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how to be a property manager
October 29, 2019

How To Be A Property Manager Successfully

James Summerlin / Blogging /

Approximately 34% of American adults rent the home or apartment they live in. With more people renting than at any other time in the past 50 years, investors are starting to look for rental properties to buy. Most investors don’t have the time or experience needed to manage their own properties.

This why they typically hire professionals to manage their properties. If you are interested in how to be a property manager, then you need to get ready for some hard work. While managing various properties can be time-consuming, it is worth the effort considering how lucrative this job can be.

The following are some of the things you should consider when trying to become a successful property manager.

Getting Familiar With The Properties You Manage

When trying to become a successful property manager, you need to work on getting to the know the ins and outs of the properties you have been tasked with overseeing. The more a person knows about the inside and outside of a property, the easier they will find it to maintain it.

A familiarity with the vital systems a property has is also a great way to catch repair issues early on. Staying one step ahead of these problems is essential when trying to keep clients happy.

If a new property manager ignores the need for this in-depth property knowledge, it can lead to a variety of mistakes being made. The last thing you want is to upset a new client with poor service. This is why you need to invest time and effort into familiarizing yourself with properties you have been hired to manage.

Work On Being Available and Dependable

One of the main reasons why property owners hire a management firm is to save time and money. A property owner needs to find a property manager who can help them whenever they have a problem at one of their homes or apartments.

Having success as a property manager will require you to work on being dependable. If you tell a client you are going to do something, you need to follow through.

If you get a reputation for being unreliable, you will have a hard time landing new clients. The key to keeping tenants happy is under-promising and over-delivering on a consistent basis.

Put the Right Team in Place

As your property management business starts to grow, you will find handling all of the work on your own impossible. Instead of letting important tasks fall through the cracks, you need to outsource some of these responsibilities to a third-party.

Working with a larger and more experienced property management firm is a great way to ensure tasks are completed in a timely and efficient manner.

Learning How to Be a Property Manager Takes Time

Instead of getting in a hurry, you need to realize that learning how to be a property manager is not an overnight process. While you will have to spend a lot of time learning the ropes of property management, it will be worth it in the long run.

Are you looking to outsource parts of your property management business? If, contact us now to find out how we can help.

hiring a property manager
September 17, 2019

5 Ways Hiring a Property Manager Can Save You Money

James Summerlin / Property Manager /

Fun Fact: Over 10% of all housing in America is vacant all year round. That’s an alarming statistic when you consider that many of these properties don’t have to be.

If you’re in the situation where you want to rent your property but you don’t the best way to do it then worry no more. We’re going to tell you why hiring a property manager will be the best decision you’ve made in years.

1. Less Time Vacant

It goes without saying that no one living in your property equals no income from rent or other payments. The longer your property sits vacant the more money you are losing. This applies to both property upkeep and lost income.

One of the most efficient ways to combat this is to consider hiring a property manager. Established property management services have the tools in place to ensure your property gets exposed to a larger market. This can dramatically reduce the time it takes to secure a new tenant, saving you a lot of money.

2. A Higher Class of Tenant

With that said, you don’t want just anyone living in your property. If you get stuck with a bad tenant then there are ways to get rid of them, but why go through all that hassle?

Hiring a property manager can ensure that you only get the type of people that you want living in your property. This is ensured through a process of rigorous tenant screening conducted by the property management company.

This won’t just save you money from common problems with nightmare tenants, such as unpaid bills either. It will also give you some much-needed peace of mind.

3. No Nonsense Approach to Rent Collection

On the subject of bad tenants, if you’re already stuck with one, or one slipped through the net then don’t worry. Hiring a property manager takes the hassle out of difficult situations like rent collection.

If you’ve been in the situation of listening to ridiculous excuses why rent can’t be paid before then you know how hard it can be. Hiring a property manager can remove this grueling task. This is achieved by adopting a tighter rent collection policy, ensuring payment is on-time, every time.

4. Don’t Sweat The Small Stuff

There really is no end to the list of things a competent property management company can do. We’ve mentioned how hiring a property manager can help with rent collection, but that’s just the start. A property manager can also:

  • Handle repairs and contractors
  • Field phone calls on your behalf
  • Liaise with tenants (including handling evictions)
  • Renew leases
  • Collect Rend

And much, much more. You’re not going to understand the true power of a property management company until you get in touch. However, it’s needless to say that you will have more time for yourself with the property manager handling all the small stuff.

5. The Law of the Land

As with many things, the law associated with property ownership and renting can be a minefield. If you don’t know the rules and regulations to the letter then you can find yourself in hot water.

This is where hiring a property manager really helps. Sure, they can take care of all the stuff we’ve mentioned before. But the real power of a good property management company comes from their industry knowledge.

A professional property management company knows all the applicable laws. Because of this, they’ll be certain that you’re always obeying them.

Even if you do fall foul of an unavoidable lawsuit, the property manager will be fighting in your corner. With a property manager and their real estate attorney contacts, you can be safe in the knowledge that you’re always on the right side of the law.

Hiring a Property Manager is a Win for Everyone

Now that you realize the benefits innate with hiring a property manager, what are you waiting for? Don’t let your property go vacant or your rent uncollected for a day longer. Get in touch with a professional property manager today and save yourself a fortune.

Are you in the market for a professional property manager? Get in touch with us today and see how we can help you. Also, if you’re looking for more great property management advice then why not check out our blog?

real estate questions
August 13, 2019

Important Real Estate Questions Asked By Buyers

James Summerlin / Real Estate /

Are you in the market for a house?

While every person and house is different, there are some things that don’t change. For instance, every prospective buyer will always have questions about the home buying process.

We’ve got the most common real estate questions asked by buyers so you can be prepared with the answers you need to close the deal.

Let’s get started!

Financial Real Estate Questions

Money is an important part of life and a major part of every real estate transaction. Many of the questions buyers have will have to do with the financial aspects of the undertaking.

Some of the financial real estate answers that buyers will want may include:

Does the House Have a Mortgage?

An interested buyer is going to want to know what kind of financial debt is associated with the house. This may include questions about the current mortgage or whether there are any liens on the property.

They’ll also want to know what kind of restrictions are on the property for building, changing, or developing as they wish. No one wants to spend hundreds of thousands of dollars for their dream project only to learn they can’t build what they want on the land they’ve just paid for.

What Are the Property Taxes?

Another of the expenses that most buyers are curious about before signing on the dotted line is the amount of property taxes. No one wants to be shocked when the property tax bill comes in and it is a lot higher than expected.

What About Commissions, Inspections, Fees?

Before entering negotiations or putting an offer in on the house, a buyer will want to know all the expenses associated with buying this property. These include the commissions, inspections fees, and other expenses they’ll have to shell out before moving in.

Inspector Gadget

Almost every buyer will have some questions about the state of the house they are considering. While they can walk through it a hundred times themselves, there is some information you just can’t determine by simply attending an open house.

Lights, Camera, Action: What’s up with Electrical Matters?

Most buyers will want to know more about the electrical system in the house. Inquiries about when it was installed, any problems, repairs, or issues are to be expected.

They will most likely want to see the fuse box or circuit breaker for a better idea of what they’re dealing with. Most people will inquire about the details of a house inspection and if one hasn’t been done, will either negotiate that into the terms or get one themselves before closing.

Have Any Repairs or Upgrades Been Done to the House?

They’ll want to know when repairs and replacements were done on the house. The roof, plumbing, basement and everything in between.

Are There Any Water Issues?

These may include:

  • Are there water pressure issues?
  • Is the house on well water or city?
  • Is it on a septic tank or sewer system?
  • Have there been any leaks, flooding, or situations to cause mold?
  • Are there any water flooding issues in the residence or on the land?

Any issues with standing or flooding water may not be apparent at the time of year the house is being sold. It’s important to have full disclosure into any water issues prior to making the commitment to buy a property.

Ask These Real Estate Questions Before Committing Yourself

Asking the right real estate questions now could save a buyer a great deal of money and headaches a couple of months or years down the road. And as a buyer, you now know the kind of questions you need to ask.

For more information on real estate and property management, keep reading our blogs!

questions to ask property manager
July 18, 2019

6 Very Important Questions to Ask a Property Manager Before Hiring

James Summerlin / Property Management /

If you own commercial property, you already know how much work and maintenance is involved.

A property manager can help you organize processes, keep a close eye on the building, and manage other important things like processing rent payments.

Before you choose someone to manage your property, read on for six important questions to ask a property manager before you make a final decision.

1. What Kind of Services do You Offer?

Some property managers offer full building maintenance, while others simply help you market your commercial property. Find out exactly what the scope of services is that your potential property manager offers. This will give you a clearer picture of what to expect in the future.

2. Questions to Ask Property Manager: How about Experience?

Like any other profession, experience matters. Find out how long the property manager has been in business and what other clients they serve. The length and quality of experience can give you peace of mind when it comes to reliability and trustworthiness.

3. What About Cancellations?

The cancellation policy is part of many questions to ask property manager. Find out what their policies entail in case you need to find an out for whatever reason. You don’t want to get locked into a contract that you can’t exit later if you absolutely need to.

4. Can I see Your Fees in Advance?

All property managers will charge a fee for their services, but these can vary greatly between companies. Ask about a list of all fees in advance so you can plan ahead for your budget. Some property managers may offer a flat rate of ten percent, while others might charge individual fees for each specific service you require.

5. Am I Able to Sell Whenever I Want to?

There may be a time when you decide you’d like to sell your property. Make sure that your property manager has no restrictions when it comes to the sale of your building. Some companies have a clause where they force you to sell property with them, which is something you should never agree to.

6. How is Rent Collected?

Find out how the monthly rent for your property is collected, whether it’s via direct deposit, check, or online. It’s important that you know exactly when rent is due so you can manage your income effectively. Ask the manager about their payment process and what the rules are on late payments and possible evictions.

Asking the Right Questions Will Give you Peace of Mind

Use these questions to ask property manager to help you get a handle on your next prospective management company. Once you have all the information you need, you’ll be better able to make a solid decision that serves your best interests.

Contact us today for your property management needs, and be sure to visit our blog for helpful information about home renovations, property manager tips, and much more. 

property management company
June 7, 2019

Getting the Help You Need: The Top Tips for Hiring a Property Management Company

James Summerlin / Property Management / property management company /

Do you have a robust real estate portfolio?

Congratulations! You’ve taken the first step. Now it’s time for you to grow and add to your portfolio.

The number of renters in the United States is continuing to increase, so now is the perfect time to expand your business.

If you are thinking of hiring a property management company to help, there are a few things you need to know.

Keep reading to learn five things to look for when picking your business partner.

1. How Many Properties Do They Manage

The first thing to ask a potential management company is how many properties they manage.

A good employee with the right tools can typically manage between 30 and 40 units, so you want to make sure that they are equipped to handle your units.

2. How Often Are Inspections Performed?

Your property needs to be inspected from time to time. Ask your management company how often they will be performing them.

Most companies will be accommodating to your needs. But if you run across one that complains about what your requirements are, then you may need to look for another company to manage your rentals.

3. What Reports Do You Get

A good management company should keep you updated on what is happening with your properties. Ask about the type of reports you get and how often you get them.

Make sure you receive details on any late payments, repairs, and any other relevant information.

4. How Are Tenants Found?

Do you have any particular standards for tenants that you like? Make sure your property manager can hold to your standards.

Ask about tenant screening procedures, so you know that due diligence is being done.

Other companies will send you potential renters so you can sign off before moving someone in.

Whatever the procedures are, make sure that you are comfortable with them or you may run into problems in the future.

5. Figure Out the Fee Structure

Make sure you ask about the fee structure you will be committing to paying.

Fees typically range from 7% to 10%. But you need to know if that fee is from total rental income or potential rental income.

Here are some of the other fees that you could see in an agreement:

  • Vacancy fee
  • Administration fee
  • Set-up fee
  • Leasing fee

Costs can add up, so make sure you can afford to pay them.

6. Ask for Referrals

Before you commit to anything, ask the people you know and the management company for referrals.

Referrals can let you know what it is like to work with a particular company. They will be able to tell you what problems that came up, how well they communicate, and how well they resolved the issues that come up.

Hire a Property Management Company to Help

You don’t have to go at it alone. When you hire a property management company, you’re getting a partner that will help you make your real estate business a success.

The time you save managing your properties can now be spent on activities that will build your business even more.

Are you looking for a management company to help? Contact us to learn how our services can help!

Renovating Your Rental Property
May 8, 2019

Renovating Your Rental Property – Five Essential Tips

James Summerlin / Property Management /

Your home’s appearance can make the world of difference to people looking for properties. If your decor is too dated, people will look elsewhere. If you’ve had a tenant redecorate and they have pretty unconventional tastes, potential tenants could be turned away by that. Making your home appealing to the masses is a vital part of being a landlord. This short guide offers five tips to ensure that your home looks its very best and that you’re never without a tenant.

1. Fit Some Shiny New Windows

One of the most important things to consider when it comes to marketing your property is how it looks from the outside. Your property could be a palace inside, but if the exterior looks dilapidated, you’ll struggle to find a tenant. Installing new windows not only dramatically increases your curb appeal, but it can also save money in the long run thanks to the insulating properties.

2. Apply a Fresh Coat of Paint

One of the cheapest ways to remodel your property is by applying a fresh coat of paint to the walls. Decorating in neutral colors makes your property appealing to the widest range of people – let’s face it, electric pink isn’t an enticing choice for your lounge walls. If you’re handy with a paintbrush, you could consider doing this yourself to keep your costs low.

3. Invest in New Flooring

Gone are the days when tenants would look at a plush carpet and see it as a plus point. Hardwood flooring is easier to clean and a lot more durable. Investing in engineered wood flooring is a great choice for landlords looking for flooring on a tight budget. Engineered wood is a great addition to your home as planks don’t buckle, shrink, or expand. It would even go great in your bathroom or front entrance, thanks to its waterproof qualities.

4. Upgrade Your Kitchen and / or Bathroom

Making minor upgrades to your kitchen or your bathroom can have a better return on investment than large scale remodeling. For example, if you replace the doors on your cabinets rather than the entire thing, you create the look and feel of a brand new kitchen but at a fraction of the price.

5. Consider Adding Outdoor Space

If you’ve got room to create a sitting area in your yard, you should definitely consider doing so. Wood composite can provide a cheap alternative to real wood and looks virtually identical. Having space to relax in the garden is a major plus point for potential tenants.

When you’ve finished remodeling your home and it’s ready for tenants, you could benefit from the services of a professional Colorado Springs property management company. Using a Colorado Springs property management company takes the headache out of being a landlord, and leaves you with more free time to spend as you see fit.

multi-family real estate
May 7, 2019

5 Critical Tips for Mastering Multi-Family Real Estate Management

James Summerlin / Property Management /

A surprisingly high percentage of people see owning their own business as a desirable goal. How high? For men and women, respectively, it’s around 70% and 60%.

Some view real estate investment and management as the right business opportunity. It lets you stay local and deal with a comparatively small customer base once you have tenants. 

If you’ve never done the work before, though, multi-family real estate management can prove challenging. Keep reading and we’ll give you some key tips for getting started. 

1. Do Your Homework

A real estate investment property isn’t just about how things look now, but how things will likely look in 5, 10, or 15 years. You must consider neighborhood trends. Is the area in decline, gentrifying, or stable.

How much will renovations cost? Can you charge enough in rent that you’ll recoup those losses in a practical timeframe? What will the market bear?

Is the property positioned near useful shopping opportunities or a major local employer?

You must balance all of this information and weigh whether you’ll ultimately gain from the investment or not.

2. Leverage Technology

Like most major industries, real estate benefits from a healthy ecosystem of software. Multi-tenant management software helps keep you organized as you advertise, screen, and sign leases with new tenants.

Try out demos of different software packages and find one that suits your work approach. Remember, features don’t mean much if you hate the software and can’t find anything in it. 

3. Tenant Selection

Tenant selection will play a huge role in the successful and enjoyability of your real estate experience. You will need some basic screening factors, such as minimum income and personal recommendations. 

There are some areas you must avoid asking about at all costs because they violate the Fair Housing Act. Some of the topics you can’t ask about include:

  • Race
  • Religion
  • Marital status
  • Sexual orientation
  • Disabilities
  • Kids

You can’t disqualify someone for any of these reasons or even criminal convictions in some states.

4. Use Checklists

Make copious use of checklists. They help you formalize processes and make sure things don’t get missed. A basic move-in inspection checklist and move-out inspection checklist ensures you don’t charge a tenant for problems they didn’t create.

5. Outsource

Unless you have a lot of free time or you’re a licensed contractor, you should develop good outsourcing relationships. At the least, you should have numbers for a reliable electrician, plumber, and contractor.

It’s also quite common for investment real estate owners to outsource lawn care/landscaping duties to a professional service.

Parting Thoughts on Multi-Family Real Estate Management

Multi-family real estate management is a lot of work. You can simplify the process with substantial research, leveraging software and checklists, and outsourcing.

Tenant selection matters a lot because good tenants prove profitable while bad tenants soak up time and resources. Just take care you don’t violate any provisions of the Fair Housing Act while screening potential tenants.

Outland Real Estate specializes in real estate along California’s Central Coast. For assistance locating or purchasing a multi-family property in that region, contact Outland Real Estate today.

residential property manager
April 22, 2019

Residential Property Manager vs. Real Estate Agent: What’s the Difference?

James Summerlin / Property Manager /

The allure of making money from investment realty sounds great in reading. Once you get into the details you begin to realize it’s a whole lot of work! Add distance between you and the rental and now there’s a slew of challenges.

You worked with a real estate agent in getting the property. Now, the residential property manager steps in to make your life a lot easier.

What is the difference in tasks between these two roles? Keep reading, we get into the finer details of what each does. And, what a property manager and realty agent bring your foray with real estate income.

The Role of Your Real Estate Agent

The primary role of a realty agent is facilitating property sales. The individual tasks they take varies with expertise and commitment. 

A real estate agent may do one (or all) of these activities:

  • Researches the current market, trends, and strategies
  • Lists and supports property listings, showings, and promotions
  • Handles inbound and outbound efforts with leads

The real estate agent’s task is complete when the property sells. This means they’re a transactional investment, earning a commission on the sale. 

The Role of Your Residential Property Manager

A property manager undertakes the day-to-day operations of a rental. You remain the landlord but tenants report to the company, instead.

The tasks handled by a manager can include:

  • Finding new tenants or retaining them
  • Dealing with the troublesome tenants
  • Satisfying tenant needs such as fixing items
  • Handling transactions, paperwork, and taxes

There is overlap, too, in which managers may also act as realty agents. This means you can work with them during the home buying or selling. Plus, retain their services for the maintenance so you’re mainly hands-off.

As the Landlord: Which Offers More Value?

The answer to this question depends on your property goals:

  • Getting out or doing a flip
  • Holding for the long-term

The real estate agent is the obvious choice if you intend to sell. They have your best interest in prettying-up the property. And, getting it sold at a high price without it lingering on the market.

The property manager looks for ways to align with your long-term goals. Their success comes from your success. If buying & holding, consider property management companies with your best interests in mind.

Also, consider the value in scaling.

Each time you buy and sell a home you’re looking at realty agent commissions. You’ll have big wins with each sale but who knows the downtime in-between. Or, whether you can keep up with the drive as you age.

Working with a property manager lets you focus on one thing: obtaining more property. That’s the fun part of property investing, right?

Remove the Headaches from Home Ownership

You know that time is money as a property investor. The more time you have fiding, renting, and/or selling properties the better for your bottom line. So, consider working with a residential property manager.

Let us handle day-to-day operations while you sit back, relax, and collect the money. Be sure to learn about our services and how we can help your realty investing portfolio grow.

property management
April 8, 2019

How to Understand Property Management

James Summerlin / Property Management /

Estimates show that a property owner spends roughly 4 hours per month per rental property. That’s roughly 96 hours each year dealing with tenants, evictions, leasing, and inspections.

Some investors decide that their time is better spent elsewhere and hire a property management company to oversee their properties.

Read on for 6 tips to understand property management, what it entails, and what is included.

1. Leasing to New Tenants

One of the main duties of a property management company is to place a tenant in your property.

The amount a property management company will charge for this service can range from half a month’s rent up to a month’s rent.

A low leasing fee could mean that your property manager doesn’t advertise much or screen applicants in depth.

A great property manager will verify a potential tenant’s income, look at their credit report, run a criminal check, check references and look at their the rental history.

2. Management Fee

Understanding property management means understanding the various fees that the company will charge you.

One of the most common is a management fee. This fee could be between 8-10% of the total rent.

Make sure you understand exactly what is covered by this fee. It could include inspections and repairs. Or those could be separate services that are charged separately.

Will your property management company charge this fee only when the property is occupied? Or will they charge this fee even when the property is vacant? Find out before you sign.

3. Repairs

Repairs are a necessary part of owning a property that you rent out. And they can be handled in various ways.

A property management company may have a staff of handymen that can make repairs. These members of staff will go in before each new tenant moves in to do repairs such as touching up paint, fixing light fixtures and loose flooring, and so on.

But, other property managers outsource all repairs to a general contractor who can charge high rates for his or her services.

It is often more economical for you as the investor if the property management company has handymen on staff.

When you interview various property management companies, ask how they handle repairs.

4. Inspections

It’s important to understand property management in terms of day-to-day work. A property manager may manage 20 or more properties for various investors.

One of the main roles of a property manager is to inspect the properties. A property manager will assess the condition of the property and ensure that the tenants are abiding the rules.

Some property management companies include inspections as part of their management fee. Others charge per inspection.

It’s a good idea to have an inspection every couple of months. This prevents small issues from getting out of control and turning into expensive ones.

5. Renewal Fee

A renewal fee is a fee that most property managers add on to your bill whenever a tenant renews his or her contract.

The cost of turnover and vacancy is expensive. In fact, it can cost you $1,750 a month.

So it’s in your best interest as an investor to have tenants that renew their contracts.

6. Eviction Fee

Eviction is unpleasant for everyone involved. One of the main reasons investors hire property managers is to avoid dealing with evictions.

You can expect to pay a fee if your property manager needs to file for eviction and handle court proceedings.

Final Thoughts on Property Management

As you can see, property management comes with various services. Some of these can be included in your management fee or might be charged individually.

Either way, having a property manager for your investment property takes the stress and time commitment off your plate.

Learn more about why you should choose a property manager for your rental home.

property management company
February 28, 2019

Why Choose A Property Management Company to Rent Your House

James Summerlin / Property Management / property management company /

Owning a rental property is a smart way to create a passive income on top of your normal day job earnings. 

But handling a rental property and your normal responsibilities can be a challenge. That’s why you should consider hiring a property management company. 

We’ll take a closer look at why you should choose to work with a management company below. 

So let’s dive in! 

What Is a Property Management Company?

A property management company handles all the work that comes with renting out a house. 

They’ll market your rental property, find tenants, take care of necessary repairs, make sure the home stays in good condition, collect rent, and communicate with the tenants on your behalf. If something goes wrong with a tenant, a property management company will even take care of the eviction process. 

You’ll get all the benefits of renting out your home without doing any of the work yourself. 

This can be helpful if you’ve never rented out a house before. The property management company will use its experience to help your rental become a success. 

It’s also a good option if you don’t have enough time to handle the duties of a landlord yourself. 

But don’t worry, you aren’t switching out one hassle for another. Property management companies are independent contractors. That means you won’t have to act as an employer (which just means more work). 

Instead, you can relax and let the management company handle all the details for you. 

Why You Should Hire a Property Management Company to Rent Your House

A property management company might sound nice, but is it the right fit for you?

For many people, that answer will most likely be yes. 

Why?

Because property management companies take care of the entire rental process for you. This frees up your time to focus on your business, your family, or anything else that’s important to you. 

Here’s a closer look at some of the main benefits of working with a management company. 

They’ll Find Good Tenants 

Finding a tenant isn’t necessarily hard, but finding a good tenant can be a tricky process. If you don’t do a thorough screen of your tenant before they move in, you can be stuck with a terrible tenant that can leave your property with a lot of damage. 

Property management companies know how to find tenants that are a good fit for your home, so you won’t have to worry about difficult renters. 

They’ll Handle the Paperwork 

Being a landlord involves a lot of paperwork. If you don’t want to spend your weekends trying to find the right forms and (hopefully) fill them out properly, you’ll want to work with a management company instead. 

Again, they already know what they need. So they’ll ensure your rental property meets all the legal requirements. 

They’ll Take Care of Any Issues 

Did the stove stop working? Are your tenants complaining? Are they refusing to pay rent?

The property management company will take care of these things. You don’t have to worry about them. You can just sit back and collect the rent money. 

It’s Time to Hire a Property Management Company 

A property management company makes it a lot easier for you to rent out your home, especially if you have never done it before. 

Are you ready to hire a property management company?

Make sure you click here to take a look at how we can help you! 

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