Client Successes

Property C
Mismanagement Turnaround

Stout Management was hired by an owner manager to take over operations and accounting services of their property.

While occupancy was strong, rents were under market, payments were being received late, and record keeping was not sufficient for lender compliance.

Clean-Up

Invoices were being process on property by the property resulting in inaccurate financials, bills being paid late, and budget overages. Resident payments were taken exclusively in the office and late fees were not being charged tardy payments.

On-Site Staff was performing all work resulting in high Payroll costs and a lag in work completion. Rents and Auxiliary income sources were not in line with the market and general curb appeal was lacking.

Substantial Administrative and Cashflow improvement was made without any rehabilitation or large capital investments into the property.

Operations

• Moved many “in house” maintenance services to 3rd party vendors. Stout’s preferred vendor resulted in cost savings, increased quality, and quicker turnaround times.
• Reduced On-Site Staff through increased operational efficiencies and accounting task removal.
• Increased Auxiliary Income through implementation of Late fees, RUBs, move-in charges and more.
• Pushed Rental income growth through market rate increases and coordinated delinquent collection.
• Tighten screening practices resulting in lower delinquency, bad debt, and turnover.

Accounting Changes

• Implemented Purchase Order System to monitor budget.
• Moved invoice processing to corporate office eliminating invoice late fees.
• Set-Up Resident online payment portal to minimize on-site payments and prevent fraud.
• Began to produce accurate, timely monthly financial packages and got owner back into lender compliance.