We had our 341 an hour ago, and we're not quite sure if there's anything to be concerned about. We didn't get a chance to talk to our attorney afterwards, so we're waiting to hear his thoughts.
We at least have the nicest trustee in our area. But he did ask us a few questions that have left us unsettled and nervous about what he's thinking.
We have 5 rental properties currently. 2 in state that we manage, and 3 out of state that have been sucking us dry for 6 years that are currently managed by our 10th property manager.
When he looked at the list of real estate, he asked for the value that we purchased each property and asked if the property was occupied. For the properties out of state we told him that we didn't know if they were occupied because they are managed by a property manager. He then said, "Well doesn't the property manager send you rent or statements" We told him that we get notices telling us just how what ever rent was collected had to go to all these repairs, and when we try to call the property manager they don't return calls.
For the 2 properties in state, he asked if they were occupied. We told him they were. He asked what we were receiving for rent. We told him what they rent amount was, but we weren't receiving any rent. We told him that when we knew we weren't going to be keeping the properties, we instructed the tenants to pay the rent to the bank. (This was what our attorney told us to do) Our attorney jumped in and said we have no knowledge of whether the tenants have paid the bank. He said that the rental amount was more than what the mortgage was and wanted to know what we did with that money. We told him that before we stopped receiving rent, the excess from our in state properties went to help pay the mortgages of the out of state rentals, and we supported the difference and no longer have the ability to do that.
We're confused about what he's looking for. He didn't go over any of our P&L or Balance Sheet, which would show just how much we lose every month with these rentals and that we have been personally subsidizing them forever!! Is he looking for income we didn't include?
From the appearance, I would guess that he had never looked at our file until we sat down in front of him. And that he just opened up the file looked at any assets quickly to see if there was anything meaty and stopped on the rentals. I was surprised that he didn't ask anything about their value now and how we got that value. We did notice that he asked that of people who bought their properties a over 10 years ago. So, we're assuming he's not to concerned about our properties having any equity. He didn't ask us to provide any documents.
So what do you think he's looking for in his questions? Will he most likely keep digging and want more info? Where in PACER does he make a comment about "No Assets to Distribute"?
We at least have the nicest trustee in our area. But he did ask us a few questions that have left us unsettled and nervous about what he's thinking.
We have 5 rental properties currently. 2 in state that we manage, and 3 out of state that have been sucking us dry for 6 years that are currently managed by our 10th property manager.
When he looked at the list of real estate, he asked for the value that we purchased each property and asked if the property was occupied. For the properties out of state we told him that we didn't know if they were occupied because they are managed by a property manager. He then said, "Well doesn't the property manager send you rent or statements" We told him that we get notices telling us just how what ever rent was collected had to go to all these repairs, and when we try to call the property manager they don't return calls.
For the 2 properties in state, he asked if they were occupied. We told him they were. He asked what we were receiving for rent. We told him what they rent amount was, but we weren't receiving any rent. We told him that when we knew we weren't going to be keeping the properties, we instructed the tenants to pay the rent to the bank. (This was what our attorney told us to do) Our attorney jumped in and said we have no knowledge of whether the tenants have paid the bank. He said that the rental amount was more than what the mortgage was and wanted to know what we did with that money. We told him that before we stopped receiving rent, the excess from our in state properties went to help pay the mortgages of the out of state rentals, and we supported the difference and no longer have the ability to do that.
We're confused about what he's looking for. He didn't go over any of our P&L or Balance Sheet, which would show just how much we lose every month with these rentals and that we have been personally subsidizing them forever!! Is he looking for income we didn't include?
From the appearance, I would guess that he had never looked at our file until we sat down in front of him. And that he just opened up the file looked at any assets quickly to see if there was anything meaty and stopped on the rentals. I was surprised that he didn't ask anything about their value now and how we got that value. We did notice that he asked that of people who bought their properties a over 10 years ago. So, we're assuming he's not to concerned about our properties having any equity. He didn't ask us to provide any documents.
So what do you think he's looking for in his questions? Will he most likely keep digging and want more info? Where in PACER does he make a comment about "No Assets to Distribute"?
Comment