property management

Let’s talk about Real Estate Asset Management after you close Escrow. Rob Rowsell has the rundown on what you should expect from your property management company’s business plan once you close on Escrow. Work hand in hand with your on-site manager and his team, so they know what to expect from you, and vice versa. Regular weekly meetings are key tools to keep up with the management team’s progress. Rob recommends quarterly on-site visits as well.

Real Estate Asset Managagement - After you close Escrow, what do you look for in a Property Management company?Real Estate Asset Management through a Property Management Company

You’ve closed Escrow on your new multifamily investment. Now what? When you hired a property management company, they agreed to your written business plan for your real estate asset management. Make sure this plan includes:

  1. Monday Morning Reports (MMR): Train your onsite manager on how you want this spreadsheet filled out weekly. They should report how much rent is collected, vacancy percentage, evictions, renewals, number of maintenance calls made and performed, and number of parties interested in the property.
  2. Weekly Meetings: After each Monday Morning Report, you should email your questions and concerns, then have a phone or Zoom meeting to discuss them. For smaller properties, you may not need to meet each week, but at least bi-weekly meetings are important. Ask the hard questions!
  3. Review Income Statements: You’d be surprised about how much money is leaking out the door due to regular tasks being put off or neglected. Examples include overdue electric bills accruing penalties, and utility bills not being switched over to tenants as soon as they move in. Perhaps the property has bought equipment or tools that the maintenance staff should already own.
  4. Site Visits (as needed): You should occasionally drop in to see the rental property in person. Quarterly is typically the right frequency.
  5. Managing Construction (Value Add): Usually, you or a teammate will need to oversee your construction manager for repairs.
  6. Negotiating Contracts with Vendors
  7. Approving Cap Ex proposals
  8. Regular Investor Updates: Rob posts videos in his online portal to update his investors on their property.
  9. Quarterly Investor Disbursements
  10. Whatever Else May Come Up…

Join Our Community

Do you own multifamily properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Enroll today!

In this clip, Rob Rowsell explains property management companies. Who are they? What do they do? Why do property investors need to know about property managers? If you invest in multi-family apartment homes and rental properties, this video is a must watch!

Property management companies are a must if you own multiple rental properties. Just choose a good one!

Property Management Companies Questions Answered

Addicted To Life Community member Andy asked Rob if he used property management companies for his multi-family homes. How does the process work? Rob confirmed that yes, he did, then and began to explain.

Property managers are paid based on a percentage of the rent monies they collect. They are independent, third party companies. The companies that Rob does business with employ an online dashboard with weekly reports on the number of new applicants and how many new tenants those applications converted to.

Data also includes how many evictions, moves, and skips happened in the past week, plus how much rent was collected. Plans to resolve rent delinquency are also included.

Another major plus is that, after the Monday morning online reports, Rob can meet with the property management companies online to discuss the stats and keep them accountable.

Agreements With Property Management Companies

Rob pays an annual fee to the company in order to contract them. Both he and the companies and part ways with 30 days notice. Either party can cancel their agreement for any reason.

Andy asked another great question. Do these companies only operate in single states, or do they do business nationwide?  Rob confirmed both to be true. He uses one company that manages properties in Missouri, Oklahoma, and Texas, as well as another one that only focuses on one state. One company he let go is doing well in other states, but for some reason, was not performing in Texas.

Join Our Community

Do you own multi-family properties? Do you aspire to? Then you should consider joining our online discussion group, the Addicted To Life Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate. Having a successful guide in your corner like Rob is a must! Enroll today!

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KEY Topics Discussed:

  • Financial Friends
  • Syndication 506B Specifics
  • Syndication 506C Specifics
  • Syndication 506D Specifics
  • Property Management Companies role
  • KP – Key Principles role
  • GP – General Partner’s Role
  • Eating your own cooking
  • Velocity of Money