2. We have discontinued comments because of irrelevant comments and
hooker links. If you wish to contact me I welcome you to do so at propertymanager@arbourpm.com
3. Sign up for future blogs (about once a week) by clicking on RSS feed or if you wish to share post with someone click on share button or if you wish to subscribe add your email where indicated and click subscribe
Out of fairness I will attend because maybe that have some proceedure that I not aware.
I know this much-the current market has low inventory right know. The Banks rather deal with experienced people with cash.
The Bank is awaree of current market values, but will discount the price to allow for repairs.
The Banks sell AS IS. That is right you better know what kind of merchandise you are buying. The costs to repair may exceed market prices.
There are hundreds already in line ahead of you to buy the limited available properties. Some are heany hitters.
However, as an experience property manager and real estate broker I will check them out and report back to you.
P.S. They don’t give free seminars without having a package available that will sell for a $1000 or more.
By Lambert Munz MPM, RMP Arbour Real Estate Management, Inc
TIPS
Here is a guide to file and have available for easy reference
“Wear and Tear” or “Damage”
This is a guide to show you the difference between normal wear and tear, which a tenant does not have to pay for, and damage, which comes out of your deposit. This list does not cover all situations, but it gives you a good sense of the difference between the two.
Normal Wear and Tear—caused by ordinary comings and goings (depends on how long the tenant has lived there.
Damage—caused by abuse, thievery, mysterious disappearance, accident, rules violation or special request.
Well worn keys
Missing keys
Sticky key
Key broken off inside lock
Balky door lock
Door lock replaced/re-keyed by tenant without permission
Depressurized fire extinguisher with unbroken seal
Depressurized fire extinguisher with broken seal (not used to put out fire)
Worn pattern in plastic countertop
Burn in plastic countertop
Rust stain under sink faucet
Sink discolored by clothing dye
Loose, inoperable faucet handle
Missing faucet handle
Carpet seam unraveling
Carpet burn, non-removable stains, torn carpet
Threadbare carpet in hallway
Rust marks on carpet from indoor plant container
Scuffing on wooden floor
Gouge in wooden floor
Linoleum with the back showing through
Gouge in linoleum
Rusty refrigerator shelf
Missing refrigerator shelf
Discolored ceramic tile
Painted ceramic tile
Loose grout around ceramic tile
Chipped or cracked ceramic tile
Wobbly toilet
Broken toilet lid
Rusty shower curtain rod
Kinked shower curtain rod
Rust stain under bathtub spout
Chip in bathtub enamel
Racks on door jamb where door rubs
Hole in hollow-core door
Door off its hinges and stored in garage
Missing door
Plant hanger left in ceiling
Additional holes in ceiling
Stain on ceiling caused by leaky roof
Stain on ceiling caused by popping beverage containers
Cracked paint
Crayon marks on wall
Chipped paint (minor)
Walls painted by tenant in dark color
Mildew around shower or tub
Mildew where tenant kept aquarium
Discolored light fixture
Missing light fixture or globe
Odd-wattage light bulbs that work
Burned out or missing light bulbs
Light fixture installed by tenant that fits its location
Light fixture installed by tenant that must be replaced
Window cracked by settling or high wind
Window cracked or broken by tenant
Faded shade
Torn Shade
Paint-blistered blinds
Blinds with bent slats or inoperable
Drapery rod that won’t close properly
Drapery rod with missing parts
Dirty window screen
Missing, bet, or torn window screen
Ants inside after rainstorm
Fleas left behind
Lawn sparingly watered due to drought conditions
Neglected landscaping requiring replacement
Grease stains on parking/garage space
Caked grease on parking space
Visit our web site www. arbourpm.com Click on NEW and read Chapter One of our new book soon to be published HOUSE INVESTORS’ MANUAL
I will use my blog to wish everyone a happy thanksgiving. I am a blessed man with a super wife, successful children, 8 grandchildren and 1 great grandchild. Our business has been challenged because of our client’s foreclosure problems, but we are doing OK. My wife and I were remarking about the cost of turkeys. We paid .89 a pound. I recognize that we are paying for a lot of bone, but turkey servings per pound is cheap compared to beef or pork. Thanks to everyone who we do business, our tenants, owners, vendors and agents.
One of our biggest headaches is chasing after unpaid utility charges. For some reason tenants that pay their rent on time don’t pay the utilities on time. Water, sewer, and garbage collecting when not included in the rent are major collection problem. We find out about the delinquency when the owner’s property is liened.
Some water companies don’t shut off the water, the just lien the owner. If they would shut off the water then we wouldn’t have this collection problem.
To solve this problem you can apply the unpaid charges against the security deposit, but the problem is that depleting the deposit may cause a shortage for move-out damages.
Another way to solve is to apply funds received from the tenant for rent to charges first and rent last. This way it will cause a delinquency for rent. However, the lease must state this will be the procedure. You can then serve a 3 day pay or quit notice.
Anyone with suggestions on how to handle this problem are welcome.
This message is for investors and renters. A new law will become effective November 1, 2009. It is called the Red Flagg laws.
It requires anyone granting credit or approving credit for services ( E.g. As a property manager approving of a renter for a rental) to have a written I.D. security plan in place.
We are happy to announce that our company has such a plan. We caution you that you ask before divulging private information to anyone by asking if they have such a plan.
Beginning January 2010 the county is requiring that every rental be inspected. They will furnish a checklist and detailed procedure. Everyone other than owners that performs the inspection must be certified. We have been certified. Owners can do their own inspections with out certification. We will have to charge a fee for this service since it is extensive and we must maintain a file. Every year we will have to re-inspect.
The number one reason is that we are working with two opposing interests. One wants service with the lowest possible rent and the other doesn’t want to spend money and wants the highest rent they can get.
If we represented one community, such as a large apartment house, we would have one consistent image to offer our tenants. However, we represent hundreds of owners of different cultures and personalities. We unfortunately offer inconsistent policies to our tenants. What is agreeable to one owner is not agreeable to another.
Some owners want their properties maintained while others if it means spending money rather ignore maintenance.
This makes it very difficult to manage and keep the customers happy. Tenant retention is so important such as offering a gift or dinner out for renewing their lease and paying their rent on time.
Often misunderstood are the people that represent buyers and investors. I started in the real estate business in 1967. Believe it or not as a representative for buyer investors. The buyer agent wasn’t invented yet.
Here is why I started using that strategy. I inherited some money back then and was interested in real estate. I asked people I knew if they could refer me to someone in real estate that would represent my interests. A few were suggested that were active in commercial real estate. However, they represented listings of their own or property they owned. I gave up and decided to enter in the business and find properties for myself. Later I decided to find investors that I would help build their portfolio. It was five years of starvation, but finally I hit it big representing investors and doing syndications acting as the General Partner. I made good money and a loyal clientele.
There were agents of a large commercial firm that would contact me and want to represent me. I told them I didn’t need them, that I represented my clients. This particular firm didn’t cooperative with other brokers and I reminded them that they would not get cooperation from me. I wrote a letter to their management and told them don’t send you people here anymore until you cooperate with your colleaques.
These agents would then go direct to my clients and try and get their business, but were told by their gate keepers that I was their representative and to contact me. That is an indication of arrival as an expert in the business.
The firm I mentioned today is cooperating in the business. Perhaps, it was
due to my scolding and others that changed their thinking.
My book HOUSE INVESTORS’ MANUAL will be published soon and has mention of this story and my firm recommendation not to buy real estate without representation. Reserve your copy at www.arbourpm.com click on new.
Don’t let $50 or even $100 stand in the way of making a rent deal. I have seen owners hold out for months for an extra $50 or $100. Don’t fight the market – you will lose. ($50 x 12 = $600) or $100 x 12 = $1200) What are you losing monthly by not renting now – ($1200?) ($1300?) ($1400?) per month if it stays vacant. Better to live with the market conditions and get some cash flowing now. When markets improve than you may be able to get the additional $50 or $100 per month. Recently we had a duplex with both sides vacant 4 months. We kept asking the owner to lower the rent. He reluctantly did, but in small amounts. After the 4th month we asked him to reduce the rent to what we thought might work. He agreed and the phone rang off the hook. We rented both sides to different tenants the same week.
