PM Not Comply with Owner Requests (Eviction/Part Payment)

[Ying B.]

Property in Georgia.   Tenant was late in May (paid May 19). Tenant did not pay in June.  Demand Letter (Pay or Quit) sent 6/13 asking full payment using certified funds.  In Pay or Quit period, Tenant paid only $400 out of $2900+ full payment.  PM accepted the partial and issued another demand letter 6/16.  PM advised this will reset the date of Pay or Quit. I immediately consulted my attorney and was advised you lose your ability to file eviction in June if partial payment was accepted. I immediately advised PM in writing to issue refund of $400 and start eviction filing upon refund issuance.  I was met with silence.  The PM contact also stated something very unprofessional, i.e. calm down I have done this for 20 years, I am just telling you the law.  I don't have time to be on the phone and I have to answer other owners.  The PM is wrong. The issue is they do not provide a response of request to refund $400 and the do not answer phones.  Additional issue they allowed 1) 2 unauthorized occupants 2) Unauthorized pet presence - they decide to not charge the $500 fine the lease allowed.   At this time I am determined to evict.  In order to do that the partial payment must be issued.  I don't want to drag on for months due to PMs foolish decision making.   There was no direct way to contact the head of the Atlanta branch who oversee the PM that works directly with me so I found this higher level person via his Linkedin Profile and sent a message via Linkedin.  There is no response.  Please advice: how can I get the PM to comply with my requests.  Should I report them to the Commission? Should I ask my attorney to write demand letter?  I need PM to do what I ask them to do and timely so I am not deprived of the ability to evict.  Thank you.

[Nathan Gesner]

Quote from @Ying B.:

Property in Georgia.   Tenant was late in May (paid May 19). Tenant did not pay in June.  Demand Letter (Pay or Quit) sent 6/13 asking full payment using certified funds.  In Pay or Quit period, Tenant paid only $400 out of $2900+ full payment.  PM accepted the partial and issued another demand letter 6/16.  PM advised this will reset the date of Pay or Quit. I immediately consulted my attorney and was advised you lose your ability to file eviction in June if partial payment was accepted. I immediately advised PM in writing to issue refund of $400 and start eviction filing upon refund issuance.  I was met with silence.  The PM contact also stated something very unprofessional, i.e. calm down I have done this for 20 years, I am just telling you the law.  I don't have time to be on the phone and I have to answer other owners.  The PM is wrong. The issue is they do not provide a response of request to refund $400 and the do not answer phones.  Additional issue they allowed 1) 2 unauthorized occupants 2) Unauthorized pet presence - they decide to not charge the $500 fine the lease allowed.   At this time I am determined to evict.  In order to do that the partial payment must be issued.  I don't want to drag on for months due to PMs foolish decision making.   There was no direct way to contact the head of the Atlanta branch who oversee the PM that works directly with me so I found this higher level person via his Linkedin Profile and sent a message via Linkedin.  There is no response.  Please advice: how can I get the PM to comply with my requests.  Should I report them to the Commission? Should I ask my attorney to write demand letter?  I need PM to do what I ask them to do and timely so I am not deprived of the ability to evict.  Thank you.

I know it's difficult, but I would probably send the PM a demand that you they are not allowed to accept any more partial payments. The tenant must pay in full or the PM is to evict. I would also demand they act on your instructions to have the unauthorized animals and tenants removed. Let them know you will hold them financially responsible if they fail to follow your instructions and that you may file a complaint with the commission.

If they refuse to communicate or act, file a complaint with the commission. Just knowing that a complaint has been filed will likely motivate them to change their behavior and avoid an investigation.

In the meantime, start looking for a new property manager. Remember: cheaper doesn't mean you'll make more money.

Start by going to www.narpm.org to search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start. You can also search Google and read reviews. Regardless of how you find them, try to interview at least three managers.

1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their staff qualifications.

2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.

3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 6% management fee but the extra fees can add up to be more than the other company that charges 10% with no additional fees. Fees should be clearly stated in writing, easy to understand, and justifiable. Common fees will include a set-up fee, leasing fee for each turnover or a lease renewal fee, marking up maintenance, retaining late fees, and more. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate, particularly if you have a lot of rentals.

4. Review their lease agreement and addenda. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.

5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance, late rent, evictions, turnover, etc. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that policies are enforced equally and fairly by their entire staff.

6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact that a tenant is complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.

7. Look at their marketing strategy. Are they doing everything they can to expose properties to the widest possible market? Are their listings detailed with good quality photos? Can they prove how long it takes to rent a vacant property?

This isn't inclusive but should give you a good start. If you have specific questions about property management, I'll be happy to help!