Buying, selling and operating apartments in Portland

Tenant Engagement Considerations

27 June 2019
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A local attorney, Jeffrey Bennett of Warren Allen, has 20+ years of experience in dealing with tenant and landlord issues in Portland.

He’s written a very useful article on the subject you can download at the link below (right-click to save):

 

<<<Winning Court Strategies_Jun19>>>

 

Whether you’re an owner or manager this article is very useful.  Jeff goes over basics like:

  1. Forms and the need to keep current

  2. Delivery options and timelines

  3. 30-/90-day notices

  4. Filling in forms correctly

  5. For cause notices

  6. Charges, late and partial payments

  7. Preventing mistakes and giving yourself the best case

  8. Deposits, charges and dealing with tenant requests

 

I assure you it’ll be the best (not being over-dramatic) 30 minutes of your time invested in your apartments.

The environment for landlords was difficult and new rules don’t make it easier.  Being knowledgeable is a minimum requirement for successful landlords today.

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An unsolicited (or any) Offer – How do I rank/evaluate it?

27 July 2017
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Unsolicited offers sometimes work out for a seller.  However, what can you ask yourself to rate if it is a GOOD and SOLID offer worth your time to proceed?  Here are some questions to ask yourself, in order:

  1. PRICING – A breath-taking price may be not that high if you haven’t done an analysis on your property lately.  In 2013, the average sale was $88,934/unit in 2017 YTD = $161,131/unit or a 16% per year increase.  While we don’t anticipate this continuing, do a valuation / financial analysis.  Actively marketing the property will get you the best price 99% of the time – Unsolicited offers are seeking opportunities.
  2. EARNEST MONEY – CASH OR NOTE?  If you accept a note, a buyer may be able to tie your property up until closing with no cash out of their pocket.  Worse, they may be able to tie up multiple properties (as in a 1031 search) this way.  Without his cash at risk, the buyer loses a lot of motivation to negotiate with a seller. 
  3. EXPOSURE/RESUME – Has the buyer seen your property?  Does he own property in town?  Does he have a financing reference?
  4. WHEREWITHAL – Is the buyer willing to show proof of funds for a down payment?  If he is expecting to get a property for less than 25% down (or a LTV > 75%) that is probably unrealistic.
  5. NEGOTIATION – Assume the first number is not the best offer from a buyer on an unsolicited offer.  It may be a good test to see how they react to a counter.

We can do a very thorough financial analysis on your property which will point out how to increase your Net Operating Income.  We compare your rents and expenses to neighboring properties to address your priorities.  In addition, we provide a valuation with comparable sales to correlate value.  eMail me if you’d like a sample report to examine.


Chronicle of an Apartment Foreclosure

24 September 2010
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Since I get asked about foreclosures, I thought I’d go to one and give a few observations. (more…)