Property Mangement VS Property Maintenance CO
I am dealing with a company..well actually getting ready to deal with them. He says they are a property Maintenance company, and not a property management company. "There is a difference" he told me
That difference is his company charges $65 per property a month instead of going by percentages. And bills monthly for any repair costs.
Does this sound legit? I've never heard of a Property Maintenance company before.
JB
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I would expect a Property Maintenance Company to provide the following:Building Janitorial Service
Debris Removal
Garbage Collection
Landscaping
Lawn Mowing
Parking Lot Repairs
Parking Lot Sweeping
Snow Removal
Utility Maintenance & Repairs
Window WashingI would NOT expect a Property Maintenace Company to accomplish any tenant services such as advertising a vacancy, screening tenants, leasing units, collecting rents, etc.
That's a little strange then....
Supposedly these guys are a "one stop shop" so they say, they're business card says "Rehabing Jacksonville for Jesus"...no comment here
But they seem like a decent bunch. They wholesale properties, do the rehabing, and are a "property maintenance company" They have some decent deals, I'm sure the rehab is a little exxaggerated (since they do it themselves), but they gaurantee their work for 3 years (major repairs), by that time I would be looking to resell (I think, still a little new to the rehab/section 8 rental biz.
I think I'm going to try them out....but if I have any problems...here's my next question:
Can I fire them and hire a "Management Company" if need be? Or do you usually sign on a Management company like a lease (12 months ata time) ?
It's obvious I haven't shopped around...but since I am going to be doing a lot of business with them, I might end up using their Property Maintenance services that are the same as a Property Management company, only they have a set fee per house.
JB
My limited experience with management companies is that their initial contracts are good for 90 days, and then it's a month to month agreement. Hope it helps - Z
Sounds a little strange. Is that $65 a unit or is it $65 per house and if so what is it that they do? They also bill for all work done and the work is done by themselves? May be an attempt to get around the necessity of having a Real Estate License.
I always worry about dealing with people who include Jesus on their business card. Years ago I ran into one kooky soul whose hand letter business card announced "The Devil and God are all in the pod. It's me Davey that does the work.
Interesting man. Could not give me a reason as to why there is a weir in a toilet and why the water swirls in the direction it does. But he was blessed.
Cheers Lucius 8-) 8-)
It's 65 per house, and he says they do the same as a management company, he told me the only difference is they charge a flat fee.
I don't know...I'm supposed to call him on Sunday, I'll find out EXACTLY what their Property Maintenance Service offers
....Stay Tuned
JB
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Maybe it's just me, but I'm totally confused. First you mention that the company specifically says a maintenance company is different from a management company, and then you later mention that they say they do the same thing. I would get all the details on exactly what they are doing for this $65 fee. If you have to pay the $65 for some maintenance, then pay repairs, then pay someone else to do the actual business/management end, that doesn't sound too good. I think Lufos may be on to something with his suggestion that they may possibly be trying to get around the need for a RE license.
Why must a property manager have a r/e license? Anyway, the 65 bucks is awfully close to the more or less 7% many property managers would charge for most run of the mill, $1000 a month rentals, so where is the saving? Z
Quote:
On 2004-03-20 14:10, Zach wrote:
Why must a property manager have a r/e license? Anyway, the 65 bucks is awfully close to the more or less 7% many property managers would charge for most run of the mill, $1000 a month rentals, so where is the saving? Z
Well the rates are different also dependant upon how many properties you own with normal Management comapanies, usually if you have 2 or 3 properties they may charge up to 10%, 11%, even 12%.
I will have 8 total by the end of April...if all goes through as it is supposed to.
which just brings to mind my next question...which i'll post in a separate topic.
I am guessing his incentive is "hey, no matter how many properties you have if you let us manage it it wil be $65 a month per property".
You guys could be exactly right, they could just be trying to hide from a real estate license. I definately have some questions for him tomorrow when I speak to him.
JB
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Quote:Why must a property manager have a r/e license? It's usually part of the state law covering real estate licensing. Property management is one of those real estate activities governed by the real estate licensing requirements.
Quote:Well the rates are different also dependant upon how many properties you own with normal Management comapanies, usually if you have 2 or 3 properties they may charge up to 10%, 11%, even 12%. With multiple properties, I demand a discount for the second and subsequent properties. With eight properties, you should have quite a bit of leverage in negotiating some discount from the basic rate.