Greater Baltimore Property Management Blog

1. Protection from liabilities.

LLCs protect you from liability claims. Anything that’s a claim against a property—like, “Hey, I slipped and fell”—an LLC is an entity that can stand between you and that. The party will come after the LLC, not you personally.

Full transparency: there are ways around this. The most important one to mention is liability insurance. Now, I’m not saying insurance takes the place of an LLC—but you are not fully exposed if you don’t have an LLC but you do have insurance.

2. Provides tax write-offs.

Because it’s an entity with its own tax return, LLCs allow you to write things off (i.e., business-related expenses like your cell phone bill). You can try to write them off on your personal tax return, but it looks a little squirrelly to the IRS that it’s not a company claiming those business expenses. It makes things cleaner from a financing and tax perspective to write them off under an LLC.

3. Allows you to sell shares of the company.

An LLC operates as a business entity. As long as it’s registered properly with the SEC, you can sell shares—or in the instance of LLCs, what’s called “interests”—of the company to other investors who want to invest with you. Or you can sell the LLC altogether as a business that owns things.

There are times when an LLC is not appropriate though. So, when exactly shouldn’t you form one?

When NOT to Use an LLC

1. Don’t use an LLC if you’re house hacking.

Don’t use an LLC when house hacking, because it may prevent you from getting the financing you want. If you’re looking for low money down, Fannie Mae- or FHA-backed mortgages, this property can’t be in an LLC.

For these purposes, banks can only lend you that money under your personal name. Just get a really good insurance policy.

2. Don’t use an LLC if you don’t have 20 to 25% for a down payment.

If you’re buying a property for $100K, if you’ve got $20 to $25K to lay down plus some for closing costs, there’s no reason why you would not go out and start up an LLC. You can get commercial financing on these properties or financing from some other lender. If you encounter lenders who won’t do it, find another one, look on BiggerPockets, or walk into a small community bank.

More LLC Pro Tips

Here are a few final thoughts on the topic.

Avoid setting up your LLC online (unless you’ve been doing it for a while). Instead have a lawyer help you.

And absolutely have a lawyer help you create an operating agreement with the LLC. You can do this online, too, but I highly recommend NOT going that route—especially if you have partners.

A good lawyer can set up an operating agreement for you for less than $1,000. It’s worth it.

Bottom line, if you’re going to build a business around real estate investing, run it as a business. An LLC is a company.

If you’re looking to make this a side hustle or just something you do a little bit, then do it in your personal name and own one or two properties. That’s OK.

But, if in the future, you intend to build a big portfolio, set up an LLC. Operate as a business. Do it now—five years before you get to that point. I promise you, moving properties out of your personal name and into an LLC is not easy—it’s doable but difficult.

One last thing, set up the LLC where the property is. Don’t favor Nevada or some other state over others. The LLCs that own certain properties should be set up in the state the property physically exists in.

You’re going to have to pay a tax return in that state. So just set it up there.

The reason people talk about state-based LLCs is because they believe specific types of LLCs will prevent certain claims from jumping over the LLC and getting to you personally.

However, I’ve never seen any state-based LLC prevent anyone from getting ahold of a person specifically if that’s what they’re trying to do. Plus, that’s what insurance is for. Avoid the tax headache of setting up an LLC outside of the state the property is actually in.

I’m not a lawyer or CPA—neither is BiggerPockets. You should absolutely consult a lawyer or CPA about this subject. A lot of the information that I’ve gone through here today is my opinion, so it’s important to consult a professional.

Source: https://www.biggerpockets.com/blog/real-estate-llc-not-best-option?utm_source=newsletter

The best move a real estate investor can make is to not hire a bad property manager in the first place. Use these questions before hiring a new property manager and to routinely monitor the performance of your current manager.

Key questions to ask

Asking these questions can help separate the good property managers from the bad:

• Are they licensed, do they hold professional certifications, and do they adhere to a code of ethics?
• How long have they been in the property management business?
• Do they manage properties similar to yours?
• Do they have property in the same part of town as yours?
• Are they property management specialists?
• When and how do they pay monthly owner distributions?
• How often do they send out financial reports, and do they provide year-end reports and 1099s?
• Do they have an in-house maintenance crew and outside vendor network, and what type of work are they licensed to do?
• What is their current vacancy rate for all properties they manage?
• How often do they have to evict a tenant and do they handle the process in-house or through an attorney?
• What is their fee structure?
• Does the property management agreement automatically renew, and how is it terminated by either party?
• Will they give you a list of properties they manage so you can drive by and see their work in action?

4 Red Flags to Watch Out For

Believe it or not, a company can tick all of the boxes above and still end up being a bad property management company. That’s because they’re experts at telling you what you want to hear, then doing the exact opposite once the contract is signed and they’re collecting their fees.

Watch for these four red flags to avoid being victimized by a bad property manager:

1. Unprofessional behavior – Remember, they’re representing you as a professional real estate investor.
2. Maintain normal business hours only – An emergency can come up at any time on any day. If a property manager isn’t reachable around-the-clock, 365 days a year, move on to the next one.
3. Slow to respond – Think of the first time you meet a prospective property manager as a “first date.” If they’re slow to respond to your inquiry or late to an appointment the first time you meet, things will only get worse after you hire them.
4. Refuse to provide references, citing client confidentiality – You wouldn’t go to a doctor, lawyer, accountant, or even an auto mechanic without a good reference. So why would you put your property worth hundreds of thousands of dollars into the hands of a property manager who won’t let you speak with their current and former clients?

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I know the subject of this blog may have caused 3 reactions. Some people may have rolled their eyes and scrolled away. Or perhaps you were a bit excited, the title alone made you curious enough to continue reading as you are in the process of starting your real estate investing business; the more you know, the better. Like most of us, you smiled as you learned this lesson already and are glad to see someone bringing awareness to this part of investing.

I get it, we are all trying to maximize income and reduce expenses in any business venture but let’s think about it. 

Meet Investor Bob from Waco Texas. Bob recently   invested in a nice size 100-unit property in  Maryland. On paper the deal was sweet and came with instant cash flow. The property is in good condition and doesn’t appear to have many mechanical issues. It is currently 98% leased. Bob already had his mind set, if there were any hidden surprises, he already had plans on hiring a Property Management Team. Bob have been researching good companies, but because this will be his first experience and have nothing to compare the experience to, he decided that the fee is what will seal the deal. His plan was simple, he will interview some Property Managers who appeared to know what they were doing for the most part but charged the least percentage for the management fee. Bob already calculated what his monthly distribution would look like and figured this deal was too good to pass up on.

Besides just the management fee cost, some other things Bob forget to consider when selecting the best fit Property Manager:

a.      A la carte pricing of services (don’t assume services are covered under the management fee)
b.      Unnecessary use of pricey specialized contractors
c.      Not having enough well-established contractor relationships to help control costs
d.      Delays in getting a property rent-ready and re-rented (increased vacancy cost)
e.      Delays in filing FTP and processing evictions (including missing steps in the process)
f.       Delays in processing payments to the owner (where's my distribution?)
g.      Not appropriately charging-back tenants for damages and wasteful service calls (especially when the calls are placed as “emergencies”)
h.      Poorly screening prospective tenants (can cause damages and evictions)
i.       Insufficient monitoring and lack of inspections leads to deferred maintenance (looks good on paper… at first, but there is a substantial cost to you as an investor later)
j.       Insufficient or absent tenant retention policies (turnover is your biggest cost)

So, flash forward 6 months into Bob working with his new PM Company and he is beginning to stress out. He starts wondering, "Where is my distribution?" “Why haven’t I been updated on what’s going?” “Do I even have leases for all my units, and can I see how the tenants are paying?” What’s even more frightening is that he noticed the occupancy is tanking and his lender is already calling and emailing often for answers.

Ok, Bob thinks to himself, “Let me contact my PM team and schedule a conference, as something isn’t right.” There has to be a reasonable explanation as I’m located in Texas and they promised me they dealt with other clients like me who aren’t local. They even said they had tons of previous experience working with multi-family units.

Bob flies in to meet with the PM Team. They explain to you they have been working hard to get the community stabilized, but things have been chaotic. Slowly but surely, Bob realizes the confidence the team once had is gone and they admit to Bob they are overwhelmed and underestimated what the job would entail.

So, let’s rewind. The reason Bob chose this company is because they offered him a 6.5% management fee which was less than the average of 8-10% in the market. Bob had to admit to himself the more he thought on what went wrong, he did get a little glance into the future when he noticed the Property Management team only consisted of a husband and wife. The Wife was the Property Manager and Husband was the Maintenance tech. Initially they took a bit longer to respond to his emails as well as they were late to the initial phone conference and completely missed an appointment. The reason why Bob still decided to hire them was the low rate and that they showed how much they charged other clients for work orders. Bob even had the opportunity to speak to a current client for a reference.

Bob was sold, but now today, he is drowning in debt and has no idea how to end this headache.  

Here is the point:

By this small Mom and Pop Operation, doubling in size, they were so excited for the opportunity to earn more revenue. But with no additional resources to assist with the day today operations as they scaled up their business, their management quality suffered. Tenants requests weren’t handled in a timely manner, clients aren’t called back right away, etc. Tenants aren’t paying their rent and being filed on consistently. Complaints begin to increase, which increases the stress level on the owners of this company.

Every experienced property manager knows it takes a certain number of people to effectively manage a certain number of properties.  If there are not enough people, then the quality of management suffers.

So with this example, let’s say they collect an average of $1000/mo rents for 100 units, and they are charging an 6.5% management fee.

$1000/mo x 100 units = $100,000/mo rents collected x 6.5% = $6500/mo mgmt fee

Now Bob does recall them mentioning they are hiring a part time Admin to assist with the day to day operations.

Great!  Problem solved… well sort of. Although a new part time staff member has been hired, it is still not be enough to handle the workload.

Remember… the workload at least doubled, but the staff increased by only 50%.  That means the owners still have a bigger workload than they did before, which have caused management quality to suffer.

Ok, you are still not convinced. A company can still charge a higher rate and not be efficient. But let’s just say before this experience, you did more research and interviewing. The number one thing, especially for multi-family investors, you want to ask the management company is what systems it has in place.

What’s the difference?  All businesses need to deal with multiple areas of expertise to succeed, and property management companies are no different. They need to have processes in place for…

Marketing – advertising apartments for rent, advertising for new investor clients

Sales – showing and leasing apartments to new tenant, meeting with investor clients and signing them up for service

Operations – dealing with tenant requests, evictions, maintenance and repairs

Accounting – accounts receivable (money owed from tenants and investor clients), accounts payable (money owed to run the company)

Information Systems – all the technology required to run the business, including phones, voicemail, cell service, website, etc.

All of this takes experience, resources and education to learn and build for any company just starting out. However, where many property management companies fail is when it comes to making these systems repeatable.

Many new investors make the mistake of focusing on the property management fee while losing sight of more costly aspects of the management of their properties.  And many property managers know this and reduce this part of the cost as a sales gimmick. But now you know too much to fall for this.  
Always look under the hood.  😊  
Good Luck!” 

Researching Property Management Companies?

PropertyWize is the best in the industry!

We are committed to making you a successful investor. Our team wants to see you get a better return on your rental property. We know how to increase your profits all while decreasing your stress and frustrations. Our proven systems, and use of cutting-edge technology, sets us apart. Being a landlord is hard work. Put our experienced team of 10 individuals to work for you.

Don’t Delay Let PropertyWize End Your Headache Today!

End Your Headache Today!

If you want to be a profitable landlord, it requires more than just pocketing a rent check every month. You must understand the rental market to know how to best increase your bottom line. You can encounter costly mistakes and legal pitfalls if not careful. Learning to maneuver the complexities of the rental industry takes time and experience.

Money Management

Owning a rental home is a business investment that requires business decisions. If you want a steady cash flow, you must utilize the proper resources that help you succeed. At PropertyWize, our number one goal is for our owners to see investment gains. 

We offer great tips that make landlords profitable.

• Quality Tenant Screening – Placing qualified tenants in your home makes a big difference. When you find quality tenants, the likelihood of payment delays, property damage, and even eviction decreases. Keep in mind that where you purchase your investment can determine the type of tenant you will attract. We highly recommend C+ through A markets in order to guarantee a good quality tenant. The solution is simple, quality tenants want to live in quality neighborhoods!
• Strong Collections Process – Consistent rent collection helps you be profitable. On occasion, however, tenants may run into financial difficulties. Make sure you have a firm-but-fair collections system in place. At PropertyWize we place a lot of time and resources into developing a vigorous policy on collecting rent that makes it easier for our owners to keep consistent cash flow month after month.
• Accurate Rent Rates – The rental market constantly fluctuates. Property management companies like PropertyWize can help you decide the best price for your rental based on their extensive experience in the market. 
• Proactive Maintenance – No matter your tenants, maintenance is inevitable. Don’t let this discourage you. You should expect to put money back into your rental for home repairs. But you can drastically reduce your overall costs by fixing small problems before they become big problems.
• Regular Inspections – Be preventative. Protect yourself and your property by conducting property inspections. This helps your property stay in compliance with legal regulations as well. We offer a detailed inspection annually included in your Management fee. We pride ourselves on being proactive, prompt and professional as well as being transparent for our owners to be as hands on or as hands off as they like!

Researching Property Management Companies?

PropertyWize is the best in the industry!

We are committed to making you a successful investor. Our team wants to see you get a better return on your rental property. We know how to increase your profits all while decreasing your stress and frustrations. Being a landlord is hard work. Put our experienced team to work for you. 

Don’t Delay Let PropertyWize End Your Headache Today!

Schedule a brief call

Tags: rental management property management baltimore real estate investing

On August 1, 2018, a new law takes effect requiring all Baltimore City rental properties, including one- and two-family and multi-family dwellings, to be licensed to operate as a rental by January 1, 2019. In order to receive a license from the Department of Housing and Community Development (DHCD) the property must meet two requirements: 1) must be registered with DHCD using the online portal and 2) must be inspected by a State Licensed, Baltimore City registered Home Inspector.

The new system does not eliminate the annual registration fee (which remains unchanged at $30 per dwelling unit for one-family and two-family houses, and $35 per dwelling unit for buildings with more than 2 units). The new system differentiates “registration”, which is done annually, and “licensing”. The “License” will last 3 years for “good” landlords; defined as one who gets violation notices corrected within 60 days of their issuance. The License will last 2 years if the landlord gets violation notices corrected within 90 days of their issuance. Landlords are “bad” if they take more than 90 days to correct housing, building, and fire code violations and, therefore, must get their units inspected every year. “Bad” landlords on one-year licenses must pay an additional $15 per unit registration fee. The system is designed to reward “good” landlords who keep their properties in good repair and respond promptly to violation notices.

Are you prepared? If not contact the Pros... PropertyWize! For additional information please visit PropertyWize.com or call 24/7 410-372-6512!

The term “Section 8 tenants” refers to renters who qualify for the government’s Housing Choice Voucher Program.

So how do people qualify, and what exactly is this program?

Renters who qualify must have an extremely low income, and if they do, the program helps them afford local housing by paying for 33%-75% of the rent.

Some people in this program are elderly, some are disabled, and some simply have little or no income.

Landlords are divided on whether they should or must rent to Section 8 tenants.

Landlords are divided on whether they should or must rent to Section 8 tenants, and for good reason. The laws vary state to state, and even county to county.

The Fair Housing Act (FHA), a federal law, doesn’t prohibit landlords from discriminating based on Section 8. However, some states, counties, and municipalities do, often by prohibiting discrimination based on “source of income” or “public assistance status” – considering them a “protected class.”

Here’s an overview of the pros and cons.

Pros & Cons of the Section 8 Program

Section 8 Waitlist

Pro: Guaranteed Rent

“Guaranteed Rent” – Two words that are music to a landlord’s ears. It almost sounds too good to be true.

But, under the Section 8 program, you are guaranteed at least a portion of the rent to be paid to you by the government – the U.S. Department of Housing and Urban Development (HUD), to be exact.

And because you’re dealing with the federal government, this could be a mixed bag. Which brings us to our first two cons …

Con: The Approval Process

As with any government agency, red tape is involved, and Section 8 is no different.

First, you must fill out paperwork, and then your local Public Housing Authority, which operates under the Housing Choice Voucher Program, must approve your rental property.

Then, your property must undergo an inspection, and if approved, it must continue this type of inspection annually.

To pass, your property needs to meet acceptable health and safety codes. And whether your house is approved could depend on how stringent the inspector is in your area (meaning – you should expect to repair minor issues).

Related: HUD Inspection Checklist.

Con: Subject to Rent Control

If you are approved, the Housing Authority then reviews your lease and often restricts how much you can charge for rent. In other words, you can’t necessarily charge what you like.

You can’t charge whatever you want.

You generally can only charge what other properties in your area charge. So your property will be subject to a sort of appraisal process to determine rent.

Note that sometimes, depending on the area your property is in, you might receive more rent through HUD than you would by going through the open marketplace (but I wouldn’t count on it).

HUD then agrees to pay a certain percentage (this varies by case) of the rent. Your tenant pays the remainder, which usually amounts to 30% of their gross income.

Generally, a tenant only pays about 30% of the rent amount.

Pro: Long-term Tenants

Many Section 8 tenants, after being approved for the program and after finding a place to rent, tend to stay put for a while.

Moving is allowed, but Section 8 tenants need to notify the Housing Authority, give you proper notice, and find another place. In other words, it’s a hassle.

Plus, when Section 8 tenants sign a lease, it’s generally for at least one year.

Con: You Hurry Up and Wait

It usually takes a long time to go through the Section 8 process.

By the time you fill out the paperwork, get an inspector to come out, make necessary repairs if required, get the inspector to come out again to check your repairs, get a tenant in, and then receive rent, you might have been able to rent the place to someone else sooner. Meanwhile, you’re receiving no income.

The vacancy caused by delays due to red tape usually outweighs any benefit of the program.

Your Results May (Will) Vary

Section 8 tenants have a bad reputation. And just like any stereotype, there could be some truth to it, but every case is different.

People complain that Section 8 tenants are masters at manipulating the system, and many landlords are left holding the bag.

As with all tenants, there are so many things that can go wrong. For example:

• They lose their voucher, and then won’t leave,
• They destroyed your property, and the housing authority won’t compensate you,
• They moved extra people in despite that being against the rules.
• But just as there are horror stories with Section 8 tenants, there are good experiences too.

Some people, whether they are temporarily down on their luck, are disabled, or live on a fixed income, might not be able to afford housing without some help, but they could make wonderful tenants.

The key is for you to run a background check and credit report, and to call prior landlords. Do your due diligence before accepting any tenant.

Related: The Landlord’s Guide to Tenant Screening

Some Municipalities Require Participation

Some municipalities (I’m looking at you Oregon) require landlords to accept Section 8 tenants, meaning that whether you want to deal with a government agency or not, you have to, even though this should be the landlord’s decision.

Related: Oregon anti-discrimination law means landlords can no longer advertise ‘No Section 8’ (Oregon Live)

For example, if a Section 8 tenant fills out a rental application in a municipality that requires landlords to accept it, and if that applicant passes your screening process, you need to start the ball rolling to have your property approved… unless you rent it to another qualified applicant first. (After all, the government is not known for moving fast.)

Even California and the city of Chicago protect people in the program; however, many states like Colorado allow a landlord to “opt-in,” rather than being required to participate.

Note that you don’t have to accept an applicant just because they have a Section 8 voucher. In jurisdictions that require you to take Section 8 tenants, you are encouraged to screen them as you would anyone else.

You need to contact your local or state fair housing agency to determine what the law is in your jurisdiction.

Real Original Article

From a very young age many of us are taught the importance of being on time and that arriving late is a sign of disrespect. As we grow older, we become more lax. We love staying up late past our bedtime, we learn it’s expected to be fashionably late for parties and no matter how late we get home from work, we no longer worry about missing our favorite TV shows thanks to the DVR.

Read Full Article

By Dahna M Chandler | Jan 10, 2018 4:00PM

Put that phone down—these fixes are on you, not your landlord.

Renting is the life … you’re not tied down, and there are no repairs to worry about, right? Well, sort of. While your landlord is expected to handle many fixes, there are others that are on you.

Your lease will often define exactly when and how you should make any repairs. When in doubt, pull out the paperwork. The general rule of thumb is that renters are responsible for repairing any damage that they cause themselves. So if you want to remain on peaceful terms with your landlord, don’t be that renter who calls for help changing a lightbulb.

8 Maintenance Issues Renters Are Responsible For

1. Flea extermination—even if you pay a pet fee

Your pet fee isn’t pet maintenance insurance. Your landlord is responsible for eliminating bugs like roaches and ants, but “not a problem you brought with you,” says Mindy Jensen, community manager and podcast coordinator at Bigger Pockets . Keep anti-flea products in your rental (and on your dog!) to take care of this problem.

2. Carpet stains or floor scratches beyond normal wear and tear

Your landlord expects to repair or replace floors every few years because of regular, everyday use. But if your definition of “everyday use” includes wearing cleats on the carpet and bowling in the kitchen, you should be prepared to fix the floors yourself. Don’t ask your landlord to clean stains from spills, your pets, bleach, or nail polish.

3. Damage to walls or ceilings

It’s one thing to request a paint job after you’ve lived in a place for several years. But landlords don’t have to repair holes you made or repaint to eliminate the cigarette smell after your roommate with a pack-a-day habit moves out. And for major repairs, you should both pay for the work and fess up. Tell your landlord what happened and explain that you’ll rectify the situation with professionals.

4. Broken appliances you’ve misused

If you tend to close the dishwasher with your foot, sooner or later it’s going to break. And your landlord won’t be keen to replace it. “Don’t expect the landlord to repair appliances you’ve misused,” Jensen says. Misuse also includes things like using the wrong type of detergent in a front-loading washer and putting chicken bones or peach pits into the garbage disposal.

5. Locks or windows you broke when you’d lost your keys

It’s true that the law requires your landlord to maintain security by replacing broken locks or windows. But if you’re the one who breaks ’em, you’ll be the one paying for ’em. “The landlord is not responsible for your losing or forgetting your keys,” says Jensen. So next time you get locked out, take the time to call a locksmith or building maintenance, or leave a spare key with a trusted friend or neighbor.

6. Clogged drains

Some clogs are unavoidable or caused by defective plumbing. But when you’ve used your bathtub as a haircut staging area or have gotten overzealous with the toilet paper, that clog’s yours to solve.

To avoid trouble, never use your toilet to toss out kitty’s litter, paper towels, or dental floss. And if you live with kids or invite them over, keep the lid down—you never know what they’ll throw in there. Learn how to use a plunger and liquid drain cleaner, and keep both handy. Otherwise, be prepared to pay a pricey plumber’s bill.

7. A furnace that’s on the fritz because you didn’t change the filters

A basic filter costs less than $10. Changing it out a few times a year is far cheaper and easier than insisting your landlord send over an HVAC pro to tune up or fix your system. If a pro comes over to fix a failed furnace or air conditioner and finds an ancient, clogged filter, they’re going to know right away what caused the problem. Avoid that disaster by doing routine removable filter maintenance yourself.

8. Accidental water damage

Landlords are definitely responsible for repairing flood damage after a major rain storm or a random pipe failure. But don’t expect the landlord to fix the water damage when you’ve left the bathtub running, used the wrong soap in the dishwasher, or repeatedly flushed the clogged toilet till it overflowed. When it comes to flooding, the culprit is typically pretty clear: If it wasn’t Mother Nature, it was probably you.

Originally published on October 4, 2017; updated January 10, 2018.

When you ask most people today if they love their Property Manager, most of them will probably say No. A lot of people are just comfortable with the idea that, "Hey, it's nothing too exciting about my Property Manager but it could be a lot worse". We beg to differ, at PropertyWize we feel that you should be comfortable with saying "I love my Property Manager! without hesitation or a second thought. A great property manager can add significant value to your investment and, most importantly, end your headache.

We comprised a list of what makes the difference between a Property Manager you tolerate and a Great Property Manager that you love. On a Scale of 1-5

Rate your experience

1- Never
2- Hardly Ever
3-Sometimes
4- Most of the Time
5- Always

Communication

Good communication is essential for any Property Manager. In fact, one of the primary jobs of a Property Manager is to bridge the gap between an owner, contractors, and tenants. A great Property Manager has the skills to initiate and maintain open and direct communication that results in successful relationships, lower costs, and greater value for our clients. At PropertyWize we're great with properties and even better with relationships.

Does your Property Manager communicate with you proactively to avoid serious issues that can be prevented? Do you receive timely notifications when there is a situation that may significantly affect your investment, e.g., pending evictions, major damages?

Rating: ____________

When you need to reach your Property Manager or have a question do get a response in a timely manner?

Rating: ____________

Tenant Placement

For over a decade now, we have seen thousands of applications and have come to realize the most important part of our business is Tenant Placement. Our proven 3-step screening process and in-depth background checks find the warning signs of problem tenants and help us find the best applicant for any home. At PropertyWize, we take Tenant Placement seriously!

Does your Property Manager meet or exceed your expectations by selectively screening and processing all tenants they place in your property?

Rating: ____________

Does your Property Manager stand behind its work by offering a warranty for the quality of the tenant it has selected for your property?

Rating: ____________

Risk Management

It only takes one troublesome tenant to cause significant legal and financial stress. Great Property Managers must be skillful in settling disputes before they grow into legal problems. Further, they must stay abreast of the latest regulatory requirements and landlord-tenant laws in order to avoid fines and expensive litigation as a result of compliance failures. In fact, PropertyWize takes this so seriously, we invest in Fair Housing training for all of our staff and attend workshops and conferences (locally and nationally) to keep us equipped to protect your investment well within the bounds of the law.

Does your Property Manager understand and follow safety and other regulatory requirements, as well as landlord-tenant codes, in order to mitigate the risk of fines, penalties, and legal actions, e.g., meeting or exceeding lead-safe requirements and notifying you about the benefits risk reductions of becoming Lead Free.

Rating: ____________

Does your Property Manager make sure the lease agreement was written to protect your interests? Does he/she advocate and hold tenants accountable for not following the lease agreement?

Rating: ____________

Is your Property Manager able to settle disputes before they become costly problems?

Rating: ____________

Relationship

Developing trust and understanding is the key to a successful and positive owner/manager relationship. PropertyWize builds its client relationships with our high standards of excellence. And though we set the bar high in all that we do, we're never fully satisfied. We're always looking for new ways to improve our service and add convenience and value for our clients. In addition, we do what we say we will do... and that builds trust.

Does Your Property Manager consistently meet deadlines and keep its word to you?

Rating: ____________

Does your Property Manager consistently invest the time and energy to enhance your experience, e.g., consistently using technology to better, faster, more efficient services such as owners statements and distributions?

Rating: ____________

Scale

0-10: Time to Fire Your Current Property Manager Immediately
11-17: Its time to put your Property Manager on an Action Plan. If you don't see significant improvement within 90 days, you might want to talk to us.
18-23: Have an open dialog with your Property Manager to express your concerns. You might be surprised at the results. But, as a back-up, research other property management options and plan an exit strategy... just in case.
24-30: Congratulations! You can say you love your Property Manager! You can help your Property Manager help others by providing referrals and positive reviews on all online platforms.

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