The first thing that needs to be considered is buying the right real
estate and getting a property that can be managed successfully. I was
talking with a potential investor yesterday that wanted to purchase
duplexes and Four Pl-exes.
I explained that the areas would have to be stellar for that type of
property to be successful. First the property had to be in a good area
and generate higher rents. That does two things, gets better tenants and
pays everyone more money. Buy in bad areas becomes a money pit!
When you go out and eat there is a big difference between Denny's and
Ruth Chris Steak House in the quality of food you will get. The menu at
Ruth Chris is much more money than Denny's menu. That gives the eatery
more money and helps waiters and waitresses get better tips. The
experience at Ruth Chris is much different than Denny's.
That is how you should look at your portfolio. The areas you buy in will
generate different tenants and that is the key to success.
I personally get calls every week from investors that are not getting
their rent and want better property management. Unfortunately in a lot
of cases, we have to tell them that their property is not in an area we
manage. Just a few days ago an investor sent 7 properties over for
Avalon to manage. We only took one property and the investor was happy
we did that.
Property Management that handles both types of real estate high end and low end has a ton of work ahead of them. The low end real estate takes
up a tremendous amount of time for the property management. That means
more expense for everyone involved. The investor and the management
loses because the low end properties have a tough time generating profit
for anyone.
Turn around on tenants and maintenance alone will cost a lot of time and money for the management to keep going.
Avalon Group Realty only handles good real estate with quality tenants.
This allows them to generate more money for the clients and in turn for
them. This allows the investor to have more income while their equity
grows for the future.
Getting the right Property Manager requires the right real estate and a
property management that refuses to manage difficult real estate.
Need property management? Call me (Brett) 216-703-5740 Fathom Realty or WhatsApp me
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Thank you