Apartment Discounts

[amygeorge]

In all my WDR jobs, the only people who “complain” about an invoice are apartment complexes. I have never been denied a claim and only once did an adjuster feel like I needed to lower a price for a filter used on a job.

The bill was $15,000. Multi unit, water came from top floor into lower and side apartments, 6:00 in the morning, freezing rain and wind was out of control. We had to do a 90% pack out of the tenant and relocate items to another bldg.

Basically, do you offer a reduced price for apartments for a job this size? If so, is it a certain percentage off of exactimate? I was told they had a $10,000 deductible and it would be filed on insurance, but the manager is telling me she never said that… and never did we discuss price - just take care of it… Regardless, they feel like I’ve taken advantage of them and other of their properties out of town have had more units impacted and charged much less. The example given was a 3 story unit and the final price was around $1,000.00 - seriously?

I’ve suggested they have a peer review, not because I want to argue my price, but I don’t like be called a liar or someone that would take advantage - do you have any suggestions of where I can send them? I know two places, but since I know them, I don’t want to send them there.

Sad thing is - I could have charged for more things than I did, so I welcome the review.

I do have a ranch \ oil co. \ real estate business that I do special pricing for WDR, they do a very large amount of business with me. On their carpet cleaning, they’ve never asked for a reduced price and pay my minimum of .35\foot. Good example - I got called out because a house they have 30 miles from town had a pipe bust in the ceiling - it was a mess and the ceilings throughout the unoccupied house were now on the floor. Before I went to the job, I had to meet an insurance adjuster in town on another claim. It just so happened he was headed out to the same place I was south of town. I called the head of maintenance at their corporate office and said - heads up, someone called the insurance co. and they sent out an adjuster. This outfit has a $15,000 deductible and insurance is rarely called for WDR. Anyway, after getting to the job site, I realized they wouldn’t need to file it on insurance if they would use their own employees to do the tear out, removal and disposal and I just place the equipment, etc. That’s what we did and I saved them serious $$$$$.

1) do you offer discounts? If so, what %?
2) do you have a suggestion for peer review?

Time to talk a walk and calm down… Amy

 

[Jeremy N]

I am very interested in the answer. I haven't had much luck with multi-units but I know there is money to be made there. I would imagine that deep discounts could be the norm in this situation. If it were me I would consider equipment discounts but not labor.

 

[Desk Jockey]

We don't do apartments, not that we wouldn't or don't want to but price keeps us out of them. The other obstacle equally as serious is control. They don't want everything dried, which is fine if they would remove wet materials but they won't. Kilz and paint is their solution so we won't work for them.

As far as a discount, yes we wiil. How much depends on if we felt like there was some miscommunication on our part. Also if we feel we can salvage them as a client.

Whatever you offer them it should be based on a quick settlement. We would offer as a low 5% as a high 10%. Anymore and it looks like you were ripping them to begin with. Who can give away thousands?

What extactly are they complaining about. I'd see if they are willing to meet. Go over line item by line item. Hopefully they can see all the work that was put into it.

 

[amygeorge]

Thanks, Doc! I’m too mad to think about salvage, but later I’ll put my big girl panties on and put my pride aside. I was their hero until they got the bill. We clean for them (discounted) regularly and they have sung our praises from the rafters. But today, I was called everything but a white girl. Basically, I think corporate is angry because the maintenace man didn’t do any of the labor. I also feel communication between the manager and corporate didn’t happen. I was told to “take care of it” and that’s what I did. Funny, I was in the managers office yesterday, and she was thanking me for being her best vender…

 

[Willy P]

Richard wears big girl panties too!

 

[Mark Saiger]

I pretty much tell them it is going to expensive.....really expensive! (for water or fire restoration) and we use a National program called Xactimate that has a National average on pricing.

Some things in Xactimate are higher than I would charge....and some things are lower, but it will usually average out in the end. If you have a high deductible, I will let you (and encourage you) to do the move out of clients and their items, and also do the tear out.

I will charge you for the rest of the dry out which you will not have equipment to do or the equipment to verify it is dry....and you can do the rebuild back from there.

If they ask how much I can usually "shoot from the hip" and tell them and example (such as between $5000 to $10,000). I know that is a huge variable, but you will not know how much real damage there is and I don't want' to be short on my "Guesstimate"!

If they don't like the price, they usually figure it out later after doing all the work themselves and it really was probably a good deal!

Just had an adjuster tell me yesterday (second time we bailed them out this month after kicking off a national chain) that they would not pay me for content remove and reset in 2 rooms to do the carpet cleaning. Told the adjuster "so you don't want me to clean under the furniture"? Don't worry about all the extra dust from the construction that is right next to these 2 rooms?"....

well "we won't pay for it he says".

I told him the home owner is already upset with all the problems (since he sent the National chain) and it will not fly. I will still have to clean under the furniture and she will insist....so when do you want to call her and tell her?

Dead silence on the phone......

He says: "your right....you better move and clean under the furniture" (total for those 2 rooms was like $90 and tax)

Also went on to tell him, "Sorry we have had to come into these 2 situations like this to take care of your clients" (little jab at him)

He says "man, you have bailed us out a lot lately" (I am thinking....and you wanted to mess around with $90....last time he nipped us for $300)

I am done taking crap from them.

I don't give discounts to clean apartment carpets either.

 

[Desk Jockey]

Richard wears big girl panties too!

LOL

I don't care what they say about you William....you're a dik in my book!

 

[Mark Saiger]

Text message 10 minutes ago....

Client of ours from little over a year ago.

City problem, sewer back up in their home.

City calls and emails me to come clean up (I told them put it in an email)

They only wanted to pay part of the bill (clean up the sewer and sanitize) Bill the rest to the cities insurance company (the dry down).

Insurance company sent some putz who didn't take pictures, lost all the records and files....and denied the claim.

Homeowners now stuck for remaining $3220.

Got advice from a public adjuster I have been using lately....she said to sue them in small claims court. City figured the young homeowners wouldn't

Court date was just set of April 20th.

City called homeowners today.....want to settle out of court on April 9th.

Will see how that goes!

City didn't think anyone would have the guts to sue them.....

Hope things go better Amy.

Just part of the game of restoration....and the reason I backed off from it to gain some mental sanity!

Mark

 

[Willy P]

Richard wears big girl panties too!

 

[Desk Jockey]

Lol!

You're hopeless.

 

[Desk Jockey]

Thanks, Doc! I’m too mad to think about salvage, but later I’ll put my big girl panties on and put my pride aside. I was their hero until they got the bill. We clean for them (discounted) regularly and they have sung our praises from the rafters. But today, I was called everything but a white girl. Basically, I think corporate is angry because the maintenace man didn’t do any of the labor. I also feel communication between the manager and corporate didn’t happen. I was told to “take care of it” and that’s what I did. Funny, I was in the managers office yesterday, and she was thanking me for being her best vender…

Its obvious she's willing to throw you under the bus to save her behind. Talk to her, remind her of how fair you are. Nothing has changed your rates are all valid charges. See if she will tell you where the company is willing to settle. Then decide if you're willing to accept that or if you have your own number.

Hang in there!

 

[dealtimeman]

I give normal repeat customers like commercial custys, discounts on all services when they request one. That said in a situation or job like this I would not buy it would have been stated upon commencement or sale of the job.

Apartment complexes or property management complanies expect discounts. They feel no shame asking or ordering you to work and smile while asking only to freak out when they recieve the bill. We just give a high estimate or a DO NOT EXCEED AMOUNT ONLY IF IT IS NOT AN INSURANCE JOB.

So important to qualify a job and have all money matters and or the channels the money will be coming from established and in print.

We are not the Salvation Army! We are emergency response professionals!

 

[hogjowl]

By tomorrow, you'll have this thing worked out in your head and you'll know what to do.

So no need to come back here and re-read this BS.

 

[amygeorge]

They want me to reduce bill by 50%. I printed out all WDR invoices for the last 90 days so they could see my consistent pricing, 2 letters of reference from insurance adjusters I’ve worked with. I also have a letter from my largest customer (owns apartments, duplexes and too many houses to guess the number) stating that they have never had issue with my service or price. Also suggested they get a peer review. I also stated that they have insurance…. hint - hint! It sounds like I might be singing my own praises - well, maybe I am.

Let’s get to the nut cuttin’ = Doc was right, she threw me under the bus because she didn’t do her job and she’s not going to take the blame. Plain and simple. From now on, apartments will be treated differently! I’m the only game in town, they’ll have to go with someone 60 miles away.

I have no problem with a discount, just ask me a little nicer. This woman went postal on me, not when I gave her the invoice, but after she got her hind end chewed on. I want to make it very clear I didn’t over charge them, then we will discuss the discount, but put the crack pipe down, cause it ain’t gonna be 50%.

 

[dealtimeman]

I am completely with you and don't think you should budge if that is your normal rate and they are not used to a discount.

The thing with insurance and large properties, is that their deductible is so high, that they will end up paying out of pocket to keep their premiums without change upon renewal.

When we are having an event like a cold spell or natural disaster, all of our customers are told at the time of sign up, that all work will be billed at insurance rates as the demand is so high.

 

[hogjowl]

Sooner than in the morning.

Good.

 

[Desk Jockey]

50% is a slap in the face. No way you can do that. Hell a scum bag attorney (sorry any attorneys out there) would only get 40%. Heck you can get one to send a letter for a few hundred.

Get it settled and from now on they should get written ballparks or email since they seem to have such a bad memory.

 

[John Olson]

ask them if they discount the rent when people scream at them because they think it is to high?

 

[GCCLee]

John Olson" data-source="post: 4282266" class="bbCodeBlock bbCodeBlock--expandable bbCodeBlock--quote js-expandWatch">

ask them if they discount the rent when people scream at them because they think it is to high?

That is Good : )

I'll call ya when I apply it! Tell the story, lol





Sent from da parking garage of dee detention center

 

[SMRBAP]

Amy,

Think about this scenario -

They have a $10k deductible.
Their adjuster approved your invoice at $15k.
They get $5000 after deductible is removed.
Apartment tosses anything they can your way to get you to come down to $7500.
Now their out of pocket cost is $2500

Don't eat it. It's a simple fix.

Tell them you want to meet with their adjuster on site to verify what you completed was:
A) To acceptable standards
B) Followed acceptable protocol
C) Is in line with what THEY, the insurer have or would have paid out (their deductible is their problem not yours)

The rest is obvious if all three of the above are within standards.

You simply tell them tough luck - pay the bill or lien the property and begin legal action.

You have to clean a ton of units to make a $7500 profit - and it doesn't sound like you'll get any more work even if you concede.


Get this in your contracts:

Water damage mitigation is a progressive condition, therefore it is impossible to quote an accurate price prior to work commencing. All verbal quotes are meant as a average guideline, however final billing is derived from actual hours, materials, and rental rates as per IICRC S-500 standards, utilizing Xactimate standardized line item pricing. You agree to remit payment for all costs required for successful mitigation as per S-500 standards and practices and Xactimate pricing guidelines.

I am finding more and more the average residential water damage is the best job to procure - in, out, and you aren't dealing with the insurers heavy hitters (large loss adjusters).

 

[amygeorge]

Thanks for the help and encouraging words. I didn't hear a word from them yesterday. Waiting for the ball to drop!


Sent from my iPad using Tapatalk HD

 

[tmdry]

If you do not have a business lawyer, get one immediately.

Send this out to your lawyer right away, a simple letter from the law office will 80% of the time resolve this, if not than you will go to court and you will win.

We've had several that we've done this way.

And don't do apartments.

 

[millbiller01]

How did it work out?
Hopefully in your favor.

 

[amygeorge]

I offered a 10% discount and they agreed. They haven’t called in 3 weeks, so I guess they’ve hired the old carpet cleaner they were so happy to get rid of… He drives from Paducah - 60 miles away. He uses a portable and has to have help getting it up the stairs. They’ll be back - but it will take some time. Maybe when they get a new property manager. If we were in an urban area, that would mean a few months, in this case, a few years. Jobs are hard to come by out this way. It’s why I bought a carpet cleaning business…

amygeorge

 

[Lee Stockwell]

Did a double take on Paducah, which is the biggest town in our market, about 40k.

 

[amygeorge]

Lee,

Paducah, AKA Cottle County, is one of the top two poorest counties in the state of Texas. Lost 22% of its population since the last census in 2000. The county has a total of 1,169 people unless someone died this week. Boys, when I say I serve a very poor rural area, I really mean it!

amygeorge

 

[Chris A]

The county has a total of 1,169 people unless someone died this week. Boys, when I say I serve a very poor rural area, I really mean it!

amygeorge

Holy shite, I think more people live in my development!

 

[amygeorge]

Crowell, Foard County is my neighboring county with less than 1,000 in population and is right between Paducah and Vernon. I live in the metro area - Vernon, Wilbarger Co. with right over 10,000 in population.

 

[Desk Jockey]

The metro area! LOL

 

[hogjowl]

Nobody from Kansas has any right to judge, Toto.