ATTENTION PROPERTY MANAGERS ‼️ I Need Your Help

[Engelo Rumora]

G'Day everyone,

The team (@Dominique Osborn, @Sean Mahoney) and myself have an opportunity to on-board 189 units.

This would be a very nice "chunk" of new business but to be honest, I'm inclined to pass.

I have always believed in doing business on your terms and for terms not to be dictated by someone else.

Especially when you are looking to hire us/me to do the work for you.

Also, business done right needs to be a win/win for all involved and this doesn't seem like a win for us.

I do however understand the caution and reluctancy to "let go of the reigns" per se as many landlords get screwed by property managers.

But at the end of the day, you have to "let go" and let someone else do it or just do it all yourself.

I'd love your advice on the suggested terms given to us below:

1) In AppFolio they want admin level access to their account.

2) They want a standardized list for maintenance items so they know in advance what repairs would cost.

3) They want a copy of all invoices from contractors to us so they can verify we are not marking up more than promised.

4) They want to be able to talk to our contractors before work is done (each time) so they can talk contractors down in price themselves.

5) They mentioned that they pay around $300 for full paint in a 2-bedroom unit.... we do not have a contractor that will touch a full paint on a 2 bedroom for $300

6) They want tiered PM Fees based on occupancy.... for example (their example): at 90% they would pay 8% PM fees, at 70% occupancy they would pay 2% PM Fees, and at 50% occupancy we would part ways.

The deal breaker in my opinion is points 4, 5 and 6.

With the lack of oversight/control on maintenance we have little control over the occupancy and it kills our process and efficiency.

So in a way, we are destined to fail from day 1.

Also, if someone does want so much control why not just self manage.

The unit count justifies hiring 1-2 full time people to run it.

Otherwise, let us do our job.

@Drew Sygit and @Jay Hinrichs I'd appreciate your professional opinion.

@James Wise I already know your answer but want to hear your unprofessional opinion so I feel better about my own thought process haha

Thanks everyone