The Purchase I am from California, and I am a beginner real estate investor. I was introduced to BIR inmid for the purpose for searching suitable investment properties.
Shortly after the Thanks Giving of Jaime Perkins from Better Indy RealEstate informed me of a triplex located at 902-904 Shelby, Indianan, IN that he stated was agood investment property. He stated the three units are 2 bedroom, 1bedroom, and a studio. He stated he looked over the property, and determinedthe property overall is in good and rentable shape with no renovationneeded. He also stated BIR can provide property management service, andhave all three units rented out in 30 days, including section 8 tenants, and itwould generate $1500 - $month in rental revenue. At that time, therewas one tenant on the property. Based on his advice, I decided to purchase the property for$50,000 cash. The deal closed on on 12/4. Within one week after the close, the only tenant on theproperty moved out. Four months went by after the purchase, BIR had not beenable to find a single tenant.in March, I have asked two different property managers, and avery experienced local real estate investor to assess the property. Allthree agreed the property is not rentable without renovation costing anywherefrom $15000 to $30000. The local investor said there is no two bedroomunit, it has 2 one bedroom and a 1 studio apartment.
In April, I have asked BIR to sell the property, and they produced a purchaseagreement dated 4/15. Jaime stated the buyer was very qualified. Twoand half months later, the deal fell through, I was told the buyer could notqualify for financing.
On July 29, they produced another purchase agreement, stating the buyer alreadyis preapproved. I pointed out the PA stated the buyer is a licensedIndiana real estate agent, yet I could not verify it with the state Real Estatecommission, I was told by BIR I was being difficult. The PA indicated closingdate of 8/20, when I followed up on 8/20, I was told they are waiting on thebank. I have not received any update until 8/31, Jaime informed me the newclosing date is 9/20 because the bank is holding it up. Property Management
For 6 months, BIR could not find a single tenant. When I asked Jaime the original30 day estimate, he gave various excuses, the holidays, the weather, etc. I was told a tenant moved into one of the units on 5/1, and plumbing issuesoccurred within a week of the move in which required over $1000 to fix, including a new water heater. Up until that point, I had hoped theproperty was still rentable, but given what had transpired, I realized I wasdeceived and defrauded.
The tenant started missing payment with 06/09. I requested BIR to evictthe tenant, initially I was told he would be out by the end of June, yet when Iwas following up, I was told the person doing the eviction has unexpectedlytaken a week off, and no one in the office knew the status of theeviction. When BIR sent someone to check on the tenant, the tenant was stillthere, and stated the property had another leak. BIR (Terrance) said theywould send someone to fix the second leak. Meanwhile, the original person (Holly Skinner) doing the eviction came back and said there was an error infiling the eviction, and she would correct it. I inquired about the leak, and received on response. I received a water bill totaling $600 for thatmonth for a studio apartment. I kept pressing for updates on eviction and theleak fix, the other partner Carlin Serie sent a very condescending email sayingit is against the law for BIR to evict the tenant because he is on some sort ofgovernment veteran assistance program (I have checked wither several otherproperty managers, none of them thinks it holds any water). I askeddocuments to support the fact, and never received it. I contacted thewater company on 7/22/to shut off the water, and was sent a final bill whichshowed an additional $200 water bill incurred in one week, which shows the leakhas not been fixed.
So far, as far as I know, a none-paying tenant is still at the property, thereis a leak that needs fixing, and repeated attempts to get resolution have beenignored.
I have informed BIR that I am terminating the property management agreement on7/27, and my new property management company tried to contact themrepeately. BIR has not returned the multiple attempt to contact them, ormy email. There is a $150 deposit that I need to get back from BIR.
Summary
Meanwhile, I am out of $50,000 plus monthly holding costs, stuck with aproperty can not be rented or sold, which BIR and Jaime Perkins in particularstated is in good condition and rented out. Through out the whole ordeal, getting any update or communication from them has been spotty at best, I wouldnot hear from them for weeks at a time.
My salary has been cut by 15%since the beginning of the year. I have told Jaime that the $50,000 isthe last bit of money available to my family, and also our last hope toacquire an income producing property to make up some of the incomeloss. Now, not only is that hope gone, it has also become anadditional financial drain. It has created not only financial stress, but also stress on my marriage. Do not do business with these people, they promise a lot, and deliver nothing, and good luck getting hold of them!
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