Monday, November 19, 2007

Vacant Properties & Vandalism

At a recent vacant property task force meeting for Kansas City Missouri we were joined by Officers Clark and Blake from the Kansas City Police Department and we discussed steps that investors can take to lessen their losses from vandalism on vacant houses.

Boarding Up Houses: if you have a vacant property that is going to be vacant for a while, consider boarding up from the inside. Screw the boards into the window frames and exit through a 2nd floor window down a ladder. Then no one can break into your house and have a party.

Please note that in order not to receive a code violation notice that you can’t have broken windows showing and they would need boarded from the outside as well and if you will be having boards up for an extended period of time—paint them the same color as the exterior of your house.

Prosecution of Thieves: When the police department catches a thief or vandal red handed in one of our properties or comes across squatters, they then have to go through the timely process of locating the owner. So please make sure your ownership records are up to date and if your police department has a registration process where a corporation can give them the name and phone number of a local responsible party to call, like a property management company, be sure to get your properties registered so they can find you.

Then after spending time locating many owners, the owner does not want to prosecute the vandal, thief or squatter, so they are let go. If no one wants to press charges on these people, why should the police go to the trouble of trying to catch them. And if we want vandalism to stop we need to be a part of the solution and support our local law enforcement.

Alarm Systems: Many times we find homes have existing alarm systems, but require us to turn on the phone & pay phone as well as alarm monitoring fees. There are also several motion detector alarms that sound when the window is opened or motion is detected, but not actually monitored by anyone. This could scare off a would be thief in our rehabs.

Copper Thefts: We discussed this at length and first and foremost we need to get consistent laws passed nationwide that all metal scrap dealers that accept scrap metal must get a valid ID, a photo, and a finger print. Then if they are actually able to track down stolen metals at a scrap dealer yard, they will be able to track down the person who sold them the scrap.

Next when you do rehab, be sure to go back with non copper plumbing as much as possible and wait to install AC units until the property is occupied. Some landlords remove AC units during the winter or when not occupied, some use bars through the unit into the pad, some put wire cages around the condenser units, and others, let the tenant get a window unit.

They also suggested taking the time to make your copper recognizable from other copper that may be at the scrap yards. While the best way would be to put some sort of serial number every foot or so, it is not practical. They do suggest however to go pick a bright spray paint that you can identify and spay all the copper in your properties that you can so if you do get vandalized, at least they know to go to the scrap yards looking for copper painted bright green with orange stripes for example.

Vandalism in General: They suggested that when an investor purchases a home that is vacant or that they will be holding for a while, to take the time to meet the neighbors. Give them your business cards and ask them to keep an eye on your property for them. Here at our office we have used this method with some success and when we trash out a property, we give the neighbors first pick at the “stuff”. An old beat up working stove or fridge can go a long way towards good will. And you will find that most people are basically honest and the people breaking in are people they don’t want in their neighborhood. A few other investors also take it one step further and have one of their workers live in the property during renovation just to keep the house looking occupied.

Also if you do have a vacant property, take the time out of your day or have a contractor take time out of there day to go by at least once a week or more often if possible to check on the property. Stop by and make sure all locks are still locked, all doors are still in place. And You might also want to ask the neighbors to park in your driveway to give it a looked in feel.

Home Owner Associations: In suburban Johnson County these are associations with covenants to protect the property values of homes. But when you move into our urban core areas of both Kansas City Missouri and Kansas, these are associations of homeowners that have banded together to improve their neighborhoods. You will also find that area churches can offer many of the same benefits. With every home you purchase, please take the time to find out if there is a Home Owner Association in the area and contact them, they will be able to offer you a lot of assistance:

They live in the area and can help keep an eye on the property and help protect it.

They may know of any home renovation funds available to investors or home buyer programs for our buyers.

They may know of the best places to advertise homes for rent, lease to own, or sale.
And if you do a good job with your first house in their neighborhood, they may let you know of other vacant homes in the area that be another opportunity for you.

Area Churches: You may want to offer to donate the usable items in the home that you would otherwise toss in the dumpster to the church. The church notices will be a great place to market your houses for rent and for sale. And because they live in the area, they will be able to be another group of people keeping an eye on your vacant property.

Every investor in the Kansas City metro has a stake in our vacant property problem. Every vacant property invites problems into the area and lowers property values. So please take some of the following steps:
  • Check on every one of your properties, vacant or not at least once if not twice a month or more.
  • Clean up trash and keep it mowed or make sure tenants are keeping it cleaned up if occupied.
  • Board up neatly all open structures and if they must be boarded up for extended periods, paint the boards.
  • Get to know the neighbors, and neighborhood groups.
  • Let the police know how to reach you in case of problems.
  • Find ways to be a solution and not a problem property owner.

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