Being in the property management industry can definitely have its fair share of horror stories. Since starting Envy Property Management in 2015, we certainly haven’t been exempt from our own book of stories that will be told for years to come. Today I want to share with you our top 3 property management horror stories.
#1: The Unannounced Landlord
One of the first properties we signed on was a takeover from another management company. During management with the previous management company, the property owner was considering selling the home. During this process, he contacted his property manager and asked if they would coordinate with the tenants so he and his realtor could tour the duplex to get a better understanding of what their asking price could be.
The property manager coordinated a day and time and then gave the owner and the realtor keys to let themselves inside. The pair knocked on the tenant’s door and after no one answered, they proceeded to enter the home, only to be swiftly kicked out by the tenant who was currently in the shower.
All parties involved were embarrassed and horrified. The owner ultimately decided not to sell the property but quickly called Envy Property Management to take over management moving forward.
In this scenario, the management company should have properly notified the tenants of the day and time frame someone would be entering the premises. The notice should have been clearly posted on the door of the home with all the information necessary to enter the property legally. Secondly, the management company should never hand out keys to anyone to enter the property unaccompanied. Someone from the management company should always escort any individuals regardless of their interest in the home.
#2: The MIA Management Company
Another unfortunate property management horror story happened several years ago when Envy Property Management started getting several frantic phone calls from property owners stating that their management company had stopped paying them their monthly rent distributions. Many of these property owners were out of state and even out of the country and unable to track down anyone from their management company to find out what was going on. Come to find out, their management company not only took off with several months of their rental income, but they also took off with the tenants’ security deposits as well. The management company was nowhere to be found and no one was able to get in contact with them. They were completely off the grid. These poor property owners were not only without their rent distributions for months but they were also stuck holding the bill for funding their tenants’ security deposits as well.
This is a perfect example of “you get what you pay for.” Many rental property owners will shop management companies purely based on who is the cheapest. This may seem the best option at first but in reality, there’s definitely a reason they’re pushing their “inexpensive” rates. Don’t get suckered into hiring a management company based on their fees alone, do your due diligence and make sure you research the company you are hiring to manage your asset.
#3: The Drug House
My fondest horror story of being a bad DIY Landlord happened to myself when my husband and I purchased our first investment property in Idaho about 20 years ago, it was a 1970’s single-wide trailer. Being new DIY landlords and completely uneducated in the industry, we did the ultimate sin and did not screen our new tenants, we just let them move on in. These new tenants stayed for about 6 months and then suddenly quit paying rent. After months of back and forth, we ultimately were able to evict them but not after hours of time wasted, multiple trips to Idaho, and having to go to court to recoup our lost rent.
That wasn’t the best part though, once these tenants were finally out of the home we went over there to assess the damages, which were pretty extensive. But the best and most memorable part of this experience was, they left us a huge surprise in the backyard…..a nice big marijuana plant. Not only were we out our months of rental income, but now we had to call the police and have it legally removed by the drug task force.
While there are hundreds of rental property horror stories out there, they don’t need to be a part of your storybook too. Leave the dirty work to a professional like Envy Property Management, we have years of experience and can take the headaches of being a landlord out of your hands. Please contact us today at Envy Property Management. We are a wealth of information when it comes to professional property management of your investment. You can always ask us for valuable tips and extra resources to make the choice simple and painless. Give us a call today, 801-337-4337 or visit our website at envypm.com where you can easily view our three-tiered pricing plan, so you can choose the package that best fits you and your needs.