I am by no means a rookie in commercial real estate, but this is the second time this has happened to me and it really hurts my ego! I own 10 parks, 900 total units, have my bookkeeping down, use Rent Manager, send notices, call my tenants when they don’t pay but I just found out a bad manager was taking 3 to 4 rent checks (money orders) every month and depositing them in her personal account thru the ATM and they were getting cashed! We are out just over $10k after finding out about the problem and letting her go.
What do the experts do to prevent this from happening? We keep a very detailed aging account on all of our tenants, but with so many to look after, and only a few missing every month from different tenants it was very hard to detect.
This really scolds my confidence in the MHP business, and I am by no means going to stop purchasing parks but any words of advice would be greatly appreciated.