Early March we had the replacement roof scheduled. Generally, things went according to plan. A couple of speed bumps such as tenants ignoring notices to move their cards to allow the dumpster in. Then again the following day of work where cars were too close to the house. Eventually that got sorted and the contractors went after it.
A couple of surprises during the job. First, the underlying roof did have significant rot to the point large gaps in the boards. These were repaired as needed including replacement and gap fill. Additionally, there were actually four (4) layers of shingles instead of the originally believed three (3). It didn't add significantly more work because the top layer was basically nailed into the other layers. However, it did require a second dumpster. The two surprises together dragged the one day job into two (Friday / Saturday). All in all the incremental cost wasn't far off from the estimate and was reasonable.
Regarding other repairs, there was a known issue with the refrigerator on the third floor where there was some apparent moisture happening around the unit. The tenants complained of it not working properly and it was found to be damaged by pests. A replacement was ordered and delivered under the expected rehab budget.
Generally, tenants performed as expected. Third floor tenants complained during the roofing project and at one point called the police. Police responded and because notice was pre-issued and permits were in place it was a non issue. First and second floor rents were collected including the fix of a statement billing mistake on the February statement that did not reflect 1st floor payment. That is all squared away. Not surprisingly the third floor is allegedly out in April so they didn't come up with rent for March. There is a last month rent deposit of $300 that won't be returned for half the obligation.
The 2nd floor previous owner did inquire about the $2k escrow we held for fire inspection. Nothing was done there so RPM is scheduling an inspection so we can get a fire certificate. If any wiring or remediation is necessary that will be deducted from returning the $2k in escrow.
RPM bill pay is flowing so they are handline electricity, water and sewer. Those facilitated payments started to happen and can be found accurately represented on the monthly statements.
Tenant Update
- First floor: $1,100 collected
- Second Floor: $1,100 collected
- Third floor: $300 unpaid, $300 unpaid
Monthly Cost Summary
- Roof R/R ($17,500)
- Unit 3: R/R Refrigerator ($451)
- Pest Control: ($225)
Activities / Milestones
- Roof replaced
- Verified water, sewer and electricity received and paid by RPM
- Received estimate for business entity setup
Next / Todo
- April vacancies and unit internal rehab
- Attorney selection and business entity setup
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