Do property management places charge way more money to remodel a vacancy?
I hired a management company to deal with getting my old house ready to rent so I wouldn't have to be bothered. I just about fell over when they gave me the estimate of what their handymen would charge. The place does need a lot of work, but I couldn't believe it would cost $25,000.00. I asked if they had any others to send to give estimates & they said no. So, I started interviewing others myself. I now am having the work done & even more work done than the management place handymen were going to do. It's going to cost between $10,000 to $11,000.00. Big difference in prices!!! Do property management companies do this & get themselves a big kick back? I would have paid out $15,000.00 more & the work wouldn't have even been done. Now it will be done inside & outside as it needs to be. I wish now I hadn't hired this management company, but now I stuck with them until next August. I shouldn't have been the one having to find someone. It caused me to miss work & stressed me out.
- babyboomer1001Lv 710 months agoFavorite Answer
Assigning them that job was giving them a free ticket to write them their own check. There was way too much room for abuse. It was wise to basically tell them to drop dead. I would never trust them after that - fire them. It's always better to decide what you want done and get the estimates yourself. It was far too easy for them to work out a deal with someone they know. They do the work, bill you $25k and give the pm co a cash thank you, for $10k or $11k of work.Source(s): Done a LOT of renovation and additions in homes.
- Anonymous10 months ago
You sound like a cheesy slumlord. I'm sure you'll have no problem whatsoever overcharging for rent. Look in the fckin mirror and suck it up buttercup.
- Anonymous10 months ago
One thing you didn't mention is how carefully you checked out this management company. Thanks to the internet and services like yelp and amy's list, online reviews make all the difference. I would never give someone this kind of control over my home without very carefully vettting them. This doesn't just mean the reviews, you also want to "review the reviewer". If they have loads of reviews, this is different from a person who has one review and it's a glowing one for this mngmt company.
Also, did you ask local realtors? Most of them have dealings with local managment co's and this could have been a good source of info.
- JudithLv 710 months ago
Before I began living in an apartment complex, I lived in converted apartments in old houses. The owners were the landlords and they did ALL the work except for plumbers and electricians. They had day jobs and did whatever work needed to be done in the evenings and on week-ends which included lawn care and snow removal.
I guess if you want an income from property and you don't want to do the work yourself, you are just going to have to trust those you hire to do it for you - but I sure do hope you do a good job of vetting else what's the point?
Maybe you shouldn't be in the rental business at this point in your life if you can't trust the people you hire to do what you want them to do at the price you want them to do it. If you aren't going to do the actual work yourself, you should still be closely monitoring the people you hire.
It would seem that the house wasn't up to code and they found more problems as they went along. It happens. Just watch all those fixer upper programs on HGTV and DIY network. Some pretty costly unforeseen problems crop up all the time; e.g. foundation issues, plumbing, replacement of floor joists and floors, roofing, etc.
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- StephenWeinsteinLv 710 months ago
No, it will be done inside & outside as you think it needs to be. You don't know all of the laws, so you don't know how it really needs to be. Because you have it remodeled how you think it needs to be, instead of how the law requires, you may end up paying $25,000 in fines or having to get it remodeled a second time.
- LollyLv 710 months ago
It sounds as if you should have hired a project manager (construction background), not a property manager (leasing and accounting background).
- D.E.B.S.Lv 710 months ago
Some people aren't honest. Some people are lazy especially when it's not their money they're spending.
I would be looking for a new management company. Who knows where else you're getting screwed.
- linkus86Lv 710 months ago
Not necessarily. You should understand you are still free to hire people on your own to prep your property for new tenants, taking away the responsibility from the property management company, you just can't pay them less when you do. And if you do demand them to take care of it, the property management should be showing you proof of the costs of maintenance, not just a final (padded) bill.
- Anonymous10 months ago
All companies are in business for profit.
- 10 months ago
Of course it is possible that there were kickbacks but it is more likely that the contractors padded their bids because the work was poorly specified. If a contractor does not know exactly what 'update the kitchen' means, he will bid as if the entire thing needs to be replaced.
He may also be charging you for his time supervising the work but I agree, that is not going to be $15,000.