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All Forum Posts by: Adam K.

Adam K. has started 3 posts and replied 15 times.

Going on three weeks now, I asked for the detailed invoices, then different person sent a different looking request for ACH payment. To that I copied and pasted the exact same request for detailed invoices and have not heard back in three weeks.

I replied to PM asking for detailed invoices receipts and work descriptions from the invoices in question and prior invoices on that unit.

I want to get as many of their cards on the table as possible.

 IF they try to list the flooring job, I know that I had to pay someone else to complete that and should “deduct” that from any amount invoiced. Add on top of that the possibility of filing the complaint, perhaps they will agree to move on.

Perhaps it will be possible to resolve without the complaint. Will see how they respond to my ask of documents.

Thank you. As mentioned I am looking into the complaint through the state option.

As of now, even the initial ask from the PM did not include a formal invoice, just a scan of a printout from the software. It also included instructions to ACH transfer rather than pay on the software, because the software provider "takes a percentage." Not shady at all. 

Here is the pertinent portion of the agreement: 

Maintenance and Labor. Manager agrees to decorate, to maintain, and to repair the property and to hire and supervise all employees and other needed labor. No repairs or improvements will be made over $400.00 without the written consent of the property Owner except for emergency repairs. All repairs or improvements over $400.00 will be approved by Owner prior to commencement and will be done at a fixed rate per job prescribed by the Manager and approved by the Owner.

Over the handful of properties they managed for me, and perhaps a dozen or so "repairs" over $400, never once was my written approval secured, nor even requested. I always had to get an explanation after the fact. Of course now, I would have to address it at the FIRST instance of this, but alas, like I said, hard lesson learned.

I’ve followed that link and am seeking the proper method to file a complaint. I found a form for a complaint about brokers and agents, but I’m not sure it was the correct form for property managers. 

What is the process for the lien, as I do want to avoid that? As of now, the only communication is an e-mail with a scan of a printout showing the invoices, my existing account balance, and then the handwritten total of the invoices less the balances. I have some questions in my mind on whether they will actually pursue, but I don't want to assume. 

Arguably I could have a case to actually collect the account balance that is being "applied" to the questionable, never-approved invoices. 

If I do respond, it would be to first request detailed invoices and receipts, full explanations of any work done from this vendor during the calendar year. 

On the other hand, I could just pay it or offer to meet in the middle, and require some kind of letter that they have no more claim.

They are F-rated on BBB. I know.. like I said, I have learned some things the hard way. 

Thank you. So far I am doing what you both suggested. I have contacted a lawyer, and will wait. 

Split with my PM in the spring over their poor management (not paying utility bills) and not gaining my approval for repairs over $300 like the contract stated. One unit in particular accrued nearly $10K of repairs, and I wasn't able to vet or challenge any of that, I didn't think I would have to. 

Months later, they are now claiming I owe about $4k more on the same repairs. Flooring job. To be honest, I could not tell you what they actually did or didn't do.

The vague invoices in question just state "rehab and repairs". Furthermore, the work that they did was not finished, my next PM (much better) had to finish it up, which was about $1,700.

Yes, I am out of state investing, and have had some expensive learning experiences! I wanted to sell, but held on and they are performing now. But how should I approach this? 

Ignore? Demand detailed invoices? Decline, because they did not get my prior approval like the contract states? Properties in OH.

Thank you for the responses. All seems fairly unified in favor of selling. We intend to move and stay moved so to speak, not really entertaining the idea of returning. It should be next summer, so the market could certainly change things between now and then, but I won’t dare try to predict how things will go. 

Quote from @Andre Taylor:

WOW Adam congrats!!!!!!!!! I would ask what do you plan to do with the profit if you do sale? If looking to buy more properties where you moving to; in order to scale your rental portfolio.. then maybe. On the flip side assuming your residence is in Orange County; you know those properties appraised aggressively but then there is the migration out of Cali as well.  For me if I was in your shoes...I would sale if I know I am going to re-invest to buy more doors... if not I would keep at least until fed cuts rates and we see even more people jump back in the market which I think prices will go up even more from where they are at.


 Thank you. I would want to add more doors in the area I am moving to. I can’t let a better mortgage rate hold me hostage with this property.