Initial review and action plan

When it comes to rental property, time in fact does equal money.

When Eight Wards Management takes over a property the first step is a systematic review of the property and discussion with the owner.  The goal is fully understand the owner’s needs and objectives and to identify all problems and opportunities for improvement.   We always prefer to do a property walk through with an owner, but for owners who are busy or out of the area we will perform onsite evaluation without them.  We also review all leases, occupancy permits, rental licenses, and other relevant documents.  We will also review the property’s tax records, mortgage, and financial records to the extent that the owner wishes us to do so.

After this systematic review recommendations are made to the owner and a formal action plan is put into place.  In property management time is money.  A comprehensive action plan ensures that all issues can be addressed quickly with multiple issues getting addressed simultaneously.  Whether we are dealing with a single condo or a multiunit rental building we use a systematic approach to answer all of the following questions where relevant.

  • Is each apartment in rentable condition?
  • Do we have keys to all of the units?  If not how can we get keys to all of the apartments?
  • Is there any commercial space in the building and what is its status?
  • Is any cleaning needed?
  • Is any landscaping needed?
  • What repairs need to be made?
  • What contractors / trade skills will be needed to address all repairs?
  • Are there any emergency repairs that need to be made?
  • Are there any dangerous or high liability issues that need to be addressed?
  • Do any locks need to be changed because of outstanding security issues?
  • How old is the roof?  Is there a concern with the roof?
  • Are there any outstanding code violations?
  • Are there any vacancies?
  • Are all of the rented units being rented at full market value?  If not, why not?
  • Are there any tenant issues that need to be addressed?
  • Is there any back rent owed?
  • Are there tenants that need to be evicted?
  • Are there other legal issues that need to be addressed?
  • Has everyone paid a security deposit?
  • Can all of the security deposits be accounted for?  Where are the security deposits being held and who has access to them?
  • Are all of the leases legal and appropriate?
  • Do all of the leases have all of the proper language to protect the landlord?
  • Do we have correct and updated contact information for all of the tenants?
  • Do we have tenant social security numbers, driver’s license numbers, and other information that would useful if collection services and skip tracing is needed?
  • What is the best way to market the units?  Should upgrades or changes to the floor plan be made to increase rent?
  • Does the building have a current occupancy permit?  Is the occupancy permit displayed as required?
  • Are all necessary business licenses and other documents in order?
  • What utilities need to get paid?
  • What taxes need to be paid?  Are back taxes owed?
  • Is there a need to refinance or other financial issues?
  • What is the parking situation for the unit or building?
  • Are there additional revenue opportunities?  Coin operated washer and dryers?  Renting parking?  Etc.
  • What are the client’s short and long term objectives?
  • Does the owner wish to use any portion of the property for personal use or to rent to a friend or family member?
  • Does the owner have any interests or objectives other then maximizing the long term financial value of the property?
  • Does the owner have any special needs?