CRI PROPERTIES is a full-service real estate company specializing in property management services. We handle all aspects of the management of your investment, including:
- Tenant Screening
- Maintenance and Repair Coordination
- Rent Collection
Our objective is to provide the highest level of property management service available, the level of service we expect to receive with our own investments.
PROPERTY MANAGEMENT FEE STRUCTURE
There are two fees charged to our Landlords for property management services. The first is a property management fee. This fee compensates the Firm for providing property management services – collecting rents, responding to service requests, answering other tenant requests, coordinating maintenance or other necessary services and conducting inspections as necessary. All our property management fees are negotiable based upon the monthly rental rate. Generally, 10% of the monthly rent will be charged as the monthly property management fee for homes that rent for up to $900/month. Homes that command a higher monthly rental rate may receive a discounted property management fee. Discounted fees may also be offered to Landlords with more than one property under management.
The second fee is a leasing commission. This fee is charged once per lease transaction. Because we advertise our homes in the Multiple Listing Service, we offer compensation to agents who procure an applicant that qualifies and rents your home. Whenever the home is rented, we will collect a leasing fee of 25% of one month’s rent (this fee is deducted from the first full month of rent), which we use to compensate the agent who procured your tenant.
CRI Properties will coordinate the marketing of your investment property to prospective tenants. Each time the property becomes available, we will conduct a review of current comparable rental homes to ensure accurate pricing, notify you that your home will be actively listed for rent, activate your home for rent in the Multiple Listing Service, place a “for rent” sign on site, place a key box on the door to allow access by local real estate agents, and advertise in the following media: Multiple Listing Service, Company Website, National Real Estate advertising sites (Homes.com, Zillow, and a host of others). There are no additional advertising or marketing charges.
If you would like, our CRI Properties staff will coordinate and schedule maintenance and repair services. You can always choose your own repair personnel, or you can allow our staff to help you. When repairs are complete, you will receive copies of all invoices along with your monthly statement.
CRI Properties documents all inspections performed at your property (we do not document intermittent drive-by inspections). All documented inspections can be shared with our Owners. We conduct the following scheduled inspections:
- Initial Inspections will be done at the time the property is placed under management. If repairs or cleaning are necessary to make the unit rent-ready, they must be completed prior to occupancy. Our initial inspection documents the condition of the property when it entered management. It will include an inventory of all appliances (make/model number) and any fixtures that are part of the property. It will also thoroughly document the condition of the property interior and exterior. Carpets must be professionally cleaned, and woodburning fireplaces professionally inspected and cleaned if necessary. If pets were in the home, a professional flea spray must be completed. Tenants are provided an opportunity to complete a move-in inspection form and return it to our office within 7 days of occupancy. This form will be kept on file along with our initial inspection to be used as a baseline for determining tenant charges for damages at the end of the lease.
- Intermittent Drive-By Inspections are performed during the tenant’s lease term to ensure that the property is properly cared for and no unreported maintenance issues are present. If the property appears not to be well maintained or we note unauthorized pets, excessive vehicles or other problems, we will schedule a full inspection.
- Annual Inspections Prior to Lease Renewals or Extensions will be completed to document the condition of the home before renewing of extending the occupant’s lease. Owners will be contacted about the results of these inspections and advised of current rental market values to help decide whether to renew or extend any existing lease.
- Move-Out Inspections are scheduled at the time each tenant is ready to leave and return possession of the unit to us. We will also collect all applicable receipts for carpet cleaning, flea treatment, and chimney cleaning at that time. The move-out inspection will be compared to our initial inspection and the tenants’ own inspection. Any damages exceeding normal wear and tear will be noted. If these damages are the result of the tenant’s willful damage or neglect, the tenant will be charged the cost of the repair less any applicable depreciation. If there are repairs that should be accomplished at the Landlord’s expense because they are a result of ordinary wear and tear or other events not caused by the tenant (storm repairs, landscaping, pressure washing, painting, flooring or appliance replacement), for example, we will provide recommendations and estimates to complete these items.
The first month your tenant moves in, the rent will be prorated on a 30-day basis and the tenant will be charged the actual number of days of occupancy. Each subsequent month, the rents will be due on the first of each month and will be considered on time if paid by close of business on the 6th day of the month. Two events apply when we receive a late rent payment. The first is a late fee, equal to five percent (5%) of the monthly rent payment will be charged in addition to the scheduled rent payment. Second, we will not accept personal funds for late payments. This ensures we can process the payment quickly to ensure you have quick access to monthly rent proceeds.
DISBURSEMENT OF RENTAL PROCEEDS
When we receive your tenant’s rent payment, we will process the payment, deducting management fees and commissions and paying any outstanding bills in your account. If we receive your tenant’s rent payment timely (on or before the sixth day of the month), we make every effort to ensure proceeds are disbursed by the 10th day of the month. If a tenant does not pay on time, we will process late payments as quickly as possible. You may receive your rental proceeds check by mail (hard copy) or we can send your payment directly to your bank account by courier or electronic funds transfer. Eviction procedures for non-payment of rent may be initiated any time after the 11th day of the month.
A statement of your account activity will be sent to you on a monthly basis and at year end along with your 1099-S tax form. Included with your monthly statement will be copies of all repair invoices paid. For owners of multiple properties, each property will have its own monthly activity statement along with one consolidated statement. At year-end, you will receive one general ledger with each property broken out separately and then totaled to assist with tax return preparation.