Long distance property management issues - need advice

[Bruno Almeida]

What's up BP fam ! Hopefully someone can point me in the right direction. 

Last November, I purchased a rental property out of state with the intention of having a property manager handle everything for me. The house was recently renovated so there were no major issues. I signed with a property manager referred to me by the agent I was working with and everything was going great. The pm got a tenant in place for me and started collecting rent. My BP- cash flowing rental property dream had finally come true ha ! but as expected things don't always go according to plan. It's been a few months now and the pm has brought up so many issues from the tenant like a door knob replacement and window/fixtures that needed to be fixed etc, things all of sudden keep breaking and my profits are getting eaten up quickly. I also don't like the fact that the rent is deposited into the pm's account and then what's left over gets sent to me. What can I do to get the rent's deposited to me directly and then pay my pm myself ? I also want to know what can I do to make sure that the pm is in fact fixing these issues and not just making them up to increase their profits. I hate to sound skeptical but something isn't adding up. I appreciate any advice or best practices to make sure the flow of cash keeps coming my way ! Thanks BP ! 
 

[Drew Sygit]

@Bruno Almeida go back to your PMC contract and READ it!

So many newbies want the shortest, easiest contract - yet cry when that contract has few, if any, protections in it for them.

You are running a business, not a hobby, so will need to learn the ropes.

If the contract doesn't have clear language on repairs, documenting them, getting your approval, etc. ask the PMC to modify it. If they won't, then find a new one and learn from your mistakes.

Since selecting the wrong PMC is usually more harmful than selecting a bad tenant, you might want to read our series about “How to Screen a PMC Better than a Tenant”:

https://www.biggerpockets.com/member-blogs/3094/91877-how-to-screen-a-pmc-better-than-a-tenant-part-1-services-and-processes

We recommend you get management contracts from several PMCs and compare the services they cover and, more importantly, what they each DO NOT cover.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!