Why You Need Asset Management
If you are like most single-family rental property owners, you got into this business to earn money. And although there is nothing wrong with that, it’s important to note that your rental properties are also assets. Over time, these assets will appreciate in value and may provide a substantial return on investment. But for your assets to reach their full potential, you need to actively manage them.
Real estate asset management is all about protecting and increasing your assets. It’s not just about ensuring your properties are well-maintained and producing income today, but it’s also about ensuring they will continue to for years. That’s why a good asset manager will continually explore ways to improve your properties and increase their value.
How Asset Management Differs from Property Management
Now that you understand more about asset management, let’s compare it to property management. Though both disciplines are important, they do have some key differences.
Property managers are in charge of the day-to-day operations of your rental properties. This includes marketing and leasing, rent collection, maintenance and repair, and evictions. In short, property managers make sure your renters are pleased, and your properties are operating smoothly.
On the other hand, asset managers focus on your assets’ long-term growth. This means recognizing opportunities to improve your properties and increasing their value. Asset managers also work with you to build a strategic plan for your rental property portfolio. This plan will outline your goals and objectives and the steps you need to take to reach them.
While property management is vital, asset management will help you maximize the return on your investment. Rental property investors who partner with a property management company that also offers real estate asset management services recognize higher profits and stronger portfolio growth.
At Real Property Management Momentum, we are a top choice for investors seeking quality property and investment portfolio management services. We offer a range of services to help you optimize your existing properties and grow your rental property portfolio. Contact us online today to learn more.