All Forum Posts by: Naga A.

Roger 

At least, you were able to get out of the contracts and get rid of that property manager.  That is a lot better than being stuck with that manager who mismanage your properties until the renewal date.

I too got a lawyer.  He talked to my manager, and then the manager agreed that I terminate a property management agreement with them immediately without paying any penalty.  

It all turned out good in the end, but this is a lesson for all investors, especially Georgia investors because a template form of Property Management Agreement of the Georgia Association of Realtors has a provision in "Term" that get us in trouble when we try to fire them.  We need to make sure that such provision does not apply when we sign a management contract.

@Drew Sygit

That provision is a Property Management Agreement form of the Georgia Association of Realtors and was in an initial draft that the property manager sent to me.  And that is what the PM is based on when they claimed that I owe them management fees for the remainder of the Term until the renewal date.  They did not know the provision was struck out from the initial draft and no longer applies.  

@Roger Pearce

Roger,

This is an old post, but I wonder how you resolved dispute with the old property manager.  I happen to find myself in a similar situation with the current property manager.  My manager was bought by a bigger company and since then, I have not been happy with their performances; they charged me for repair even when they are supposed to get my consent if the repair costs $300), and they do not answer me when I asked them repeatedly what nature of this repair or any evidence that the tenant requested for such repair etc.

So, I told them that I terminate a property management agreement with them effective immediately.  They told me that I am required to give them 60 days prior notice and that I owe them management fees until the end of November (supposedly .  My properties are also located in Atlanta, GA.  A GA management agreement template has a provision in the "Term" section that says below. But, it was agreed that this provision be deleted and does not apply. So, I do not know why the current manager claim that I owe them management fees until November. Plus, the renewal date should be May, not November. 

"If Owner terminate this Agreement ... , Owner shall immediately pay Manager all fees and commissions they would have earned had this Agreement not been terminated buy instead had been in effect for the entire term set forth above. Manager may deduct ...."

Anyway, I wonder how you resolved a dispute with the old property manager.  Did you file a complaint with the Georgia Real Estate Commission and with BBB. Did you consult with a lawyer?

Thanks,

Naga


 

Khaled,

HH Insurance needs the most current inspection report on my property to give me a quote. So, I am waiting for one.  Is this normal practice for insurance company to ask for the most updated inspection report on property to give a quote?  I have never being asked for one.

 Thanks Khaled,  I contacted Joe for quote.

Hi, I am currently looking for a new insurance broker to help me out with my property, a single-family house, in Tampa, Florida.  Does anyone have any good recommendations? Thanks!

Thanks for the advice @Simcha Davidman. I didn’t know the last year or two have been very bad for insurance premium pricing. All my properties are in Atlanta.

I have had landlord insurance for all my properties whose insured values are what I paid for to purchase them for years.  However, those properties have their value gone up over the years and the insured value does not cover the actual value of the properties any longer.  I asked for quote for insurance whose insured value matches the actual value of the properties and was shocked by the prices (like a single family home I bought for $50K about 10 years ago whose value is like $250K, the quote is for $1650 with $5000 deductible).  I used to pay about $450 for the purchase price of $50K for the property.

Should I have insurance where insured value matches the actual value of the property and paid significantly high premium or keep the insurance whose insured value is significantly lower than actual value but pay significantly lower premium?

I was contemplating to selling one of my investment properties in neighboring Atlanta when it became vacant after eviction. Then, Covid-19 pandemic started.  Since then, I was debating whether I should go ahead, do a "market-ready" repair and sell it or wait out, i.e. (rent-ready repair and find a tenant) during this uncertain time.  

The thing is there does not seem to be much sign of impact on the Atlanta housing market yet: average home prices or days on market.  My agent even told me that the Corona virus has not stopped the sale of houses in this price range ($150,000). Inventory of available houses to sell is still low and there are still buyers are out there wanting to take advantage of the low interest rates.  Yet, I hesitate to pull a trigger and put it on the market for sale in the mist of such unprecedented time.

At the same time, I am wary of keeping it for rental as well as many renters are among those who have lost their job due to the virus and are not currently paying rent and do not know how hard to find a new tenant during this uncertainty. 

My motivation to sell it is that I would eventually want to get out of the rental business by selling my properties with a profit as I figure I do not make as much money as I expected with all repairs and tenant-turnover costs.
 

Thank you all for the replies.  And Shawn,  yes, I thought that was an error but the representative of my insurance company insists that is not so.  Please let me know if you could send me revised costs.