Monday, October 23, 2006

Payments on 104 Mortgage Loans

104 checks to write? 104 payment coupons to fill out? 104 envelopes to lick shut, stamp & mail out? Ahhh...it's the middle of the month. Every time the 3rd week of the month rolls around I start the monthly mortgage payment grind.

You see when you manage 140+ single family rental properties, part of Dizmang Properties' complete turn-key management services includes making any monthly mortgage payments on properties that have loans for our Investors.

The monthly mortgage payment grind consists first of making sure that each Investor has a positive account balance. (Yes, some Investors have to "feed" their properties, but they will cash flow in the end). Secondly, I process all payments, make sure the checks are written and mailed off. With so many payments, I have created a "cheat sheet" in an Excel spreadsheet that shows each property under the Owner's heading, the payment amount, mortgage payment amount, loan number. Then there is a check box to check it off for the current month once the payment is made. Of course there is all the proper accounting procedures that go along with posting these payments. It is important that I do start this lengthy process during the 3rd week of each month just in case of glitches. Each payment must be made by the 1st of the month, and if the payment is late, missed and/or not made, it could ruin the Investors credit history (and probably cost me my job). They put a lot of trust in us to fully take care of their properties including making the mortgage payments.

140 homes, 104 loan payments...so looking at it from a positive side, that means that approximately 36+ homes are free and clear and require no mortgage payment. Lucky Investor. :)