- No.1 - Facilitate data management
- No.2 - Handle multiple assets
- No.3 - Help tenants promptly
- No.4 - Monitor the budget
- No.5 - Keep track of maintenance schedule
Property owners and managers with a large rental property portfolio by default need more hours in a working day.
But what’s crucial at the end of a month is that all the effort that was invested was worth the profit that was accumulated.
However, sometimes you may feel that you wasted too much time doing menial tasks and that you are not satisfied with the result when you add time into your profitability equation.
It is vital to facilitate certain operations by using different means so that you can use that time to focus on improving your services and relationships with your tenants.
Since quality asset management is the key to a successful rental business, here are five tips on what to consider to achieve the best results:
No.1 – Facilitate data management
Regardless of whether you are a property manager or owner, there is a large amount of information that you need to operate with, perhaps even on a daily basis, depending on the volume of your rental property portfolio.
You also need to be able to access them at any time so as to be as efficient as possible. Searching for data on the tenants, rent schedules or investments regarding the property in a bunch of papers is not only time-consuming, but there is also a chance of data loss which can seem unprofessional and have a detrimental effect on your profit.
By introducing data management software to your rental operations, you will greatly improve asset management because you will have access to all information via any device whenever you need it.
No.2 – Handle multiple assets
The amount of obligations you have regarding one rental grows exponentially with the growth of your rental property portfolio.
Imagine the confusion if you mixed up rents’ due dates, information on the tenants or maintenance schedules for different properties.
Not only would you potentially create a financial problem, but that would also seem unprofessional. Improving individual asset management helps keep such issues at bay, while your reputation in the eyes of your tenants grows.
Satisfied tenants spread the word about your rental properties more efficiently than any marketing campaign, which is why you need to be extra careful and use all available resources if you are handling more than one rental.
No.3 – Help tenants promptly
If you wish to find tenants who are decent and pay everything on time, it is necessary to offer them a rental that suits their needs.
Not taking care of the property will turn away any prospective trustworthy tenants and you might end up lowering the rent and decreasing your profit.
This means that if your tenants encounter an unexpected issue with the property, you need to have the means to help them quickly.
There are different communication channels you can keep in touch with them and it’s essential you are at their disposal whenever you are able. A wise idea would be to give the number of a repairman in advance, so that if some issue arises, they can contact that person and notify you that they did, so you can cover the expenses.
No.4 – Monitor the budget
Anything you invest in your rental can be returned to you manifold because people would pay more for a place where everything functions normally and which is not bug infested or filled with mold.
However, to be able to afford any improvements and to still earn some profit, you need to be careful with your expenditure and to keep track of your income.
Many software solutions you can use for data entry and communicating with the tenants also have the option to keep tabs on these two parameters.
For instance, if something breaks down in the middle of the night, the tenants can contact both you and the repair agency through the software so you would know exactly the cost behind the repair is.
No.5 – Keep track of maintenance schedule
As the saying goes, it’s better to be safe than sorry and in terms of asset management, it is essential to schedule regular property maintenance.
Naturally, you can go with writing down everything in your planner but you can also opt for some online tool to help you keep track of all tasks and send reminders when the time comes to call the repairmen.
If you own one or two apartments in a strata complex with shared ownership of driveways, foyers, etc., the maintenance schedule of those shared facilities is probably quite confusing. This is where a reliable strata management software would come in handy, so you know exactly what is due when.
Besides aiding with management, these cutting-edge tools also help keep an amicable relationship with the other owners.
Managing a large rental property portfolio can be quite a challenge but luckily, with detailed plans and good organizational skills, you can make time for anything.
And the best thing is that you can only benefit from that additional time or money that you invest in creating a better asset management strategy, especially in terms of profit.
About the author: Mike Johnston is an avid freelance writer and blogger. He’s a regular contributor to numerous blogs and online magazines. Mike’s specialty are topics related to interior design, real estate, property management and environmental sustainability.