Expert Blogs

Grooming new SuperStars is the easy part.  The tough part is having a system to hire the best candidates today…who will be the future leaders in your property management company, tomorrow.  Follow the three steps in this article and the dream of having a powerful farm-team is just months away! Hiring the best:  An artist would say, “give me great clay and I’ll craft beautiful sculpture”.  The same goes for...

What percentage of  the housing stock in the United States is represented by multifamily?  We define multifamily as property with five or more dwellings.  One would think there is an easy answer, alas, many very well-informed individuals and institutions have varying answers.  So how many multifamily dwellings are there in the United States, really? In a country of over 314 million people fully one-third live in rental housing. ...

When reviewing real estate for purchase there are varying types of local market knowledge; knowledge of the physical asset, the  property around the physical asset, knowledge about the market, the submarket and the people who live and work close by.  How deep is your local market knowledge? The data can be segregated into four categories: 1. The subject asset- the potential acquisition candidate. 2. Assets adjacent to the site- those...

People within the industry have strong opinions about asset class differentiation.  I"m referring to designating assets as Class A, B or C.  For the institutional buyer, any deal under 200 units is considered non-institutional and therefore cannot be considered an acquisition candidate.  Another easy qualifier for institutional deals is ceiling height. Assets, regardless of size, without nine foot ceilings are screened out by many corporate...

Is there a connection between war and when housing cycles recover in the greater economy? The guns versus butter argument revolves around the theory that any society has limited resources and we have to choose wisely how we deploy them. While food (butter) is a necessity of life we also need to protect (guns) the food we have otherwise someone stronger will take away from us the food we have produced. Therefore, while it is good to grow food, it's...

A recent study of Experian RentBureau data found that more than 50,000 renters who initiated their leases over a six year period ended their leases owing money. Industry experts convened during the National Apartment Association Education Conference to analyze the study of more than 750,000 U.S. renters of class A & B properties. While some of the analysis may have had predictable outcomes, several findings concluded very surprising results. The...

The secret to buying low and selling high is the same secret to losing weight: time, focused attention and following a quality plan of action.  Yet, if this was easy everyone would do it, right?  Buying low is a relative term? Low where? A Plan, Time and Expertise Making money in any business requires a plan of action, time and expertise; and we need all three to have a high degree of success.  In real estate, add capital. Lots and lots...

Can employee reviews really be positive and profitable?  You bet!  Follow the steps in this article and the changes in your property management company will be felt immediately!  How you and your company handle each employee review is a direct reflection of your leadership and the importance of each individual within your property management company. Preparing for each review:  Start by establishing the frequency and time frame for your...

As busy property management professionals we only have so much time for industry-related activities. Yet keeping current, staying relevant in our selected field of expertise, is part of staying ahead of the curve.  The choices can be over-whelming.  Do we devote our training dollars to in-house activities; become actively engaged in local and regional associations or national events? Following are a five websites that can engage your property...

It's now the year 2050. History has a habit of repeating.  People have short memories and all of our institutional knowledge does not transfer from one generation to the next.  This is where the saying comes from that "those who are unaware of history are bound to repeat it". Based on a recent downturn in the world economy some of the largest banks in the world are reducing capital availability even to their best customers. As we...

It's no small task to add a demographic component to your knowledge base about  a particular  property or portfolio. Getting  "granular" by creating layered demographic maps can be very expensive. The more detail requested the more expensive the mapping outputs. Broad mapping outputs are  generally free. County and city maps, for example, provided by the U.S. Census Bureau are free and can generate an accurate guide on...

In multifamily acquisitions the best time to think about  your exit strategy is before the acquisition.  The same rule applies to determining or establishing average annual turnover.  What better time to look at turnover than before buying the deal? Your objective when reviewing turnover is to identify the source: is turnover "natural" or attributed to other causes? What are  these "other causes" and can these...