I’m thinking of investing in property in the US and was wanting to hear of anyone’s experiences of property management there, esp from the point of view of the overseas investor as weare base in Australia. I’ve heard some horror stories.
Thanks
CarolineProperty management is a major problem. It depends on where you are looking to invest. I am currently in the process of helping to organise property managent in both San Antonio and Indiana. I will be conducting a course on hour to buy in the United States based in Texas in the next few months.
Nigel Kibel
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Nigel and I have been talking about this quite a bit and I believe this is a major consideration. I’d always take the time to get several references from them and do some serious research on their reputation, services and pricing. One of the biggest things you can do to help yourself is to bring several investors in with you and have enough properties to bring to them to have some leverage. If they screw with you, they screw with everyone and lose it all. In that way, Nigel would be good to talk with on the subject and could help to get you connected in the states and get going.
Good luck!
Derek Guyer
http://www.landchasers.comI actually traveled to Buffalo and found a great deal with excellant tenants, but everything else has been a real nightmare – banks, attorney, furnace and PM. I'm considering firing my PM, but don't know who else to get to manage it. May even sell or try and get tenants to buy it. Basically the PM has 2.5 months rent and won't answer my calls. I even had reference from another Aussie investor.
I'm not planning on any more deals in WNY, and will now only do deals through the Aussie guys that are finding deals in Texas. Cheaper to buy through them than travel for each deal and they have PM's to work with.best of luck
Todd
I've been living in L.A for the last 19 months, and I haven't seen a r/e agency yet that offers property management. They seem to be two totally different animals here; sales and management, and the management companies I have seen seem to be only interested in apartment buildings – not single family dwellings.
I know a fairly successful investor here (worth a few mill) and he never buys outside 30 mins from home and manages his properties himself. He is constantly pulling his hair out and staving off a heart attack due to the stress of managing everthing. No thanks; I love my PM's back home; emailed statements and rent in the bank.
On a side issue, and again from what I've seen, I wouldn't be buying over here without coming out to have a look around first. The system here is different from ours in Aus, there seems to be more involved, there is property tax and management is hard to find at the "entry level" (single family dwellings).
My advice as an outside observer who hasn't bought anything here; invest at home. The grass is never greener.
There are plenty of opportunities in Aus, and less headaches.
Hi Todd and all,
I have a 5 properties in Buffalo that are currently managed by DASA.I did have 3 of them managed by another property manager there but that was a nightmare.He was hard to contact,his statements for each month were of a standard that a 10 year old would do.Due to these and other issues we dispensed with him asap.DASA is primarily a property management company that charge 10% per month to manage your property.On top of this they offer a service to pay all your accounts ie taxes,water,garbage etc for a further $20 per property.Within the company they have a maintenance section and some of the repairs to your properties are done by them.The statements they provide you each month are good and easy to track.I would recommend to those using any property management service to have independant repair contractors (ie plumbers,handyman etc)to get second or even 3 quotes.I would limit any repairs without your approval to $100.To successfully invest in Buffalo you definately need good property management and be aware +++++++ that this investment is not a buy and forget as I initially thought it would be.It is quite active and I would say I would be on the phone to the States at least 1-2 week for past 18 months.Only to happy to answer any questions posed out there.
Regards Martindelt wrote:I actually traveled to Buffalo and found a great deal with excellant tenants, but everything else has been a real nightmare – banks, attorney, furnace and PM. I'm considering firing my PM, but don't know who else to get to manage it. May even sell or try and get tenants to buy it. Basically the PM has 2.5 months rent and won't answer my calls. I even had reference from another Aussie investor.
I'm not planning on any more deals in WNY, and will now only do deals through the Aussie guys that are finding deals in Texas. Cheaper to buy through them than travel for each deal and they have PM's to work with.best of luck
Todd
Hi Todd
Who are the aussie guys finding deals in Texas??
Kind regards
AnnetteWho are the aussie guys finding deals in Texas?
Kind regards
AnnetteHi Annette,
I am looking for multi-family property in Houston and my preliminary discussion with various PM have been quite positive. Happy to share my experience with you. That said, I ditto all other comments by other people on this post as the system in US is completely different from Australia and if you are looking to be hands off, I suggest you stay away from US completely. However, if you don't mind the long-distance calls, then give it a shot.
Cheers
John SoHi Todd
I can recommend the property manager I use for my property in Niagara Falls. They are my third manager, the other 2 being crooks. I have been with them for over 18 months and they are great.
Rosato Management Services Inc.
http://www.rosatomanagement.comThey do charge above average rates per month, but it is worth it.
RichardRichard
How have you found investing in the New York market? In your earlier post you recommended against it but have property in Niagara Falls. Did you have a bad experience with your current investment/property mgmt etc?I bought in Jamestown and have found it to be ok so far. While unemployment is higher than normal and property taxes are obscene in NY State, it seems to be very well yielding?
Interested to hear your thoughts. I am also quiet keen to invest in Austin, Dallas or Houston so if you could post about your experience here that would be great.
JoshJosh
Although I do have my property in Niagara Falls, it is not an area I recommend. To be honest my properties in Indianapolis and Texas are much better investments (higher net returns). The property in Niagara is built around 1910 and requires a lot of maintenance. Up until now the tenant who is through Section 8 has been pretty good, but in the last few weeks has stopped paying their rent. The government leased housing has recently reduced their portion of the rent payment and I think the tenant is struggling. The eviction is in the process of happening. My property manager has been fantastic.When I bought it looked great as I only paid $28,500 and the rent was $500 per month. But after you take out the maintenance and expenses the net is closer to $200 per month and I it needs a new furnace for $2000!
As far as Texas goes it is very stable. My properties require very little maintenance and just tick along each month. Finding tenants was very quick and they have stayed long term.
RichardCaroline
If you are looking to purchase in the Kansas City, MO area then have a chat with my dad, Peter. He owns the Real Property Management company there. The website is http://www.liveherekc.com
Tell him Daniel sent you, he’s a great guy. Australian also by the way and has Investment properties available already renovated and rented ready to go for Australian investors, thats just if you were looking for investments at the same time.
If you have any questions just let me know,
Blessings,
Daniel
[email protected]
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