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User Stats

6
Posts
2
Votes
Sam Nichols
  • Oakland, CA
2
Votes |
6
Posts

Advice on property manager not replying to calls for over a month

Sam Nichols
  • Oakland, CA
Posted

Hi all,

long time lurker but I've run into a spot of trouble.  I have a property in Memphis that the property manager has been managing fine for > 5 years and they recently became unresponsive to calls/emails and have missed sending payment to me.  My question is what are next steps?  I imagine a lawyer is part of it but I also likely need a new PM and what even is the course of action to get keys/info/etc from the existing (unresponsive) PM?  Best solution would be finding a new PM that can just take care of all of this for an additional fee...

User Stats

4
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7
Votes
Replied

Was this PM a one man company? Perhaps there is a health issue. I would reach out to the tenant and inquire when was the last time they heard from them. Depending on what they say would influence the next steps.....also send a letter/email something in writing to the PM detailing the lack of response and the contract you have with them. Hint at taking legal action as well.

User Stats

2
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1
Votes
Replied
Quote from @Tony Ros:

Was this PM a one man company? Perhaps there is a health issue. I would reach out to the tenant and inquire when was the last time they heard from them. Depending on what they say would influence the next steps.....also send a letter/email something in writing to the PM detailing the lack of response and the contract you have with them. Hint at taking legal action as well.

I have had good luck with Advantage Property Management 
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User Stats

14,195
Posts
10,896
Votes
Theresa Harris
Pro Member
#2 Managing Your Property Contributor
10,896
Votes |
14,195
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Theresa Harris
Pro Member
#2 Managing Your Property Contributor
Replied

I'd see if there are other phone numbers to try?  Do you have contact info for your tenant so you can contact them directly?  If the PM has an office and staff, I'd be concerned that they aren't returning your call.  Try calling from another number and pretend you want to view one of their listings.

User Stats

2,578
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5,577
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Scott Trench
Pro Member
  • President of BiggerPockets
  • Denver, CO
5,577
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2,578
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Scott Trench
Pro Member
  • President of BiggerPockets
  • Denver, CO
Replied

@Mike Calvey - Could we please refer Sam to all of the property managers in Memphis for him to select from and interview? 

Sam - we are putting a list of local property managers in markets around the country together for exactly this reason. 

We plan to launch this in a few weeks, but you need people to interview right away, given that you are likely in process of being robbed. 

User Stats

2,693
Posts
1,532
Votes
Lynn McGeein
  • Real Estate Agent
  • Virginia Beach, VA
1,532
Votes |
2,693
Posts
Lynn McGeein
  • Real Estate Agent
  • Virginia Beach, VA
Replied

@Sam Nichols this happened to us in Raleigh. It was a single licensed manager with support staff, and turned out she had a family emergency and just stopped working. Her staff wasn’t allowed to handle money, so we didn’t receive rents for months. We found new professional management that had several licensed managers on staff. They were great, helped us get our security deposits transferred and all of our back rent. No matter how great a 1-person manager is, even with staff, you’re one personal issue away from major problems.

User Stats

15
Posts
13
Votes
Nehemiah Burney-Porter
  • Investor
  • Philadelphia
13
Votes |
15
Posts
Nehemiah Burney-Porter
  • Investor
  • Philadelphia
Replied

You dont need to lawyer up yet. But you should DEF find another PMG like yesterday. Let them know of the situation, get your insurance transferred and then let them go to work for you chasing down the deposit and what not. If they run into trouble with a refusal or anything, then you can get a lawyer involved.

User Stats

931
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634
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Adam Schneider
Pro Member
  • Lender
  • Raleigh, NC
634
Votes |
931
Posts
Adam Schneider
Pro Member
  • Lender
  • Raleigh, NC
Replied

@Sam Nichols. You may want to contact the real estate commission in TN.

User Stats

3,854
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2,193
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Michael Smythe
Property Manager
  • Property Manager
  • Metro Detroit
2,193
Votes |
3,854
Posts
Michael Smythe
Property Manager
  • Property Manager
  • Metro Detroit
Replied

@Sam Nichols start interviewing new PMCs ASAP - you can find licensed ones at NARPM.com.

At the same time, download everything you can from your owner portal - if your current PMC supplied one.

Anyone that takes over will want: Lease, Rent Ledger, Tenant contact info.

User Stats

6
Posts
2
Votes
Sam Nichols
  • Oakland, CA
2
Votes |
6
Posts
Sam Nichols
  • Oakland, CA
Replied

Quote from @Tony Ros
Was this PM a one man company? Perhaps there is a health issue

I think it is a 1 person company and they said they were dealing w/a family issue at first but thats no excuse to ghost months of calls/emails and no payments. I think my lesson here is only deal with larger PM companies, and when it starts to go south jump on it sooner.

Quote from @Theresa Harris

I'd see if there are other phone numbers to try? Do you have contact info for your tenant so you can contact them directly?

I asked them about the current tenant and conveniently they were just evicted :/

Quote from @Lynn McGeein

this happened to us in Raleigh. It was a single licensed manager with support staff...

I think this is exactly the issue, they said they had 1 staff member but they quit and the owner has a family emergency... for months

Quote from @Nehemiah Burney-Porter

You dont need to lawyer up yet. But you should DEF find another PMG like yesterday

Agreed, I'd love some recommendations (thanks @Greg Campbell) or the service @Scott Trench is suggesting, but failing that I'll start with something like NARPM.com as @Michael Smythe suggested.

Thank you all I really appreciate it.@Lynn McGeein@Lynn McGeein

User Stats

64
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90
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Mike Calvey
Pro Member
  • Head of Sales at BiggerPockets
  • Denver, CO
90
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64
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Mike Calvey
Pro Member
  • Head of Sales at BiggerPockets
  • Denver, CO
Replied
Quote from @Scott Trench:

@Mike Calvey - Could we please refer Sam to all of the property managers in Memphis for him to select from and interview? 

Sam - we are putting a list of local property managers in markets around the country together for exactly this reason. 

We plan to launch this in a few weeks, but you need people to interview right away, given that you are likely in process of being robbed. 

 Absolutely. I'll get connect with Sam and get him a list. 

User Stats

887
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396
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Melanie Thomas
Property Manager
Pro Member
  • Real Estate Broker
  • San Antonio
396
Votes |
887
Posts
Melanie Thomas
Property Manager
Pro Member
  • Real Estate Broker
  • San Antonio
Replied

I would attempt to locate on social media channels and reach out that way. Sorry you are dealing with this. Perhaps contacting your tenant to find out if they have any additional contact information that you may not. Good luck & happy investing! 

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1,463
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805
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Adam Bartomeo
Property Manager
Pro Member
#2 General Landlording & Rental Properties Contributor
  • Real Estate Broker
  • Cape Coral, FL
805
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1,463
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Adam Bartomeo
Property Manager
Pro Member
#2 General Landlording & Rental Properties Contributor
  • Real Estate Broker
  • Cape Coral, FL
Replied

Any time that we have a tenant go dark we do a safety check. We sometimes find out that they have been hospitalized or an emergency came up. It sounds like you are in a similar situation. Maybe call the neighboring business to see if the PM still has the doors open. It seems strange that after 5 years they went dark without any notice or communication.

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6,250
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3,563
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Bob Stevens
Pro Member
#3 Real Estate Agent Contributor
  • Real Estate Consultant
  • Cleveland
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Bob Stevens
Pro Member
#3 Real Estate Agent Contributor
  • Real Estate Consultant
  • Cleveland
Replied
Quote from @Sam Nichols:

Hi all,

long time lurker but I've run into a spot of trouble.  I have a property in Memphis that the property manager has been managing fine for > 5 years and they recently became unresponsive to calls/emails and have missed sending payment to me.  My question is what are next steps?  I imagine a lawyer is part of it but I also likely need a new PM and what even is the course of action to get keys/info/etc from the existing (unresponsive) PM?  Best solution would be finding a new PM that can just take care of all of this for an additional fee...

 Why a lawyer, waste of money?  Just hire a new PM. Did you speak with the tenant? If not do it now. Tell them May comes direct to you. Don't stress, it's not that big a deal it will all work out.  Hey, you will save the 10% of the rent next month collecting directly, see looking better already , lol  

User Stats

14,195
Posts
10,896
Votes
Theresa Harris
Pro Member
#2 Managing Your Property Contributor
10,896
Votes |
14,195
Posts
Theresa Harris
Pro Member
#2 Managing Your Property Contributor
Replied

Well if the current tenant was just evicted and they failed to tell you about any of the problems, it seems like a perfect opportunity to find a new PM!

User Stats

466
Posts
277
Votes
Wyatt Wolff
Pro Member
  • Lender
  • Charlotte, NC
277
Votes |
466
Posts
Wyatt Wolff
Pro Member
  • Lender
  • Charlotte, NC
Replied

@Lorien Rollins thoughts on this? 

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User Stats

47
Posts
24
Votes
Replied

Try calling from a different number, pretend to be someone looking for a property manager for a new property. Once he responds you can proceed to asl about your unit and how to get keys etc. 

User Stats

88
Posts
52
Votes
Matthew Gentile
  • Real Estate Agent
  • Worcester, MA
52
Votes |
88
Posts
Matthew Gentile
  • Real Estate Agent
  • Worcester, MA
Replied

It's a very tough scenario especially if they have been effective for you for a decent amount of time. I concur with everyone, best to check for medical emergency first in this case, after that's been established as NOT the case, definitely time to get yourself into the mix and remove that manager asap. 

It's unfortunate but this is a hard business some times people just can't cut it even if they've had some success before. Everyone's journey ends a different way, hopefully this can be resolved quickly. Good luck.

User Stats

35
Posts
17
Votes
Grace Gudenkauf
Pro Member
  • Rental Property Investor
  • Tucson AZ
17
Votes |
35
Posts
Grace Gudenkauf
Pro Member
  • Rental Property Investor
  • Tucson AZ
Replied

Does your contract list response times or job description/duties? That is absolutely unacceptable and I would look further into your contract to see how you can fire them. Before hiring a lawyer look into all of the paperwork and contracts you sign. You might be able to send a notice and simply be out of the contract. 

User Stats

73
Posts
51
Votes
Phil Petite
Pro Member
  • Investor
  • Memphis, TN
51
Votes |
73
Posts
Phil Petite
Pro Member
  • Investor
  • Memphis, TN
Replied

Spencer at Lawrence Johnson is excellent, he is my manager for both of my rentals. His communication is good, he can find tenants quickly and does a really good job overall.

User Stats

6
Posts
2
Votes
Sam Nichols
  • Oakland, CA
2
Votes |
6
Posts
Sam Nichols
  • Oakland, CA
Replied

Thanks all for the advice!  I found a new PM (Advantage Property Management) and am excited to start working with them, so far so great :D

User Stats

1,082
Posts
910
Votes
Kyle Mccaw
Agent
Property Manager
  • Property Manager
  • Keller, TX
910
Votes |
1,082
Posts
Kyle Mccaw
Agent
Property Manager
  • Property Manager
  • Keller, TX
Replied

@Sam Nichols Not a great feeling, I'm sure.

Easiest option is to find another property manager. Preferably one that answers your calls and emails. Hire him or her and send a notice to the current one of the change.

  • Property Manager TX (#0562767)

McCaw Property Management Logo

User Stats

73
Posts
51
Votes
Phil Petite
Pro Member
  • Investor
  • Memphis, TN
51
Votes |
73
Posts
Phil Petite
Pro Member
  • Investor
  • Memphis, TN
Replied
Quote from @Sam Nichols:

Thanks all for the advice!  I found a new PM (Advantage Property Management) and am excited to start working with them, so far so great :D


Glad you found a PM company that fits your needs, Sam! Please let me know how APM is, I had been leaning towards using them for one of my properties :)