Industry experts published annual predictions for property managers and real estate professionals a few weeks ago. Based on market research and consumer trend indicators, 2014 has potential to be a year of growth and change. Developing response strategies designed to capitalize on research and indicators is one way to get ahead of the competition in 2014.
As an individual property owner who has been managing your properties yourself, you’ve spent hours dedicated to keeping the property attractive and operating smoothly. According to the US Census Bureau, about 50% of all property managers are self-employed. Dealing with the terrible three – tenants, trash and toilets – twenty-four hours a day to keep your property values high can be demanding.
Whether you’re already employed as a property manager or you’re considering a career change, you may be asking, “Is property management right for me?” In order to answer this question, you’ve got to be informed — and in the case of property management, that means understanding what the job entails. Read on to learn about the skills, knowledge and duties involved in property administration — and what they entail in a position as a property manager.
According to a recent study, America’s Rental Housing, conducted by the Joint Center for Housing Studies of Harvard University, 35 percent of all households are renters and 21 million of those renters pay more than the recommended 30 percent of their income on rent. The conclusion many have taken based on these numbers? That a significant amount of people are renting and paying far more than they should be. While many of the points within the study were valid, we wanted to give our take on the data and dig deeper into what our customers are experiencing in the rental market firsthand in various metros.
Years later the housing market is still feeling the effects of the crash that almost destroyed America’s real estate industry. Many markets have still not fully recovered and many families are still suffering from the consequences. While much of the discussion about the housing crash has been focused through the lens of the single-family homeowner, multifamily housing investors were affected by the crash in unique ways as well. As the government struggles to build reforms that will prevent another crash from ever occurring again, some are worried multifamily investors may be forgotten.
K. David Meit, CPM®, is the President and CEO of Oculus Realty. With approximately 25 years of experience managing all classes of multifamily properties, David is an expert in everything real estate, from financing, marketing and leasing, to real estate investment, operations and renovations. David is also a past president of the Property Management Association (PMA). His interview below provides invaluable advice to property managers and owners.
A widely accepted economic fact is that something is worth what someone is willing to pay for it. That holds true whether the item in question is a signed baseball, a new car, or a dinner at a restaurant. It also applies to real estate. When you decide to price a piece of property for sale, what you paid for it, how much you owe on it, what you’ve invested in it, what you’d like to get for it, or what you think it’s worth is irrelevant.
Interest rates are still at historic lows and property values continue to be depressed. However, recent actions of the Fed and growing seller demand appear to be forcing an increase in both. Those trends might not be reversing any time soon, so now might be the right time to invest in another rental property.