Collecting Money After You Take Over

A man looking at files using a magnifying glass

After running a property for several years, it’s easy to know if a tenant owes you money.  However, often the situation is not as clear when you take over a property.  You aren’t familiar with the prior management company or owner’s lease documents, so this may result in incorrect SODAs, overcharges and other problems.  In addition, if the tenant fights any collection lawsuit, you have to be prepared to prove your case.  After taking over a property, this may be difficult.  Specifically, many of the key witness may be gone or moved on to other properties or even left the city.  The bottom line – after you’ve taken over a property, you should carefully examine every file that you are turning over for collection for potential problems.