Home > Blogs > Todd Clark - Retired > Expect More

Being an investor and being nice, don’t always work well together

By Todd Clark - Retired

Real Estate Agent with eXp Realty LLC 200311024

January 25, 2009 05:07 AM

For the past couple years I've had an investor that I have been working with and he is one of the kindest people that I've ever met. However, I've always been concerned about him because he always was so trusting of people and never would press his tenants when it came to contract breeches.

Well, today I found out that he has to file bankruptcy because he hasn't been receiving rent for over 4 months on one unit and 5 months on another. One of the people he has been trying to get out of his unit the whole time and the other was a family and as he put it, "I just don't have the heart to put them out on the street."

Well, now he may be losing his own home because he can't get these people to pay the rent on these properties. I hope I am wrong and he is able to recover once he gets these people out, but why should he lose his life and credit because other people abused his trust?

I hate to see such a kind person lose faith in mankind, but over the last couple months, I've seen one of the happiest and most giving people I know become depressed and I am slowly seeing his outlook on life changing because of these two renters.

Please, if you own properties and you are a kind soul that just has a hard time when people give you a story, I suggest you hire a property management company to manage your properties or you could find yourself in a situation like this one.

I'm not a property manager, but I do see the value in them if you are a kind soul. I don't want to see a kind soul turn dark because of another person's abuse of your kindness.

Comments(13)

Comment

Show All Comments

Sort:

Michael A. Caruso

Surterre Properties - Laguna Niguel, CA

Hi Todd,

Isn't it too bad that being nice alone doesn't cut it!

Michael

Jan 25, 2009 05:17 AM

Stephen Kappre

KW Hometown - Mantua, NJ

Helping You Home

I don't have a property manager on my one investmenet property, but I can FULLY understand the importance of one. I do plan to get one in the future when the cash flow is a little higher on the place.

Jan 25, 2009 05:23 AM

Bill Gillhespy

16 Sunview Blvd - Fort Myers Beach, FL

Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos

Hi Todd, I could tell you a very scary story of an owner and how he would confront the renter, show them the biggest gun I've ever seen and remind them that he will be back on the first of the month !

Jan 25, 2009 05:37 AM

Russ Ravary ~ Metro Detroit Realtor call (248) 310-6239

Real Estate One - Commerce, MI

Michigan homes for sale ~ yesmyrealtor@gmail.com

One of the soundest pieces of advice was from a property manager that owned millions of dollars of investment properties. He told me that you had to treat renters as a business not as friends.

Jan 25, 2009 05:41 AM

Patricia Kennedy

RLAH@properties - Washington, DC

Home in the Capital

Todd, those people are committing outright landlord abuse! I wonder if they understand the consequences of that they are doing, and how it is impacting their landlord.

Jan 25, 2009 06:26 AM

Paul S. Henderson, REALTOR®, CRS

Fathom Realty Washington LLC - Tacoma, WA

South Puget Sound Washington Agent/Broker!

Todd, I hired a property management company because I wanted the freedom. I only have to call if I see something I don't like. I get a report once a month and I have a real bull dog to do the dirty work...

Jan 25, 2009 06:57 AM

Barbara S. Duncan

RE/MAX Advantage - Searcy, AR

GRI, e-PRO, Executive Broker, Searcy AR

He is too kind to be a landlord but it also sounds as if he is not wealthy enough to be an investor if these two incidents are pushing him into bankruptcy. People who depend on renters to make their rental property payments and who can't go a few months without the rent need to back off some. There may be more to the story than you've been told.

Jan 25, 2009 07:34 AM

Fran Gaspari

Patriot Land Transfer, Inc. - Limerick, PA

"The Title Man" - Title Insurance - PA & NJ

TC,

We'll probably see more of this kind of story...But you're right...A property management expert is certainly a valuable service!!! Thanks, Fran

Jan 25, 2009 10:49 AM

Gwenn Tanvas

NEXA Mortgage LLC an Equal Housing Lender NMLS # 1660690 - Appleton, WI

The Mortgage Gal, 920.267.7891~ SMART - INNOVATIVE

Todd - I sure hope things work out for him. I just hate to hear these stories, however they are becoming more common. Let us all dig in and support change. Thanks for the post Todd.

Jan 25, 2009 10:59 AM

Monica Bourgeau

Portland, OR

Business Coaching

That's an unfortunate situation and definitely an example of someone who NEEDS a property manager to handle their rentals. It's good to be nice but not when it's to your detriment.

Jan 25, 2009 02:22 PM

Bruce Brockmeier

Internet Marketing Consultant to REALTORS® - Yorba Linda, CA

Coached By Crouch

Sorry to hear this. How sad.

Jan 25, 2009 04:49 PM

c m

Colorado Springs, CO

You could be talking about my dad, (except for the going into bankruptcy part). He is forever being taken advantage of, because he can't stand the thought of a family with no place to live. I tease him that he has "sucker" stamped on his forehead, but I know he is just too kind hearted, Fortunately his properties are paid off.

Jan 27, 2009 03:02 PM

Tom Priester

Paradise Sharks - Jupiter, FL

Paradise Sharks

Todd, always enjoy your statistics and the beautiful presentation. Thank you for sharing and hope all is well up in Beaverton.

Jul 08, 2010 10:25 PM

Being an investor and being nice, don’t always work well together

Comments(13)

Todd Clark - Retired

Service Areas

Real Estate Resources

Recent Posts

Additional Information