All Forum Posts by: Gamal R.

Hello , I was wondering if it was possible to sell my property management clients. At the moment I only have 14 single family residences with 14 different owners. My idea was structuring it in a way where I get paid for each client I successfully transition into the buyers system. I would help make the process smooth and keep my clients at ease with the transition. Is this possible with my small client list? And how much would a buyer be willing to pay based on my fees from gross rents for each client ?

Post by J Scott.

Most businesses are scalable if you know how to do it. And I'm quite certain a PM business is easily scalable if you know how to do it.

What specific types of scaling issues are you having? Perhaps we can help...

Do you have any employees at this point?

I do not have any empolyees yet but I will starting early next year. I guess I can always leverage my business through employees but it just seems that the money I will make is not big money. I just think my efforts as a Broker or Business owner would be more rewarding if i focused on selling these investment properties instead of just managing them.

Everyone has hit the nail in the head from my experience.
Some extra advice. Build a relationship with a GOOD Plumber, AC repairman, Handyman, Contracter, Maid/Cleaning and any other home service person you can think of. Having these reliable people ready to do work for you takes a lot of pressure off when things go wrong.
There are days you want to just quit when things are going wrong along with vacant units etc. But then when things are going smoothly you will have a big smile.
My new concern is that this business is not really scalable, theres only so much someone can handle and the financial reward is not huge.

Glad to this topic back up. REOS in Paradise I'm glad too see someone doing what I would like to do.

Finance examiner im not sure what you mean. Whats too keep up with the Jones? Do you mean like my kids will be made fun of if they don't wear Armani? I think that is more of an adult mind set. As long as your kids don't look homeless you will be fine.

Ok So its done. the lawyer advised us that the officer puts out the possessions. The tenants were finishing up moving out when they got there. Its done time to find new great tenants and no shortcuts during screening.

Yes that is where we are in the process. We have an attorney for the whole process but we were out of town and the attorney told us the sheriff is going Monday morning so it doesn't leave us much time to ask him questions.

My other question is do we tell the tenant the sheriff is coming back Monday morning? So maybe he could leave on his own?

So Monday morning the Sheriff is going to come back to the unit where they are serving the writ. If the tenant is still there who puts out the tenants belongings etc. How does that work?

Be honest, friendly, and up front. Give some examples of the properties you have. Email them to the PM and ask hime to forward to his clients. Then Follow up.

Joshua,

I don't understand #10. I usually charge half months rent to find a new tenant. Most companies charge a similar fee for new tenants. It seems fair since showing the property, screening applicants, back-round checks etc, taking pictures and documenting move in conditions, and after move in inspection all take extra time.
But I am speaking of single units it is probably different for larger apartment buildings.

I too reimbursed for approved tenants. They came up with all the deposit up front. And they still turned out dead beats.
Sometimes you never know.

Let us know what finally happens.