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All Forum Posts by: Aaron Wyssmann

Aaron Wyssmann has started 20 posts and replied 247 times.

About a month ago I started working with a local broker who is also a property manager for our investors.  He has been doing this for 28 years so I learn so much.  Here's what I learned just last week...

We received a call into our office from a neighbor to one of our properties that our tenants had a pit bull at the home.  Upon checking their lease they were not to have any kind of pet at the home.  For our tenants that do, our company charges them a yearly $250 fee.  This is not a deposit but a fee for simply having the luxury of a pet at the home.  These particular tenants had not paid this fee or let us know of any kind of pet at the property.

So I went to see if I could see evidence of a dog at the home.  I walked up both sides of the house and looked in the backyard...no dog.  I then rang the doorbell.  No one answered.  I saw some neighbors out across the street and went to talk with them.  They started spilling the beans that "Oh yes they have a pit bull that jumps the fence and runs around the neighborhood."  Upon telling me this someone came to the door, thus the neighbors instantly stopped sharing info.  Bummer.

I went back across the street to speak with who was at the door.  She was not the tenant but just a sister and yes it was her dog.  I told her the dog must go.  She asked "why, she's a nice dog, chipped and all."  I told her that didn't matter.  Our insurance doesn't allow vicious dogs and there is also a city ordinance against them.

I went back to my office and wrote them a letter stating they would be billed the $250 pet fee and that the dog must go immediately.  I also would do a walk through this week to assess any damage done by the dog that would be billed now.  One of the tenants got the letter ("nasty gram", as we call them) and called to cuss me out and tell me that he was not going to pay and that he would sue us.  

Lessons I learned:  

1)  Make sure you have a strong lease with language that backs up your legal position (we've never lost in court in 28 years)

2)  Always talk with neighbors...the more the better, they'll share what's really happening around the property

3)  Write a very detailed, specific letter to the tenants and keep a copy in the tenants file.  The letter should let them know the problem, what is going to happen because of it and what they have to do to remedy the situation otherwise face the consequences which in this case is eviction.

4)  Don't back down when they call to cuss you out.  Simply let them vent and stand your ground.  Whether it's your own property or that of an investor for which you manage it, your job is to protect the investment...and you must.

Who else has some great advice on this topic or similar ones?

I have a similar type story and I would completely agree with you.  I was a builder and so I thought I'd just build myself a duplex that I'd keep and rent.  Well, I tend to make things too nice and I did that on my duplex.  I put in a decent quality cabinet but I put in tons of them.  I seriously think there are more cabinets in one side of my duplex than are in my own home...not smart and they aren't cheap.  Because of mistakes like these for the first four years I had to feed the things money each year.  I'm now about 7 years out from when I bought it and for the most part the maintenance has been pretty minimal but still have some.  Maintenance is definitely something I would figure at a higher percentage on my next properties.

So my two cents to add to this post is that you also have to be careful not to "over build" or "over rehab".  There's a fine line of what has to be done and what needs to be done.  Just watch the overall budget and get bids from several contractors.

Great post.  @John Chapman 

Guys, I have listened to BP podcasts for a couple months now and they are all great but this one is by far my favorite.  It just blows me away how many different ways there are to invest in RE.  @Michael Quarles I love the style and setup that you have for the podcasts.  I can tell you have an idea/plan of what you want to talk about but then as the guest heads down a great rabbit trail you all keep digging to find something of value there.  I also love the humor you use in them as well.  Keep them coming.  They're great.  Thanks for an awesome forum to learn and a podcast that entertains.  Great work out here.

Post: Investor in Springfield, MO

Aaron WyssmannPosted
  • Springfield, MO
  • Posts 252
  • Votes 117

@Sylvia B. Yep I know right where you are.  I used to have family that lived in Mountain Grove...just up the road from you.

Post: Submitting an offer to a Buy Owner sellor

Aaron WyssmannPosted
  • Springfield, MO
  • Posts 252
  • Votes 117
John Andrews John I don't know much about Florida law but you said something in your post that jumped out at me. You said you and your wife "loved" the property. As a once new investor so hungry for my first deal I too found properties that I loved. What you have to make sure of though is that the numbers work. I have been guilty of this very mistake and it hurts. We all have to learn our lessons but take it from many out here it's not a good way to start. So I really encourage you to take a second look at your numbers to make sure the deal makes numerical sense. Don't get in too big of a hurry. I promise another deal will come along. Good luck John.

Post: Investor in Springfield, MO

Aaron WyssmannPosted
  • Springfield, MO
  • Posts 252
  • Votes 117

@Sylvia B. Thanks.  I see you're from Douglas County, where is that exactly?  Maybe some towns around that might clue me in.

Post: Investor in Springfield, MO

Aaron WyssmannPosted
  • Springfield, MO
  • Posts 252
  • Votes 117

I've been listening to BP podcasts for quite a while now and finally decided that I needed to get more involved in the forums.  I've invested in properties for the last 8 years or so.  Some of them were good investments and others not so good.  

My love is rehabbing properties. I love projects and seeing something go from crappy to awesome over a period of time. The first of the year I obtained my RE license and it has been great to look at deals from many different angles, especially having a better idea of what the ARV will be.

I currently work as an agent and our company manages about 200 units in the Springfield area.  I have learned so much about how to do property management correctly.  I've been managing my own for the past 8 years but I didn't realize what I didn't know.  

Looking forward to connecting and learning out here on the forums.  I'm excited to meet you.