All Forum Posts by: Sylvia H.

The problem with this scenario for me as a property manager is having to chase owners for funds and the issue with handoffs and communication.

As a property manager, it is hard enough to get tenants to pay promptly but I frequently am having to temporarily cover an owner who does not have sufficient funds.  Because of this, the risk is not worth it ever without holding the rent coming in and distributing.  Try telling a vendor that though they did a great job, they cannot be paid because the owner has not provided funding yet.  I'd never be able to use that vendor again and I might get sued.

On the communication front, tenants then have multiple people calling and coordinating with them and that gets confusing.

Hello All,

I really like the idea of house hacking however, I purchased a new home 3 yrs ago, I am looking for additional cash flow and was thinking of a Multi Family properties. Is there a work around to make this happen? or should I stick to Single Family properties? I love the idea of Multi Family properties but I am not sure about living on the property and not sure what to do with my home. I am educating myself before I pull the trigger and would like to know your thoughts. I am highly excited about attending my first REIA in Houston on 18APR2023 and looking forward to meeting like minded people.

It is very normal to give a contractor a deposit up front before they start work. Some contractors will begin work without a deposit. Some will only ask that you pay for materials in the beginning. But it is totally acceptable and normal to pay somebody 50% of the job before they start and the remaining 50% of the job when they finish.

With that being said, you should only be doing this with a contractor that you have vetted. Don't hire this guy, you don't know him and you've never worked with him. 

Pick up the phone and ask all of your friends, family members, realtors, etc if they have a recommendation for a painter. Hire based on a referral from somebody that you trust. You'll rarely get burned with this approach. 

@Sylvia H. - the way around this is to offer to pay for the materials up front (call in a credit card number).  Most vendors are willing to not be paid for their time up front but want to be paid for materials up front.

I run a PM company so we are constantly vetting new vendors.  This is how we make sure to not get scammed before we develop a relationship.