All Forum Posts by: Bruce Scannell

@Scott Matthew C. looking forward to it, thanks

@Nick Lamagna that would be great, thanks!

Hi,

Does anyone have a quality, yet affordable, insurance provider or broker for Michigan multi-family properties (20-50 units)? The one I’m currently using has become too expensive, for no apparent reason. We just performed a cash out refi on one of the properties and the mortgage broker said we were paying more than other comparables, but didn’t have any leads to follow up on.

Thanks,

Bruce

Chris, typically if it’s a “cash only” sale it’s because a bank won’t finance it for some reason. If financing was an option, it probably wouldn’t be cash only. Good luck 

Bruce

Hi Brandon, congrats on your purchase! Where did you buy? We currently manage almost 100 units in Wayne County, but my partner and I are owners as well, so either way, can probably shed some light on the situation. Let me know if you have any questions. Good luck

Bruce 

@Brian Breiding, I agree with @Jason D., don't give up because the first bank said no. When you say "the local bank", is this a bank you've worked with in the past? I doubt this is the only bank in town, if it is you might want to invest in a different town. But anyways, each bank will have their own requirements on properties they lend on, some won't lend on really small deals and some won't lend on bigger deals. Are your properties held in a LLC? If so, you will need a bank will offers portfolio loans that they hold internally, not all banks do that.

Personally, I am always looking for new local banks with more competitive terms or a bigger appetite for the asset I'm searching for. So don't give up, instead do the opposite, try harder. You have to remember, these banks are investing in you as well as the properties, so try walking into a bank or two or ten with a list of your holdings and show them why their investment would be safe with you.

Hope this helps,

Bruce

The way it reads, they are due the management fees till the lease expires. Have you already signed up the new management company? How much longer is lease term? Unless you can show they charged fees outside of what the contract allows, it sounds like you might be stuck. If it’s quite a bit then maybe it would be smart to talk to a RE attorney, maybe they could do a free consult at lease. Not all PM companies are created equal, but a lot of the contracts are similar, and now you know what to look out for and possibly challenge

I agree with those above, if he's still paying rent and the issue is minor (and won't lead to something major if left unattended for a little while) then try not to worry. Your tenant has a life too which can sometimes take priority, just like you going abroad for several months. The last thing you want to do is micro-manage the situation. Imagine if the situation was reversed and your landlord was getting upset that you weren't immediately responding, it might make them not want to reach out right away in the future for something more serious. 

Hi everyone,

We own a couple small apartment properties that don’t currently have onsite management and with that don’t have the need for us to have telephone and internet service. Due to some recent theft at one of the buildings, I want to install some cloud based video cameras, while keeping the monthly expenses as low as possible. Does anyone have experience with a low cost option that would work? I’m ok spending a bit on hardware upfront, but want to avoid a large monthly fee.

Thanks!

Bruce

@John Brady. Thanks for the info, I've definitely heard of CBRE. I will keep that in mind going forward. So you're saying that all in closing fees are about $10k? Is that defendant on property price? For a property of $1.3M, does that seem right?