How to manage your US property portfolio and profitFebruary 1, 2015
Your American property manager misses you…
That’s right investors, pick up the phone and call your US property manager and say, “hello”. For investors who own property overseas or even interstate, we rely on our trusted property managers to look after our wealth creation vehicles – our property portfolios.
Real estate investing is a business and for the Australian’s who are building cash flow positive US property portfolios – it is a profitable business. All profitable businesses have a smart management team in place and an effective communication system. Real estate investing is also a relationship business. Building a relationship with your property managers is important to achieving profit and growing your portfolio long term. Here are 3 tips to building a strong relationship with your American property manager.
Understanding reports – Expect that no two property management companies will have the same software for delivering monthly reports and income statements. It is your job as an active investor to know what each companies rent collection and rent distributions dates are. You will then know when to check you bank account for your rent money deposits and your email for the monthly statements. If you don’t understand how to read the statements then call your property manager and ask her to explain them to you in detail. It’s important to interpret the income and expenses accurately. This is a great time to connect with your property manager and build the relationship.
Effective communication – The key to any relationship is effective communication. You are the investor and team leader so it is important for you to establish the system for communication. A skilled property manager may be looking after 100 plus properties across a number of clients. You want to stand out as an owner who cares about their portfolio and will be taking a proactive interest in the property’s performance.
We live in a time when communicating with suppliers and team members overseas has never been easier or free. You can use Skype or Google plus to have a free face-to-face conversation over the Internet with anyone anywhere in the world. You can use the Viber app to make free phone calls to other users from your mobile phone. WhatsApp and Facebook allow you to instant message globally for free.
A faceless, voiceless email only relationship with you property management team is not enough of an effective communication system. From time to time you will have to schedule face-to-face check in conversations with your US management team. Ask about market trends and learn about the person who is looking after your wealth creation assets.
Professional relationship – Your aim is to build a strong, professional relationship with your American property manager. Your property manager should be someone who you gel well with, and are comfortable having a chat with. If you’re uneasy or something just feels “off”, go with someone else. Better work’s accomplished when both parties respect each other. Take an active interest in your team and connect online. Let them know if they are meeting your expectations or if you would like to see something done differently.
Property managers understand their market demographics, demand and rental pricing. Use them as a resource and listen to what they have to say. Seasoned American property manager Riana King of RPM Pinnacle in Phoenix believes that trust is another very important piece of the relationship with your property manager. Make sure that they have your best interests at heart. Ask yourself these questions; are they managing the investment as if it were their own? Is managing rental property what they do full time? Are the accessible whenever I have questions? Communicating with your manager on a regular basis will help you know these answers.
If you haven’t picked up the phone in a while to catch up with your US property manager, now is the time to reconnect. Try new face-to-face, online communication technology. Let your US property manager know you real estate investment goals for 2015.