We have long felt tenant screening is the most important service we provide. When we place qualified tenants that stay longer and pay on time – we both win. To this end we screen every potential tenant using an online subscription service that provides us with credit information, eviction history, and criminal records. We also verify identity, income, and previous rental history. Using this information, we apply strict criteria that we have developed over many years of property management experience to select only the most qualified tenants. Due to fair housing laws and other concerns, we do not allow owners to approve or select tenants.

Accounting runs in a perpetual cycle. During the first of the month, we collect rental payments from tenants. During the middle of the month, we handle collection issues and at the end of the month we balance accounts and send reports to owners along with electronically transfer owner proceeds. In between these major functions, we enter and pay invoices, process tenant move- outs, and answer owner and tenant account questions. At the core of our accounting is our property management software. Hidden Creek Management uses the industry leading AppFolio Property Management software to administer and maintain our accounts. AppFolio is a fully integrated online software that provides us with advertising features, tenant screening options, online portals for both tenants and owners, online applications, tenant lease signing, automatic owner statements via email, and much, much more.

Hidden Creek Management pays out owner draws the last 2 business days of the month. This payout is for all money collected during that month. This is done to make sure that all funds collected are valid and to avoid cutting out multiple checks for individual owners in a single month.

There is NO fee for setting up direct deposit and we strongly encourage our owners to take advantage of this service. Direct deposit is much faster and more reliable than the US Mail. We also still offer a printed check that can be mailed directly to you for a small fee.

With your owner draw you will receive a copy of your cash flow statement that shows all activity on your account for the month. Other financial reports are available upon request.

As with many things today, our primary marketing tool is online advertising. We use digital pictures, detailed descriptions, and mapping software on our website www.hiddencreekmgt.com- as well as a network of approximately 50 other rental sites to market your property. Many of those sites propagate out to other sites and this can make it difficult to determine an exact number of sites where your property will be seen. We also use MLS on properties that meet certain criteria. In recent years, we have moved away from the heavy use of yard signs. This is because of security concerns with vacant homes in our market. Potential tenants today, almost without fail, research areas online when looking for housing. The yard sign ends up being more of an advertisement to the neighborhood inviting trouble than a benefit in finding tenants.

Each property is unique. Our goal is to provide you with the information you need to help us position the property in the market to rent it as fast as possible. 4 variables usually determine how long it will take. The condition of the home (cleanliness, fixtures, and finishing), market demand, location, and pricing. We work diligently with our owners to optimize each property to maximize rentability and minimize downtime.

Hidden Creek Management uses many different tools to analyze and determine market rent. We use one of the most powerful online property management software in the market. This software provides us with instant comparable rentals within the immediate area comparing bedrooms, baths, square footage, and neighborhoods. We also use several online sites including MLS. We combine that information with many years of experience in the market to calculate a projected market rent. With our online advertising programs, we can also quickly judge the market response and adjust pricing accordingly.

About 60-90 days before a tenant’s lease is set to renew, we evaluate the property and tenant history to formulate a recommendation to the owner. We begin by determining the property’s current market rent rate and market demand. From there we look at the tenant’s history taking into consideration their time at the property, late payments, HOA or city complaints (if any), and excessive or tenant caused work orders. With that information, we contact the owner about 45 days out and share our recommendations. It is always a balance of maximizing rent against minimizing turnover (expense) and weighing that with an owner’s personal feelings on how aggressively to manage that risk. Once an owner advises us on how they wish to proceed, we go to the tenant and attempt to have them renew. If the tenant has any questions or issues, we will work between the parties to resolve.

Hidden Creek Management uses independent contractors that are appropriately insured and licensed to perform all maintenance. This protects our owners from a myriad of liabilities issue and concerns. We shop local vendors and because of the volume of business we generate, we can command lower than market rates and superior service.

We provide live 24-hour maintenance by phone, text, email, and an online portal to make sure no issue goes unchecked. This provides our owners peace of mind knowing that maintenance issues are being handled promptly, efficiently, and in a cost-effective manner.

Night and weekend maintenance calls are handled through the 24-7 Maintenance Line, which automatically calls our emergency contact person when a situation arises. We will dispatch contractors to address issues if there is an immediate concern for the property or the tenant’s safety. You will be contacted and advised the next business day if the situation requires your attention.

We set a $250 maintenance limit, and we always maintain a $250 reserve amount in your account. This allows us to pay invoices that we may receive between us paying your owner draw and your tenant paying rent. It also provides funds to immediately begin the eviction process if necessary. We will not authorize work to be done without proper funds in your account. If circumstances arise where you do not have a tenant in place or the cost of the work exceeds the incoming rent, you will be required to make an owner contribution before work is scheduled. We will notify you of all maintenance requests and will await approval on non-critical maintenance.

Due to liability concerns, we strongly urge our owners to not perform their own maintenance.

Even with the best of intentions and diligent screening, tenants sometimes still fail. This can happen for any number of reasons from losing their employment, relationship issues, and family illness to name a few. When this happens, Hidden Creek Management moves as quickly as the law allows to begin and move through the eviction process. Rent is due on the 1st and is late after the 5th of the month. Tenants are aware of these dates as they are noted in their lease and are covered during their move in process. After rent is 15 days past due, North Carolina general statute allows eviction proceedings to begin. Once that threshold is crossed, Hidden Creek Management provides our eviction attorneys the required information and the process begins. In Watauga County, the process usually takes around 30 days and depends largely on how full the court schedule is. In surrounding counties evictions generally move more quickly. Once we go through the process, the tenant may still pay the rent due and all eviction fees OR if we chose not to accept the funds, we will take possession of the property. If the tenant does not move out in compliance with the court ordered eviction, we then file a writ with the local sheriff. This is basically a request to have the sheriff enforce the court order and they will remove the tenant from the property.

Most tenants have pets. It is completely up to the owner to decide if they want to allow pets but completely restricting them will likely increase the properties time on market. We suggest offering properties as “pets conditional” and making decisions on a pet-by-pet basis. We also charge tenants a non-refundable pet fee per pet and often an additional rent premium for the privilege of having a pet. Please note that service animals and pets are not the same and an owner does not have the right to restrict properly documented service animals.

When a tenant elects not to renew their lease, we advise owners to expect an upcoming vacancy. Upon move out – within 24-48 hours – Hidden Creek Management will perform an inside evaluation just as we did prior to tenant move in. During this process, we will take between 50-150 digital pictures of the property detailing all the home’s systems. This includes but is not limited to light and plumbing fixtures, HVAC, appliances, as well as walls, windows, flooring and the exterior components of the property. We compare the documentation from the move out evaluation to the move in condition. With that information we determine the disposition of the tenant’s security deposit and document any necessary deductions. As required by North Carolina Statute we must settle and report to a tenant no more than 30 days after they move out.

Hidden Creek Management also provides the owner with a detailed list of items that will need to be addressed before re-leasing the property. These items normally include paint touchup, cleaning the flooring and minor punch list items such as light bulbs and door stops. We also rekey each property after a tenant moves out to remove any safety concerns. Outside items that may also need addressed often include gutter cleaning, bush and limb trimming, replenishing the mulch and sometimes power washing the exterior of the home.

Security deposits are often the source of questions from both owners and tenants. A security deposit is received from the tenant at the time they move into the home. The amount of the deposit is noted on their lease and in their general ledger. These funds are held by Hidden Creek Management in accordance with strict North Carolina general statute. These funds belong to the tenant for the entirety of their tenancy. Statute provides specific guidelines for how Hidden Creek Management manages these funds and how they can only be “settled” after the tenant has moved out of the property. Hidden Creek Management will and does hold all tenant security deposits in a separate interest-bearing account setup by the agent for such purposes. The Agent is not required to and will pay no interest to the owner on these monies. This account is located at Skyline Bank in Boone, North Carolina, under the name of Hidden Creek Management, in an Escrow Trust Account.

If you are holding security deposit funds when a new property is brought to Hidden Creek Management, those must be turned over to us when the management agreement is signed. As mentioned above, once the tenant moves out, Hidden Creek Management conducts a full property evaluation. From that evaluation a determination is made on what, if any, deductions may be withheld. State Statute does advise that “normal wear and tear” is expected and should not be charged to the tenant. However, the statutes do not specially define “normal wear and tear” and leaves it to local courts to determine. Through our many years of management experience we have developed a system of formulas and standards based on size of the home and time of tenancy to define “normal” that the local courts will support.

If the tenant’s security deposit is not sufficient to cover items that are above and beyond normal wear and tear, the tenant will be submitted an invoice for the difference. If the balance is not paid within 30 days, they will be placed in collections.