Managing a 3-family rental

I own a 3 family brownstone and live in one of the units. I’m planning on moving out of NYC in the next 1-2 years and renting out my unit. How do people manage oversight of small properties when they do not live locally? The building is well maintained, but, of course, needs the usual odd repair, plumbing attention, trash and recycling, snow removal, etc. that I now handle or call someone for. Are there property managers who specialize in this type of work and what is the typical cost? Is there another way to do it?

LisaFG

in General Discussion 6 years and 4 months ago

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BKALLDAY | 6 years and 3 months ago

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We used to use Bluestone. Not sure if they are around anymore. You are going to get hosed so be prepared to lay out cash. Someone mentioned seeing if a local super would want to take it on. Offer then a retainer and then see about setting up an agreement for he or she to take on the small repairs. You pay for tools, fixtures, etc and if something major is needed then he or she could be your eyes and ears.

pflzqotxisfuiqp | 6 years and 4 months ago

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Silver Brick Management does trash, snow and leaf removal and cleans hallways in Carroll Gardens, Cobble Hill, Park Slope and Boerem Hill. They may be a good option for you if you have your tenants pay rent directly to you. https://silverbrickmanagement.com

diegogiocoli

in General Discussion 6 years and 4 months ago

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We specialize in the managment of smalll to mid-size residteial properties in Brooklyn. We are full service firm that can customize our service package to fit your needs. We are also a real estate brokerage. Please visit our website to learn more and feel free to give me a call or send me an email if you would like to discuss your specific property management needs. www.brennanrealestate.com
917-568-6525 donald@brennanre.com

Augustiner | 6 years and 4 months ago

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you can piece it together,
– collect rent by electronic ACH service such as erentpayment.com
– use a trash and snow removal service such as myfootsoldiers.com
– find a handyman or a super in the neighborhood for small repairs
– have a connection to a plumber that you can call, or gather some numbers of emergency plumbers

If you are moving for longer, be aware that you are losing your 250k / 500k tax exemption for your primary home if you sell it in a couple of years.

primebrooklyn | 6 years and 4 months ago

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I’m a Brooklyn based property manager and a broker. My understanding is that in order to collect rent/common charges/ maintenance on behalf of multiple owners you need to have a brokers license in NYS. If you’re lucky enough to have a long term relationship with someone who can handle all the day to day maintenance requests as well as supervise larger projects and then collect all your rent electronically then you don’t need anything other than someone to also rent our your units for you when they become vacant.
When I started managing it was a “side gig” but as I picked up more buildings it’s become a more full time endeavor and I now have at my disposal an arsenal of painters, carpenters, floor guys, snow shovelers, attorneys….you name it, that I can call or email and they know who they are dealing with and will respond right away.
I actually prefer to manager smaller buildings (less than 4 families) because I prefer to know all my tenants personally and quite often my interests in finding a great tenant align with my owners because neither of us want any issues o nce that tenant has signed a lease and I’m going to be dealing with whomever moves in for the next 12 months. I , honestly, hope to almost never hear from the tenants once they are in my buildings but there are always things that break (inevitably on a holiday weekend in December!) and this is when having great relationships with tenants and my team comes in handy. I’ve worked with rentals my whole career as a broker, almost 14 years, so I know how to price effectively which allows for less turnover. I don’t count on the rentals from my buildings to give me a huge income throughout the year. Sales are where the real money is. With a broker I feel like you have the advantage of someone who is current on all fair housing laws and regulations regarding rentals and who is active in the market so they can price units effectively in current markets. Some owners have the luxury of coming back to the area and checking in with the properties over time as well as being accessible to their tenants by phone and email when they are not present. To me that doesn’t apply to a lot of absentee owners who are moving on to a new stage in their lives outside NYC and they want to retain the property but want to transfer to day to day headaches to someone else. I think paying for that piece of mind is worth it.

slopefarm | 6 years and 4 months ago

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If there is a larger building on your block with a super, the super might be willing to take on an extra gig for some cash.

resident2 | 6 years and 4 months ago

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As an owner of a 3 family; a multiple dwelling as per HPD you need a NYC resident managing agent registered.
That said I have found, rather than a “Managing Agent” , I use a maintenance manager. I have been lucky to have a handy man who has done work for me for 20+ years take on this role. I manage the buildings, the tenants do not even know I am out of the area.
Tenants email me for repairs, maintenance issues, my maintenance manager supervises the cleaning & garbage guys, he makes the repairs & handles plumbing inspections etc. I make trips to NY at least every 3 months or so and make visits to all the buildings to make tenants aware I am still around & on top of things.
My maintenance manager gets paid for work performed & I give him a good Christmas bonus every year.
A 3 family does not fit in to a management companies program. They want live in supers etc with building staff. Management companies that say they manage 3 families are generally Brokers (with a side gig) that want the rent commissions as well as a monthly fee, so you will often find tenants with high turn over. (To make more commissions!) Most of these have no clue about maintenance or repairs.

deva | 6 years and 4 months ago

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I found it very hard to find an effective model. I did look for property managers but I found that they charge a pretty penny and mostly do super basic things and rent collection. So I found the most effective way is to have tenant send the money electronically, getting a neighbor to take out trash and remove snow (I pay $300/month) and for all major repairs I just send people I know or someone i find as a referral. After many years that seems that only model that seems most effective.