All Forum Posts by: Steve Olafson

People love their pets.  We want them to be able to have them but we want them to be responsible also.

I can't say that our programs are completely successful but by having a pet policy we are open to a much larger pool of renters.

We charge a $150 refundable and 150 non-refundable deposit.  Plus we charge $10/month pet rent for each pet.

For the most part this suffices.  We do get problem people on occasion.  We only have carpets in the bedrooms but sometimes we end up changing them from urine.  It does not make sense to try and clean them if a pet has been using it for a bathroom.

Our policy does not restrict pets by size, only by breed.  We also interview the pets to see their behavior.

Lots of people try to sneak animals in without paying the deposit.  We always figure that out of course and have to deal with it.  These are the pets that are usually a problem.

I look at the physical appearance as well.  Rehabs are my game because that is what I am good at.  It is nice to find a good property that is running decently that is selling at a reasonable cap rate.  This would interest me if it were there.

I don't want to tell someone where or how to invest because I could be wrong.  With that said, I am selling most of my multi-family while it is hot.

Have a roofer look at it and give an estimation of life remaining.

If any of these deals that you are looking at are in the Phoenix metro area, I would be happy to give you a quick opinion.  The issue might be that I am looking to buy as well.  I will assume that I have seen it already if it is out on the market. If you have uncovered something that is not out on the market I may not have seen it.  Make an offer and tie it up.  Then send me the property information.  I can't do the due diligence but I can give you my opinion.

A 9% cap rate in AZ!  Is this on actual numbers?  I live here and can't find anything like that.  I am selling well located properties at rates under 6% right now without listing them.

There are certainly reason for finding locations outside of your state that have more upside potential than where you live.  There are downsides as well.  I have done it successfully and less successfully.

Read the book "How to Buy and Sell Apartment Buildings" by Vollucci.  They talk exclusively about buying in areas that are ripe for purchasing.

I started my career as a plumber.  It is all simple process of elimination troubleshooting.  Any lines underground that are after the meter could leak without any visible signs.  Lines that are under slabs are real tough to find and fix. Anything leaking in the walls should be visible. 

Do you know what kind of pipes you have?

I following up on Jon's comments, it is possible that there is a leak that is not visible.  Your idea of coming in at 3:am may work but it is still possible that there will be usage.  Most buildings have a shutoff at the building.  Hopefully there are a number of them.  If there are, shut them all off.  If the meter is not moving then there is no leak leading to the building.  If it is moving, then you need to try and trace the line or hire a plumber.

In any case you want to try and find out where the lines are running and where the valves are.  Then troubleshoot one line at a time.

I want to get mad but it does not help the situation.  Someone broke into one of my shops and took a couple thousand worth of flooring that I had bought in bulk.  They also took my 75 foot power snake and a box of copper fittings.  I no longer keep the snakes or flooring in that shop. 

All I can figure to do is to safeguard a bit better and keep moving on.

They were pretty bold to drill the locks out in the middle of an apartment complex.

It really does sound good in theory.  I have dealt directly with sellers on a couple of occasions.  It was not pretty.  One fell out of contract and the other was filled with conflict. 

From my experience any agent in the middle is working toward common ground.  The absolute truth may not always be passed along but that is what is often needed.

As a buyer and seller of commercial properties, there is no way that I want to deal directly with the other party.  Too many things can blow up without an agent in the middle.