Using Our Preferred Vendors vs. Client's Preferred Vendor/Home Warranty
Choosing To Use Our Maintenance Team Vs. Using Client's Preferred Vendors/Home Warranty
Using Our In-house Maintenance Staff/Preferred Vendors:
For any standard repair request (ie. repair requests that we receive on a weekly basis), we use a refined list of vendors that have been extensively vetted by our team and have proven over a period of time that they are capable of completing a repair in a timely manner, at a reasonable price. We do not guarantee that they will be the least expensive vendor but we do guarantee that their prices will competitive and in most cases below the market average. For a client to see the full value of our service, utilizing our preferred contractors/in-house maintenance is recommended. See below for some of the specific benefits:
- Payment: We handle the payment processing and invoice reconciling
- Tax Filing: When required, the appropriate tax documents (ie. 1099) are filed by our accounting team with the IRS
- Contractor Requirements: The team verifies that the contractor meets our minimum insurance requirements
- Vetting: Prior to working with a new vendor on an ongoing basis, references are checked
- Access: Our team provides the vendor with access to the property
- Vendor/Work Order Tracking: We use a combination of propriety forms and field service software that allows us to track vendor updates and request information as needed
- Confirming Work Performed: The vendor is required to provide the team with an update after the job visit. In most cases this is not feasible with a client's vendor because either the vendor does not get back to the team or they communicate with the incorrect party (ie. client).
- Preferred Pricing: We leverage the large volume of service we provide to negotiate preferred pricing
- Prioritization: We mandate that our properties are prioritized to ensure faster resolution of the issue
- Validity of Recommended Repairs: The vendor is never incentivized to advise that work needs to be completed if it is not necessary. The team ensures that vendor follows our strict guidelines on using the process of elimination method instead of proposing a larger/more expensive repair that might not be needed. Click here for an example.
For additional information regarding our terms of service, please click here.
Client's preferred vendor/home warranty:
While we encourage clients to work with our in-house maintenance/preferred staff, we give the client the flexibility of using their own vendors. One of the main benefits of working with our management company is that we have the ability to take care of all of the activities noted above when working with one of our preferred vendors/in-house maintenance. Due to the information provided below, our ability to effectively manage the request and for the client to realize the full value of our service is diminished. The way we handle a service request with a client's preferred vendor varies from the process mentioned above in eight key ways:
- Payment: Payment for any work performed must be processed by the client. Because of the IRS 1099 reporting requirements, we only make payments for our preferred vendors where the appropriate tax documents have been collected by the accounting team. Any price negotiation must be handled by the client.
- Tax Filing: 1099's are the responsibilty of the client when using their preferred vendor
- Contractor Requirements: Any insurance/certification review must be performed by the client
- Vetting: The vetting process is handled solely by the client. Our typical vetting process takes upwards of 2-4 weeks prior to our team working with a new vendor.
- Access: If the client feels comfortable with the team providing access into the property, the team provides the contractor access to our lockbox.
- Additional fees: If the client would like a representative to meet the contractor, there is a $75 trip charge assessed. If a representative is required to stay at the property while the work is performed, this is billed at a rate of $75 per hour.
- Confirming Completion of Work Performed: The cannot verify that the work performed by the vendor was completed per local jurisdiction code. We can schedule the vendor but we do not follow-up .
- Home Warranty: We do not recommend that any client utilizes a home warranty company. Based on the team's past experience, all home warranty companies are difficult to work with and very slow to take care of repairs. This will cause frustration for the tenants which can lead to possible legal action and additional cost incurred by the client. If the client utilizes a home warranty company, the team handles all of the communication with the tenants but the owner is responsible for filing the service request with the company. If the company is willing to communicate with the team in terms of preferred dates, arrival times, etc, the team is happy to work with them on the coordination. Any follow-up or approval of costs must be provided by the client to the home warranty company directly.
Our team handles 100% of the communication with the tenant. This includes coordinating with them for access, providing updates as needed, and answering any questions they have on the service call.