All Forum Posts by: Shawn Dandridge

I haven't hired them. Just putting feelers out there. I'm quite sure that I won't. I think their entire rental agreement is ridiculous.

I have a Class A condo-townhouse in Frederick, MD. Built in 2013. I'm moving soon and an exploring the idea of  hiring a PM. The first agreement I read had the following fees, I'm just trying to see if these fees are standard in most PM agreements:

1. 65% of first month's rent and an additional 35% of the current rental income on each succeeding anniversary of said lease.

2. $85 a month when the unit isn't rented

3. $15 yearly banking fee

4. Financial Condition of Property Disclosure (asking about mortgages on the property and bankruptcies of owner)?

5.

The following clauses I'm iffy about. It seems to be giving up a lot of control to the PM:

This property has been fully rehabbed earlier this year. Here are the numbers:

Purchase: $38,990

Rent: 7200/year, Tenants on 1 year lease as of March 2015

Insurance: 415/year

Taxes: 700/yr (City and County)

Property Management: Professionally managed by DCC Rentals (@Derrick Craig)- 720/yr- 10%

Cash on Cash Return: 18.5%- Almost $450 in free cash flow per month after expenses!

Pictures and video of the property available.

Thanks everyone for all the responses. I love reading the different perspectives of landlords/property owners from different parts of the country!

Besides late paying tenants, what other issues do you dislike or don't really care to deal with as a landlord?

I own two rentals in lower income areas in Memphis. One has done quite well and the other I just got earlier this year and am still "training" the tenant. I have a PM in place, @Derrick Craig, which takes 90% of the headache out of managing lower income. But on the flipside, you need a property manager that specializes in low income or it just won't work.

This is a first I've ever heard of termites being common in Memphis. Definitely sounds a like a little emblishment on the guys part to me.

I don't think its his first job. I asked him a very specific building code question, applicable to our county and he nailed it. Not sure why the hiccup on the references.

Like the old saying goes, you get what you pay for. In your effort to save literally a few bucks this guy in the long run will most likely cost you WAY more than you'll ever save.

I turned the 3rd bedroom into a loft area by having the builder remove the wall and doorway during initial construction. We will be moving so I want to convert it back into a bedroom. So I had a handyman that I found off a Craigslist ad come out to my house yesterday. He said all the right things, sounded like he knew what he was talking about and I got his quote this morning. 

I replied back that his quote was good, ect. and then I asked him for a couple of references. He responds back with this: 

"I'm sure your worried because of me being young. So if that's the issue that doesn't matter I'm a qualified carpenter and I do high quality work. I don't believe in having my past customers sell me in order to get the job. I understand if you Persue another guy that's fine. But I do hope it works out."

Granted the guy was kinda young, maybe early 20's. I could care less as long as he could do the job. I him back that this was standard when hiring someone new. I am waiting on a response. Could have been the easiest job he could have gotten hired for. I'm surprised that there are still people out there that won't give references. I've heard of it but never ran into it myself and I've hired many guys off Craigslist to do things for me.