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Updated almost 3 years ago on . Most recent reply

User Stats

26
Posts
6
Votes
Kah M.
  • Investor
  • Michigan
6
Votes |
26
Posts

Time to fire my property managers?

Kah M.
  • Investor
  • Michigan
Posted

 I have a large PM firm managing my five properties for about seven years. During this time, we've had 4 evictions (2 inherited tenants, 2 tenant they placed). After the most recent eviction, we got the house rent-ready we got a tenant. After 5 months in the property, tenant stops paying rent with the most wild excuses (want to keep them private). 30 day notice was served and I did a quick Google search on my tenant to find out theres two Ch 7 bankruptcies (2019 and 2011). The PM company told me they don't allow tenants with bankruptcies in. 

I started sending info to collections so we could get some of the debt back once she moves out. Taking a look at her two week paystub, she makes 2x gross salary when the application says it requires 3x. They're not sure why this tenant was able to sign a lease. 

While the tenant was leaving, I guess they were in a rush so the furniture put holes in the dry wall, broke a ceiling fan, broken doorknobs, and damaged the siding of the house and gutters. Clear tenant liability which is why proof of renters insurance is required per the application. Turns out, they never confirmed she had renters insurance. 

I'm pretty much set in firing this management firm and hiring another one. Is this something the leasing agents or management firms E/O insurance or liability insurance would cover? This just seems like gross negligence. How should I go about this moving forward?

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