Why choose Blue Sapphire Homes as your property manager company?

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2 Why choose Blue Sapphire Homes as your property manager company? Our success and longevity in this demanding industry is testament to the quality of our services. We have built our reputation on quality customer service and strive to serve every client consistently and effectively. We currently provide full property management services to single family homes, condominiums, townhomes, and apartment complexes. Our dedication to our clients is based on a combination of experience and an ability to listen and understand our client s needs. We offer a broad spectrum of management services to help maintain, protect, and enhance the value of your investment. Our knowledge, experience, and professionalism are to better serve our clients. We at Blue Sapphire Homes know that as an investor you might want certain management duties or procedures done a certain way. At Blue Sapphire Homes we let owners customize what kind of property management service they are looking for. That is one of the reasons why our clients like working with us.

3 Monthly Management Service Develop a list of features and benefits of your property to use in advertising Advertise through the Multiple Listing Service of Realtors (if permitted) and advertise online via the web Update you with any changes in the market conditions in your area Suggest any advice for changes to your property to make it more marketable/attractive to tenants You have the option of receiving the rent. Arrange and accompany showings of your property to prospective tenants Screen prospective tenants (credit, professional and personal background checks as warranted) Represent you to help negotiate the best possible price and terms Collect security deposits and rents No monthly management fee paid until tenant or lease is in place. Mailing of your rent funds by check accompanied by a detailed monthly statement or direct deposit of your rent funds. Arrange minor/emergency repairs and maintenance Occasionally inspect the property inside and out and suggest maintenance repairs Disburse security deposits after tenant departure. Owner has option of holding the security deposit if they choose. We charge a flat fee of $ a month for all of the above management services. We manage condo, townhomes, duplex, single family homes up to 15 unit apartment complexes. Larger complexes upon request, different rates per unit may apply.

4 Most Common Asked Questions Q: Are there any fees or cost to find a tenant for my property? A: No there are no fees to find a tenant. The only time a fee would apply is if you want your property listed on the Multiple Listing Services. Q: What is the Multiple Listing Service? A: Multiple Listing Service is where real estate agents place properties for sale or for rent. To place your property on the MLS and an agent finds you a tenant for your property you will have to pay some sort of a commission to that agent. The commission fee is negotiable. Q: What happens if something breaks in the property? A: If something is broken for example the garbage disposal, we would contact you and inform you that the garbage disposal is broken. At that time we will ask if you want one of our skilled handyman, or plumbers, or if you want to fix it. In some cases we can provide a rough quote of the cost to fix it. Q: What happens if the tenant broke or damage something on the property? A: We would inform you of the issue and give you the options to resolve this problem. Most cases the tenant will have to pay for the repair work. If the tenant does not pay for the repair work the amount of the repair will be taken out of the tenant s security deposit. Q: Who holds onto the security deposit? A: The owner can hold onto the security deposit or Blue Sapphire Homes can hold onto the security deposit which will be kept in the companies trust account. Q: How do you I get my rent money? A: We offer direct deposit of your rent funds or a check that can be mailed to you. Q: Where do you advertise to find tenants? A: We market your property on Craigslist, Trulia, Zillow, Rent.com, and Hot Pads.

5 Q: How long is the property management contract? A: Our contracts are set up for 6 month period. Once the six month period is over the contract automatic roles over to a month to month agreement. Q: Can I cancel my contract after the end of the property management agreement? A: Yes, you can with a 30 day written notice. Of course we do not want you to cancel with us after six months. Q: Why are the property management contracts only for 6 months? A: We don t want to lock any of our owners in a long lengthy contract. Of course we don t want you to cancel on us, expressly if we just found you a tenant. Q: How do you screen for tenants? A: When an applicant is interested in wanting to rent we have the applicant fill out a rental application and provide proof of income. At this time we do a quick screening of the applicant. Once we do the quick screening we will inform you of the applicant and review their information with you. If you and Blue Sapphire Homes agree that the applicant would be a good fit for your property then we would take the next step of verifying income, employment, credit, criminal records, and any evictions Q: Does Blue Sapphire Homes help in finding out what my property can rent for A: We can give you a rental price for your home using comparable properties that have rented around your property with the last 6 months. Q: How much security deposit does Blue Sapphire Homes collect? A: We typically collect the same amount of rent that is being paid for the property. An owner can ask for two times the rental amount or 3 times the rental amount for a furnished property. Q: How often does Blue Sapphire Homes check on a property once the tenant is in place? A: We find ourselves in the property at least two to three times a year. Mainly due to repairs issues. When a property has a repair problem we take this opportunity to check out the property. If you have one of those properties where nothing goes wrong we will under your direction visit the property at least two times a year. Q: What happens if the tenant doesn t pay their rent?

6 A: We first will make contact with the tenant to see what is going on. If we get no response then we will issue upon your approval to post a three day notice. Q: What happens if the tenant hasn t paid their rent after a three day notice has been posted? A: Once a tenant has not made any effort or paid their rent, with the owner s approval we will start the eviction process. Q: Who handles the eviction process? A: Blue Sapphire Homes doesn t deal with evictions on an everyday bases. We have found that it s faster, cheaper, and more effective to contract the eviction process to our lawyers. The main reason for this is that our lawyers know the process with the courts along with the filing process. Q: What does it cost to evict a tenant? A: The average cost to evict a tenant will run about $1, to $1, Q: Who gets the late fee if the tenant pays their rent late? A: Owner keeps any late fees. Q: How much is the late fee? A: We typically charge a $145 fee. The owner can lower or raise this amount.

7 Prepared By: Blue Sapphire Homes Inc Mt. Diablo Blvd. 224 Lafayette, CA Rental Owner Statement Statement Period Statement Date 1/1/2013-4/19/2013 4/19/2013 Page 1 Terri Pencovi Summary by property Acalanes Ave. Total Beginning Cash Balance $0.00 $ Additions Income $6, $6, Owner Contribution $4, $4, Subtractions Expense $5, $5, Owner Draw $4, $4, Ending Cash Balance $10.00 $ Reserve Target $0.00 $0.00 =Available Cash Balance $10.00 $10.00 Net income by property Account Acalanes Ave. Total Income Other Income $2, $2, Rent Income $4, $4, Repairs Income ($1,490.00) ($1,490.00) Total Income $6, $6, Expense Cleaning and Maintenance $ $ Management Fees $ $ Repairs $5, $5, Total Expense $5, $5, Net Income $ $170.58

8 Prepared By: Blue Sapphire Homes Inc Mt. Diablo Blvd. 224 Lafayette, CA Rental Owner Statement Statement Period Statement Date 1/1/2013-4/19/2013 4/19/2013 Page 2 Detail transactions Date Property Account Name Memo Amount Balance Beginning Cash Balance as of 1/1/2013 $0.00 Income 2/13/2013 Acalanes Ave. Other Income Unit 1 - Brianne Byrne 2/22/2013 Acalanes Ave. Rent Income Unit 1 - Brianne Byrne Security Deposit $2, $2, Feb Rent $ $3, /24/2013 Acalanes Ave. Repairs Income Sam's Plumbing Plumbing Leak & Clog ($1,490.00) $1, /5/2013 Acalanes Ave. Rent Income Unit 1 - Brianne Byrne 4/2/2013 Acalanes Ave. Rent Income Unit 1 - Brianne Byrne March Rent $2, $3, April Rent $2, $6, Total for Income $6, Owner Contribution 2/1/2013 Acalanes Ave. Owner Contribution Terri Pencovi For Plumbing Invoice of $2, $2, $9, /25/2013 Acalanes Ave. Owner Contribution Terri Pencovi Heater $1, $10, Expense Total for Owner Contribution $4, /31/2013 Acalanes Ave. Repairs Jeremy's Electric Services Restored Power to Laundry Room ($478.00) $10, /1/2013 Acalanes Ave. Repairs Sam's Plumbing Replaced Pipe Line ($2,900.00) $7, /6/2013 Acalanes Ave. Repairs Dave Brown Misc. Repairs ($60.00) $7, /22/2013 Acalanes Ave. Repairs Dave Brown Installed Stove Vent ($210.00) $7, /25/2013 Acalanes Ave. Repairs AirTech New Furance ($1,800.00) $5, /26/2013 Acalanes Ave. Cleaning and Maintenance Tessy's Cleaning Service 3/6/2013 Acalanes Ave. Management Fees Blue Sapphire Homes Management Fee 3/1/2013-3/31/2013 (Flat fee: * 1 unit) 4/2/2013 Acalanes Ave. Management Fees Blue Sapphire Homes Management Fee 4/1/2013-4/30/2013 (Flat fee: * 1 unit) House Cleaning ($195.00) $5, Total for Expense ($5,933.00) Owner Draw ($145.00) $5, ($145.00) $4, /6/2013 Acalanes Ave. Owner Draw Terri Pencovi Owner Draw ($3,000.58) $1, /9/2013 Acalanes Ave. Owner Draw Terri Pencovi Owner Draw ($1,860.00) $10.00 Total for Owner Draw ($4,860.58) Ending Cash Balance as of 4/19/2013 $10.00

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