All Forum Posts by: Kristen Williams

BP pulled my request to find help with my inquiry. I own a PM and can elaborate with contact. 

We had an excellent tenant at one time, who was a local VP of an established company. He was good for 2 years, until he was on his last month of tenancy. He had given proper 30 day notice, and all seemed well, until literally the day he moved out. His moving truck damaged the garage frame and door, and as we went into inspect, the only 5-year old property was left in such terrible shape, it amassed up to almost $10,000 worth of damages and labor to put it into rentable condition! I immediately contacted him, where he admitted that he had brought in an unauthorized dog, and that he had often left his children home alone, and let people stay with him, etc.... he admitted to the damages, and agreed to release his deposit and to make payment for the damages as we began assessing the costs. So, we did just that, and he made one payment and we retained his deposit. We were led to believe he was transferring from this city to another with his same company. My client, the owner, even agreed to ask for half, to get it settled. Our attorney just notified us that the tenant is at a new job in another state, and he has no jurisdiction there to garnish wages or begin any type of lawsuit.  My question is, even though the damages are done here, is this correct that we must sue in the place where HE lives? I have sent registered mail, unreturned, to him, called, texted and emailed, and of course, no response. I have found him on LinkedIn in his new job. He had previously signed an agreement with his application, for future skiptracing efforts should they come up. 

Do you have experience collecting from someone who has moved out of state? If so, what would you suggest, and also, do you recommend a good collections attorney in Tennessee? Thank you in advance! 

We actually use a checklist in the application process which provides the applicant to come forth with all sorts of disclosure that can assist us in making a correct fit. We are very specific, but not illegal, but we ask if they have issues with reading, writing, mental health needs, drug use, if they will have a weapon, if they need assistance completing the application, etc.. It has worked wonders. I had decided to create for situations just like this - so many clients of mine had struggled in the past with those who look great on an app, but have issues in character. This way, they volunteer their specific situation, and invites a dialogue. You do want the best match, which is what we specialize in. You don't want to place someone in need of quiet, or who has PTSD, in a multifamily environment, and such like. You can definitely just offer to return her deposit and move on. 

Daniel! Look no further! We'd love to learn more about your properties, and see if our services align with your needs. We have an excellent reputation but aren't too big to handle what you need. We are a technology-driven company and have a customized system for serving our clients, tenants, and service providers. You can learn more about us online at www.granitekeymatch.com and I'm open to a chat to give you pricing, valuation and more. Please call me at your earliest convenience, except when I'm asleep! :) 

I own a successful property management company, and have been building clientele for some time. We did lose some last year when so many were selling off at the big returns, so it put us in rebuild mode in some areas.  For some time, I offered the use of our vendors at our rates and discounts for maintenance, and in our management agreements, requested small reserves for maintenance escrow, to handle costs. The world of maintenance has changed quickly to stop the practice of 30-day billing. They want a credit card upon completion of each job, in many cases; from plumbing to housekeeping. For quite awhile, I would use my company card to cover the costs and then reimburse my company on the monthly Profit and Loss statements, attributing it as a maintenance cost, and reducing their yield. However, it essentially has benefitted my owners, but made me the bank, helping their cash flow and hurting mine. It has also caused billing issues or discrepancies, costing me extra work to keep in good standing with our providers. This past year, I began requested a master credit card to keep on file, with a signed consent form to authorize the credit card use, by permission. 

I would email the work order I knew would be more costly, requesting the authority to use the card within reason, with backup of an invoice to support the expense. Almost all of my owners have complied, and it has improved the maintenance request area and vendor relationships consistently. However, I have some that refuse it. I respect that. Except it seems the one who refuses it, also doesn't pay the bill. Our agreement has us sending the invoice directly to the owners if the cost is over a certain amount. 

However, what has happened, is that the provider contacts us for services set up by us, and billed to the owner, and the owner didn't pay. I had one excellent provider that I have had for a very long time, who is prominent and we are close friends due to a marriage in our families later on.. that I just discovered won't bill us any more, because of that owner not paying the bill for 5 months, and putting them off. 

I have shared this with him, and he flippantly tells me to just take the costs out of the yields.. however, when I ask for the maintenance service, they instantly want a card, without us knowing how much that bill will be. So if the activity happens on the 10th, per se, I won't see rent from that tenant until the 1st or later, so essentially I lose cash for 3 -4 weeks to benefit the owner. Or I'm forced to find another provider who is willing to bill him. 

I'm debating from a business and financial perspective, whether to sever the contract with him, regardless of the income. What is your current practice? And by the way, I never mark up the invoices. We only charge a fee for project management, where a true procurement job is required, such as putting in a roof, or sidewalk, etc. 

What is the best practice to keep the tenant cared for, profits good for owner, and in good standing with my vendors? What do you do?

Warm regards and Thank you in advance for your feedback!

I own a successful Property Management company and continue to learn and grow. For 2023, my goal is to begin purchasing homes to self-manage and invest in my own portfolio. I have an excellent opportunity to purchase a home I currently manage, for well under the value. The owner is desperate to sell, and only wants payoff. The spread from market value to payoff is close to $100k. It's a steal, and I know all of the home's maintenance history and future needs. I also know the rental rate it's worth and presently showing for new tenants as we speak. However, I have a private mortgage that is only a year old, and so it will show as debt. Is there any good lender or way to cover this purchase? All he wants is payoff, and that is about $73k. Do you have a recommendation as who to pursue for financing? Cash isn't an option - I won't touch that. 

Thank you in advance!

Thanks for the feedback. I did inform them both this morning that there must be harmony reached and lease respected, and dealt with privately unless there is danger or damage involved. We have offered the termination avenue before, but usually for over complaining on any given thing that the owner didn't want to deal with. This is the first time in 8 years we've had this big baby stuff. ;) thanks again! Kristen

Greetings BP pros! Normally I like to share our expertise but as a continuous learner, I’d like your perspective to create a solution. 

We recently had two new leases at the same time in a fairly new duplex located in a residential area.

Side 1 is 4 male older college roommates who play baseball for their college and some work as well as go to school and practice. They were a good risk as each parent consented to add their names and background checks to each one. Lease rules, peace issues and communication guidelines were established in person and we worked extra hard to move them in smoothly. 

Days later, a wonderful family with teenagers moved in next door. Duplexes are attached at garages and one bedroom. We did warn them beforehand that it will be young males and they assured us it would be fine. They all met the parents and tenants on move in day and they all exchanged numbers.

30 days in, mom feels that the guys are too loud. She runs a business from home during the day. The guys of course have much different schedules. 

First they worked it out. New and exciting adjustments for both sides are occurring and they haven’t found a workable pace yet. 

Now, I am getting texts at different times from the mom complaining about noise again. However, even though I have a verbal warning the first time to the guys, they truly were having fun playing video games just after dinner and not being unreasonable. 

Both sides have different lifestyles, both follow the lease rules, and both need to find a way to live in harmony before it all deteriorates. 

Last night she contacted me again, asking if she should call the police. I told her it may not hurt so she can find out their take and help determine if this is truly a nuisance. 

Well I get a 4 way text from the guys, saying I told her to do it and how it wasn’t fair. 

I responded to them and to her, that they must find a workable solution, and that we would see if there’s anything we can provide to assist. 

Logically, it’s a no brained to remind them that the move is new, excitement is high, and a pattern will emerge. However, they both deserve a quality of life where they live. 

Thoughts?