Cam/Exp Reconciliations on small properties
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[{"id": "ddr0lh5", "text": "Never had this issue - i don't see too many  situations where they have enough sophistication to understand CAM, but not enough to do management reasonably well (or have 3rd party management).  \n\nI would imagine you could get this in many cases. If tenant is confident in their own organizational skills, can sweeten the offer with a late fee (that they'll never end up paying). ", "replies": [], "depth": 1}, {"id": "ddrc8cl", "text": "Are you managing these properties for the owners? If so, are you discovering these problems as you onboard the property?\n\nIf these properties have budgets and they are followed somewhat closely, establishing CAM estimates should be very strait forward and the reconciliations will be minimal with no significant amounts owed to either party.\n\nI would not recommend sending the Tenants bills for every expense as it happens. Think of the tremendous amount of unnecessary work on the accounting end! Not to mention a slew of other headaches...\n\nWhat is your reasoning for suggesting going this route instead of doing proper CAM estimates/reconciliation?", "replies": [{"id": "ddrg19b", "text": "these aren't properties I manage and I do not think reconciliation is complicated.  I'm just frustrated clients don't do it, which costs them money (and I think I am somewhat responsible for preventing this)  and I wind up fixing it (which slightly irritates me).  \n\nthese properties rarely have budgets.  I'm not talking pro investors, for those guys id never do this.  I'm talking your doctor's and retired at 40 because of a buy out clients.  thus mostly comes up in renewals or leasing when I rep them and someones lease expires or they give notice and I ask about expenses and find out no one has done a reconciliation in five years since I did the last one.  then it becomes my job to fix that clusterfuck of an issue.\n\nI'm not talking about actively managed properties with a dozen bills a month.  more the type where we make tenants handle snow removal and land scaping anyhow.  I want to push taxes and insurance on them too when the bills come out vs monthly.  for the ones where there are some other bills like snow removal or cam utility, as long as we are talking less then 5 tenants I'm not sure this awful either.  \n\ndon't get me wrong, I do think a estimated cam and reconciliation is the best way to do this.  I just keep seeing clients who don't do it then piss away thousands of dollars ", "replies": [{"id": "ddrgcrc", "text": "also come time to negotiate a renewal, tacking on you owe us for all this money we knew about years ago but didn't mention is a sucky negotiation position ;)\n\nalso imma stab the next client that tells me expenses are 4 then I am about to sign a lease and they ask for help reconciling and I find out they are really 5.5", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}]