All Forum Posts by: Alan Lambkin

Thanks all. After doing a lot more research in my area, I've decided to keep the property for at least another year. Firing the current PM was a given, now on to my 4th in 4 years. I plan to work as close to the new PM as possible, review all tenants prior to accepting, putting all my expectations out there from day one. If nothing else I have learned a lot from this experience.  I wish I could manage myself, but my FT job is just too much right now.

Exit strategy is in place, appreciation has been awesome and even if the bubble pops a little, it's a nice little pay day if I have to sell next summer.  

@Caleb Heimsoth I would say it's a class C. A few streets down could qualify for C-/D+. It's been an improving city in general too. Lots of major improvements in the city, AAA baseball might be moving in, developers flipping entire neighborhoods I wouldn't have walked down last year.  

The good news, I had no issues buying my first 3 unit in Worcester, MA. The bad news, its been limping along with bad tenants and horrible property managers. I've run the numbers inside out and upside down and don't know if I should outright sell and run away from multi's in this class C/D city or double down BRRR it and try to find a higher rate tenant.

The specs:

Its a large 3 family, 3 bedrooms each

Valued at ~300k

160k equity

current rates at $950/mo averaging an eviction every year

market rates (according to everyone I talk to) at least 1200 now and ~1400/mo if I spruce it up

Just not sure if rehabbing it will help if I can't bring in a PM that knows their a$$ from their elbow. I've tossed around idea of 1031-ing to something else. I looked at vaca rentals in NH. Lots of pros and cons with each...

Any advice for this paralyzed investor? or angles I haven't brainstormed around? Thanks BP!

Thank you @Leonard L. After sleeping on it I am leaning towards staying with the PM. There is a lot of historical knowledge with this tenant. Thanks!

Hi all,

Looking for advice. I was just about to pull the trigger on changing property managers because they are not performing well. Not responding to tenant issues, failing to quickly follow up with late rents, etc. But they have just told me one of the tenants needs to be evicted for non-payment and having pets, which is in violation of the lease. I want to drop the PM asap however I'm thinking their rapport and history of the tenant might help get the eviction to go smoother (if possible). Any advice appreciated, or if there is something I should worry about with changing PM's halfway through an eviction. 

Thanks! 

I'm definitely interested too.  I have 1 multi in Worcester and want to grow but can't figure out next steps.  Would be interested in like minded folks and to figure out my short term goals. 

Hi Rob,

I have a pair of properties in Worcester. A single fam-and 3-fam. As is true with most areas, but especially true in Worcester, know the area and the neighborhoods. A few blocks can make a big difference! I am not sure what you are looking to invest in, but multis are sparse. There are more single family opportunities in today's Worcester market. 

 I too am looking for a good agent, I will let you know if I get any recommendations.

Good luck! 

Thanks,

-Alan

Hi, I bought in Worcester 2 years ago, but haven't seen too much recently to peak my interest. I will say I am optimistic regarding where the city as a whole is headed...lots of development and money being pumped in. It might be a good time to look just outside the city.  

Thank you @Beverly Meola ,

I understand the heat and oven are emergencies and I'm definitely ok with them doing whatever is necessary. It would have been nice to get a heads up call or email saying oh by the way we just spent $600 on emergency work. Maybe that is too much to ask.

But as for the large expense, the line item says Prep to rent - $1100. So I questioned that, given we have a $250 max before they need my approval. They did say a light fixture in the bedroom needed to be replaced and a possible rug to cover a beat up hardwood floor, but they said they would get back to me on estimates. I never saw estimates, just the bill. So I contacted them 3 times over the last month and no response at all. 

They did admit to putting a tenant in there with bad credit which cost me a few months rent and $1500 of cleanup & $900 in legal fees to evict. (Blaming it on a past employee they had). 

I guess in other words, I'm looking for a new property manager.:)

Beverly, if that's something you do,? I will email you to start the discussion.

Hello,

I own a triplex in Worcester, and have had a PM in place since I purchased it June. After a long and messy eviction, I was hoping to get back on track but rents are coming in later and later each month and I have questioned a large expense several times, which I did not approve. I have emailed PM several times with no response. I email everything as I learned to have a paper trail for all communications. I just  got my Oct rent statement and find several emergency work orders for a broken oven and broken heater. I find it odd that I find out about a gas leak from my statement...

I think I just  answered my own question, but should I dump these guys and find a new PM? 

Any recommendations in the Worcester area? I just want someone that wants to work with me and can communicate.  This is my first investment but I hope to have more and I need to find a good PM before I can do that.

Any help would be appreciated!

Thanks,

-Alan