Latest / Carlsbad: People, Purpose and Impact / Rental Reality Check: Grace Burch of Chamberlain Property Management
Transcript
- Host (Bret Schanzenbach): Welcome to Carlsbad: People, Purpose and Impact, an essential podcast for those who live, work, visit, and play in Carlsbad. I’m Bret Schanzenbach, President and CEO of the Carlsbad Chamber of Commerce, and your host today. I’m excited to be joined by Grace Burch, the new Accounts Manager at Chamberlain Property Management. Good morning, Grace. Grace Burch: Good morning. Thank you for having me. Host: Absolutely. I’m excited for this conversation. As I was looking into your background, you’re one of those elusive people online who doesn’t share your whole history on social media. Tell us a little about your background. Grace: I’m originally from Salem, Oregon. That’s where I went to high school. I was in the foster care system through my teenage years. I got into real estate in 1977 in Vancouver, Washington, and stayed there for about ten years. Then I moved to Longview, Washington, about 40 miles north of Portland, and bought a small real estate office. It had a few managed properties, and at the time, the market was shaky. Those few properties quickly grew. There was only one other company in town, and I just did a better job. Word got around. I didn’t even have to advertise. I ran that business until 2008 and managed about 450 units. Host: Wow. That gives you such a broad perspective. Grace: It does. I understand the owner’s position, the manager’s position, the tenant’s perspective, and every part of the field. That makes me uniquely qualified for what I do now. Host: You mentioned Oregon, and I have to pause and give Oregon some love. My wife and I lived in Grants Pass for three years, right by the Rogue River. It’s beautiful. You brought us up to 2008, which was an interesting time in real estate. That’s when my residential real estate career ended. What happened for you then? Grace: I moved back to Salem to help my foster dad take care of my mom, who was ill. My husband had retired from the mill in Longview, and I started another company in Salem. It grew the same way. I thought I would manage maybe 100 units, but it grew to 300 or 400. After my mom passed, my dad asked us to stay because he was losing his memory. We stayed for seven years. After he passed, I handled his estate. Then I came to visit my aunt in Vista. She was sick and found out she had cancer, so I cared for her for about five months before she passed. One January morning, I was walking her puppy at 7:30 in flip-flops and a light jacket, and I thought, “I need to make this permanent.” Host: That’s how California gets you. Grace: Exactly. I had retired in 2014, but by the time I got the house ready and moved, it was 2019. Host: So you arrived right before COVID. Grace: Right before. Host: But you’re clearly a bad retiree. Grace: Yes. I really like being with people. I wouldn’t call myself an extrovert, but I like being out and about. At 72, staying home and watching TV all day is boring. So I started looking for a job, and when Chamberlain called, it felt like fate. I had been praying for a company with the same—or even better—ethics than I had in my own companies. I have to believe in what I’m doing. Host: That’s the best kind of selling, because it’s authentic. You’re not just selling; you’re providing solutions. You’ve also become very engaged with the Chamber. You were one of our Rookies of the Year last year as a new member. Chamberlain Property Management isn’t new to the Chamber, but you were new to them and to us. You’re on our Ambassador Committee, you attend ribbon cuttings and networking events, and you’re involved with Netforce. Grace: Yes, and I try to go to the happy hours too. I usually don’t stay the whole time, because by about 6:30, I’m done. But I enjoy them because they’re relaxed and peaceful, even though you’re networking. Host: With your background, Chamberlain must have been thrilled to find you. Let’s talk about the rental market. What are you seeing right now? Grace: The market is a little soft. It’s not bad or slow, just softer. We’re adjusting prices to stay competitive and make sure properties don’t sit on the market too long. Condition also matters. Part of my job is previewing every rental before we take on management so we know it meets our standards. We have to maintain certain standards to be good property managers. Host: For people listening who own rental property and manage it themselves, what’s the benefit of working with a company like Chamberlain? Grace: California laws are very strict, and they can change quickly. If you’re unaware of those changes, you can get into a lot of trouble. Liability is huge, and many laws now come with penalties. It’s important that your lease and documents are current and comply with landlord-tenant law. If you end up in court and your documents aren’t in order, you may not have a valid case. Your lease should be reviewed every year to make sure it complies with current law. Host: That alone is a great reason to work with professionals. What types of properties does Chamberlain manage? Grace: Pretty much everything: single-family homes, condos, multi-units, ADUs, and apartment complexes. We manage about 650 single-family homes, which includes homes, condos, and ADUs, and about 40 apartment complexes. We have 38 employees, including property managers, onsite managers, assistant managers, and district managers. Communication is a big priority. We make sure communication between owners, tenants, vendors, and suppliers is clear. We also verify vendors every year to make sure they’re licensed, insured, and current with workers’ comp. Owners don’t always realize that if someone gets hurt on their property and that vendor isn’t properly covered, the owner can be liable. Host: That’s huge. You mentioned ADUs. Do some people build an ADU and have you manage it? Grace: Yes, although if the owner lives onsite, we usually don’t take full management. We may do tenant placement instead. That means we handle everything up through signing the lease, then turn it back over to the owner. We help with making the property ready, marketing, photos, Matterport video, applications, paperwork, lease agreements, collecting first month’s rent and security deposit, and move-in photos. If they want help at move-out, they can hire us for that too. Host: Where are your properties located? Grace: We serve North County. We go as far south as Highway 56, over to Escondido, and we have some properties in Fallbrook. Host: For renters, where do people go to find your available properties? Grace: We advertise on about 30 websites through AppFolio. Zillow is a big one for rentals. People can also go directly to our website, cpmteam.com. Host: That’s CPMteam.com. And renters can expect a certain quality because of Chamberlain’s standards. Grace: Exactly. We also have a leasing team that shows properties six days a week. Renters can schedule through our website, and someone will meet them at the property. The leasing team uses iPads to take notes from prospective tenants, which helps property managers update owners with useful feedback. Host: What are the rental application standards? Grace: Applicants need income of two and a half times the rent, three years of positive rental history, and a minimum credit score of 670. If someone has owned a home and we can verify that, we can accept that instead of rental history. Host: What about young adults renting together? Grace: It can happen, but it’s more complicated. If they don’t have credit or enough history, we may accept a cosigner, but that depends on the owner. Host: Anything else you want people to know? Grace: Communication is incredibly important. Just with 650 single-family homes, if there are two adults in each home, that’s 1,300 tenants, plus 650 owners, plus vendors, contractors, and suppliers. There are a lot of moving parts. Chamberlain handles that very well. They’ve been in business almost 40 years, and the average employee has been there seven years. That says a lot. It’s a good company with happy employees who believe in what they’re doing. Host: If someone wants to reach Chamberlain Property Management, the website is cpmteam.com. And if they want to reach you directly? Grace: They can call me at 760-547-2755. Host: Fantastic. Grace, thank you so much for coming down today. We love having you engaged with the Chamber, and we love Chamberlain Property Management and the whole team. Grace: Thank you for having me. It’s been really fun.