All Forum Posts by: David Moore

@Kenny Dahill

Why?  Because most are not worth your time.  They sell you that they have contracts with different trades, and their handymen work for less.  Then they start spending your money, take their commissions, their monthly fee, and then they send you money when it is convenient for them.  Nope, I'm 0 for 2 on PM companies.  Doing it myself, because PM companies are in business for themselves, not for you, IMO.

@Tim Swierczek

Perfect.  Just what I'm looking for.  And to all who answered, I knew I could count on you.  You are all very smart.  Thanks.  

I need some help from the bright minds on this board.  I have vacancies infrequently (thank you, Jesus), but I have one now.  I'm using FB Mktplace and getting huge demand for my rental unit.  Paper applications are outdated, but I do have a section I can have them sign as a release on paper, so I can call their employers, current landlord, etc.  I need a free or cheap online application, where they fill it out and I can get the details.  Any ideas on where I can one that is dummy proof?  I'd even pay a small fee for this.

I don't charge for applications.  A real estate attorney I know says I can choose who I want (he is a pro bono tenant advocate....I trust this guy) if I charge no application fee.  So I'm paying the freight.  Any ideas?

And please, non Minnesota posters....it really is different here.  No warning needed.  Not my first rodeo.

@Colby Mulry

I can only share my experience.  I had a tenant last year that told me 'no' to Cozy as well.  She whined, moped, etc, for a couple months.  I was thinking....I've got the wrong tenant...crap.  She paid late.  I hit her with the 8% late fee.  She wanted to pay with money orders.  I said no, she must pay with Cozy.  It didn't take her long to realize that trying to argue the policy was futile.  Now she pays with a loadable credit card.  It is not my responsibility to solve her little financial issues.  I own apartments...I have enough on my plate.  

If they won't play ball, be tough on them.  All business.  Tell them if the payment is not in your possession at midnight of the first, hit 'em for 8%.  Do it enough, and they will learn.  It is their problem to get you the payment.  Show them how it is in their best interests to pay via Cozy.

@Colby Mulry

I checked online and discovered there is no limit to late fee in Rhode Island.  Check your lease to make sure there is not a maximum late fee.  Start charging 8% or 10% immediately for every late fee.  In Minnesota, I charge 8% after midnight the first, no exceptions, no matter how much I like the tenant.

Also, don't do written checks, if at all possible.  Two of my tenants don't even have checking accounts, yet they pay every month at Cozy.  Hearing their excuse is a waste of your mental faculties.  Just follow procedure.  Hit them with the late fee, and make it sting.  Send the late notice letter the day after it is late.  Call around to find out eviction costs, and communicate the costs to him/her for the eviction if it comes to that.

On the bright side, you have a paying tenant who at least pays every month, and if they don't mind paying an extra 10%, and they take care of your place, maybe you just decide what your tolerance is, and go with what you think is best.

Lastly, if it ever comes to eviction, it is not as bad as people make it sound.  Find a company to do it...ask property management companies who they use, or other investors.  Very likely, someone has a contact where the lawyer or company does all the hard stuff of the eviction.  If they do damage, it's part of the dance.

Also, consider cash for keys, if you want them out.  First offer I give is I will refund their damage deposit the day of the walk thru, minus any costs I estimate on my final walk through.  They get a check, you get the keys.  

@Dave Foster

To be fair, I may have been a little broad in my interpretation.  But thanks for what you clarified.  It took great humility.  

@Dave Foster

Please do me a favor and don't speak for 99.99% of the people on this site.  There are a lot of great investors with really valuable real estate experience on this site.   I do understand that there are tire kickers in here, but I see a lot of quality people on this site.  And while not all of us go through stuff other people do, it does not diminish people here.

I am a buy and hold investor,  and you will find there are a lot of people who will one day be in this situation.  And he asked, didn't he?

@Austin P. -  Stick to Jay Hinrich's post.  But, one other word of encouragement.  Analysis is actually a smart move.  Your doing analysis can teach you what a good return is versus a great one.  So I say, buy your grandfather (not father guys) lunch, and tell him you would like to analyze his investments in properties...to learn more about it.  Calculate his yearly return.  Look up market rents, and market prices for his properties.  Go at it.  Have fun with it.  And learn.  And then follow what Jay said. 

@Steve R.

Where is the land located?  It may be possible to come up with a fair market value just for this land, and make an offer to buy it.  Yes, another hassle.  But there is yet another option.  Tell the buyer to take it or leave it.  Let's them take the headache.  And if they won't, find another buyer until someone will take it as is.  Why do you have to solve it?  The bank didn't.

@Steve R.

You need to do two things.  And none of us would like the first one.  You need to hire a real estate attorney.  Show him/her the problem.  They will create some type of waiver, and you take that to the neighbor, and for a sum, I am assuming they would grant a variance to you.  Tell them you are trying to sell, and you discovered, quite innocently, problems.  Save your sale, and shell out a couple grand to get this fixed.

@Caleb Heimsoth

First, I've hired two property managment companies.  Each time, they cost me all my profits on the buildings I owned that I allowed them to manage.  I've fired both, and manage all 8 units myself.  It would be nice if there was one good one, but when the PM is spending your money, I find they don't give a hoot.

@William Huston

Your are asking more than one question.  My contribution is on PM's.  Do it yourself.  I handle all my tenants through texts alone.  No phone calls.  Everyone has adapted.  I also fix up all my rental to the point where I'd live in them.  This takes care of most maintenance.  And when something needs fixing, I hire a pro.  They do great work and get it done right the first time.

@Jim K.

As a born again Christian, I can tell from your posts you must have been raised in the Church.  Fear not...posting 666 times does not make you the antichrist.  And you crack me up man!!