[paramount]

[quote=sdsurfer]
I kind of went about my decision backwards in a way. Most people look at the cash flow first then the tenant…I wanted to go after a property that would attract a great tenant & cash flow. After I found the property I searched for a tenant that reminded me of myself 10 years ago because I do not remember any of my landlords or property managers having to chase me around for the rent. I learned the tenant first approach at an investment meeting with Ward Hannigan and it seemed to make sense although he does it a bit differently.

[/quote]

I think most conscientiousness investors/landlords take the same (or nearly so) approach.

Anywho, as I had mentioned I received an email stating that my PM company had been sold to another company (a different rpm franchise). So I decided to do some digging, primarily because I want to decide who manages my property not someone else.

So the previous owner tells me that there was an assignment clause in the contract and that reassigning my contract was a provision in contract.

So I went back and read the contract and sure enough, the reassignment clause is there in black and white. Well, almost.

The clause stated that the contract could only be reassigned to another qualified PM company. The word ‘qualified’ could mean different things; so I went to the California Department of Real Estate and as far as I can tell, anyone who manages properties for compensation MUST possess a California RE Brokers license.

Since I had the names of the new owners, and I plugged their names in and wouldn’t you know it…neither has a license (of any type).

[paramount]

[quote=flu]

Paramount. I have a question for you… Do you still live around where your rental property is? If so, what is the reason that you are getting a PM to do this and for example not yourself? I mean, my relatives use an agent to help them find a prospective tenant, and pay them a flat fee for the leads if they sign up…But for all other repairs stuff, they ended up getting their own handyman/etc…

Have you tried renting out your place yourself versus using a PM? For folks that have 6,8,10+ properties, I can see were PM is helping one free up time, but if you have 1 or 2, what prompted you to use a PM?[/quote]

I live about 600 yards from my rental, and I may just manage the property myself.

I decided to use a management company for a few different reasons:

1. Last Summer I was busy moving into the new house, and already had a long list of things to do in preparing our previous house for rental. On top of all that we had a baby in the Fall.

2. Even though I had rented houses in the past, I though I might let the management company handle things the 1st year, and then I’d step in.

3. Eviction insurance

4. Believe it or not, it can be hard getting people to pay rent. Particularly when so many people feel entitled to a perfect McMansion with a million dollar view.

5. Did I mention eviction insurance.

I think one of the best ways to handle maintenance issues is to get a home warranty.

I intend to do that before my tenant moves on to fry my AC system.

[paramount]

[quote=as]

I also heard that PM can hire a handman who charges you more, then split the commission between each other.

[/quote]

If you look at the thread I started: FIRING Your PM, one of the points I listed is don’t hire a PM that has in-house maintenance for exactly the reason you listed.

PM companies aren’t just interested in the management fee, your property will be seen as an opportunity for additional revenue.

That’s also another source of stress.

[paramount]

Or if your interested in the ‘thrill’ of real estate investing, open up a property management company.

They’re the ones making a killing!

[paramount]

See my thread: FIRING Property Management Companies.

Believe me, property management companies are no silver bullet, at least not in my experience.

Overall I 110% agree with whoever said: Life is too short to deal with rental properties.

A lot of ‘homeowners’ are becoming reluctant landlords because they are underwater and life circumstances change.

I’d say buy a REIT, skip the landlord crap.

[paramount]

Anyone else had a similar situation: The property management company managing your property is either sold or folds.

A new company comes in and says: your contract has been assigned to our new company….

I don’t see how there’s is any legal basis for the previous company to reassign our contract.

As far as I’m concerned, the contract is now void and someone owes me some money, namely the deposit money.

The reason I was trying to contact them is because they withheld money from my monthly deposit for no valid reason, in addition the deposit was late.

I’m not sure what to do…

[paramount]

BMW

[paramount]

[quote=EconProf]One last item: Why do you have to pay them 3 month fees to fire them?
It appears they may have breached the contract by not performing. Reread the contract and see if you have an out by virtue of non-compliance on their part.[/quote]

About 3 hours ago I received an email from the company that has assumed operations of my original PM company.

I knew something didn’t seem right….

[paramount]

Altima has $1500

Camry has $500, same as Corolla

The deals right now are primarily in the gas guzzler class.

[paramount]

[quote=Diego Mamani][quote=paramount]During the advertising/vacancy period, they never once said let’s adjust pricing, or any suggestions for that matter[/quote]

I think it’s up to the owner (landlord) to set the price/rent. Can’t fault the PM company for a poor pricing decision, unless they offered to set a price as part of their services. But even in that case, if the owner doesn’t know what the market rates are, he shouldn’t be in this business.[/quote]

If you read my statement, I didn’t ask the PM to set a price, but it is part of their job to advise me – and they did provide initial analysis.

But markets change, and a good PM company will advise you accordingly.

[paramount]

BMW is releasing a 3 Series Hybrid this fall (maybe this was covered).

Of course it’s a work of art.

BMW 3 Series – the Legend Lives On.

Often imitated – NEVER duplicated. The original, authentic one and only BMW 3 Series.

[img_assist|nid=15948|title=BMW 3 Series Active Hybrid|desc=|link=node|align=left|width=905|height=600]

[paramount]

[quote=briansd1]

On the opposite side, jacked-up trucks aren’t exactly ultimate driving machines. Not sure what those jacked-up trucks are, but they sure look bad-ass and masculine.[/quote]

These jacked up trucks are a status symbol for rednecks and WT and seem to be everywhere you look driving around Temecula.

These jacked up lifted trucks are a menace to society and they should be illegal.

Ever see one of these weenies get out of these trucks? Well, you know what they say…

[paramount]

[quote=svelte]More in life than money.

Pick the one that makes you happiest and do it.[/quote]

I agree do what makes you happy within reason, but you may want to consider that a recession is on the way.

[paramount]

Pension changes, etc…are just a band aid.

If we can’t get rid of these unions by going bankrupt, then start outsourcing city functions to private companies.

I believe the City Manager of San Jose said when it’s all said and done there will be one employee left writing pension checks.

[paramount]

How much more can be said that hasn’t already been said: Public Employees and their Unions HAVE bankrupted California. End of story.

[Author]

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