All Forum Posts by: Lisa T.

Same for us.  We have 11 properties under mgmt with them, all built by their preferred builder.  At first in 2016 no problem, but last 2-3 years HORRIBLE.  Changed how they deliver services, decentralized.  The staff doesn't know what's going on, mostly inexperienced.  Fees are through the roof.  New tenant security scheme that only benefits Suncoast and the tenant - leaves owner paying up at move out.  We have houses, PLURAL, that have sat vacant for 6-14 months regularly.  No urgency or incentive to get them leased.  Now we're just a number.

Got the same contract penalty cancellation response when I contacted them.  We're stuck, cost us too much to cancel at this point but know that we will NOT renew anything and have multiple reminders so we get the cancellation notice in on time.

Interested in your Suncoast experience.  We built with Southern Impression Homes back in 2019.  JAX:   Built 4 townhouses (built a 4plex of townhouses so we don't share roof, etc. with other owners); 1 SF; then acquired 3 SFs from another investor during COVID.   OCALA:  We built 2 SFs.  So total of 10 properties with Suncoast Prop Mgmt.

It's gotten so bad the last 2 years, last year especially.  Long vacancies (6 months+), ridiculous turn times and costs, surprise add-on fees, several days to answer questions, and then responses incomplete.   Tried to cancel contracts but they say we have to pay a cancellation fee because our contracts auto renewed (surprise, I never signed anything).  Due to the 5 figure cost to cancel we'll have to stick it out until contracts expire.  Just wish they'd do the right thing, they are running our properties into the ground and most are less than 5 years old. 

I do not trust them anymore. I'm spending at least 20-25 hours a week "managing" Suncoast Property Management.  We're in 5 other markets and all together I spend less than 5 hours a week combined on our other properties.

Agreed!

Following ...  We have seen our fees increase significantly over the last 4 years with Hall CPA (Brandon Hall's company).  We haven't had any big change in scope, sold/purchased maybe 6 properties over the last 4 years but they fell under our existing LLCs, most of which are considered 'disregarded".  The people we've worked with are very nice but we send them all the numbers from reports we run ourselves off Quicken and then, of course, copies of K1s, 1099, etc.

TY 2020. $16,896

TY 2021. $15,500

TY 2022. $25,760

TY 2023. $28,525

Have others seen their CPA fees jump like this?  

It seems like the government website for the BOI is pretty straightforward. We've followed the advice over the years to have many LLCs registered in the state where the property is located and then just have a couple of properties in that LLC, depending on the property values. All those "little" LLCs are owned by a Wyoming LLC. As a result, we have a lot of LLCs and under BOI, a lot of initial paperwork to be filed. We have used Corporate Direct to maintain our LLCs for the last couple of years. They are wanting to charge us $250 per LLC to do the initial BOI applications. It would be one thing if it was one and done; however, I have to gather all the information and put it all on a spreadsheet, and send to them so I'm doing the work anyway. I could sit down on a quiet Saturday morning and cut/paste from my Excel spreadsheet into the online forms and file it all myself and save $8,000.

For those of you in the know, is there anything I'm missing -- is it really that straightforward?

Thank you!

I need to clarify ... The application fee is for potential tenant to simply apply to rent the unit. 

We've been with our PM for 5 years and we're seeing a decline in their services so I think it's past time to get out in the market and see what our options are for a new PM. Do you have a solid PM in the Houston area you could name? I, of course, would need to do my own due diligence but it's nice to have somewhere to start my research.

Examples:
I'm finding their recommended rental rates to be very low when I go out and search online, rentometer, Zillow, etc. We can't afford to not be pricing right with the significant double-digit increases in insurance and property taxes, especially in Houston.

Decentralized Service -- I realize this is done to be more efficient/cost effective but it's more than quadrupled the time it requires me to "manage" them/PM.  Lots of staff turnover, I go over something on one property and 2 months later have to revisit the same issue on an exact property sometimes because different people have been assigned, sometimes because the person is brand new.  (We built the same plan within 2-3 blocks of each other so often we address similar issues that come up.)

They now charge a $200 non-refundable application fee.  This seems very high to me. I have noticed since my PM implemented this our days on market have significantly increased. Coincidence? What is the typical application fee in the Houston area? The best I could do is look at individual listings to the general public and $200 is high. In the other markets we are in it's in the $75-125 range. 

Thanks in advance for taking the time to comment/make suggestions.  (I did post the $200 application fee on a different forum here today.  Probably shouldn't conflate the topics but wanted to make sure I had the right audience, apologize if this is a re-read for some.)

$200 non-refundable application fee -- This seems very high to me.  I have noticed since my PM implemented this our days on the market have significantly increased.  Coincidence?  What is the typical application fee in the Houston area?  The best I could do it look at individual listings to the general public and $200 is high.  In the other markets we are in it's in the $75-125 range.   I'm also finding their recommended rates seem to be very low when I go out and search online, rentometer, etc.  We can't afford to not be pricing right with the significant double-digit increases in insurance and property taxes, especially in Houston.

We've been with this PM for 5 years and we are seeing a decline in their services so I think it's past time to get out in the market and see what our options are for a new PM.  Do you have a solid PM in the Houston area you could name?  I, of course, would need to do my own due diligence but it's nice to have somewhere to start my research.

Thanks in advance for taking the time to comment/make suggestions.

I can't speak to options available to you but one thing came to mind when reading through your post ... 

If the property will be in your personal name, make sure you have an extra umbrella policy so if God forbid you get sued, you're not putting your primary residence and other personal assets at risk.