of this.

Best of luck! You’re on the right track. 👏

Hey Dalton- 

Congrats on the big move to Florida! That’s an exciting transition, and it sounds like you’re bringing a ton of valuable experience with you. I actually just moved out of Florida recently and am now back in Idaho, but I definitely miss the sunshine (and the ocean breeze).

If you happen to land anywhere along the Treasure Coast or Space Coast, feel free to reach out—I’ve got a few great real estate agent contacts in those areas who could be helpful as you get settled or start exploring new opportunities.

And one quick tip: get a house with a pool if you can. The summers are no joke—hot and humid! Bonus points if you find a buddy with a boat. You’ll thank yourself later. 😎

Wishing you all the best in your next chapter—excited to see what you get into down there!

Cheers,
Ryan