Real Estate Investment Questions?
The number one question I hear from investors after they’ve bought a couple of investment properties is ‘do you self-manage?’ followed quickly by ‘who is your property manager?’
I have an excellent property manager, and a great management team, and business advisory panel. Having the right people is absolutely essential to your success. With the right people you can be successful in any industry, any market, and any economy.
Building the Best Team for Your Real Estate: Property Mangement
The most essential part of your real estate investing team, particularly for REIN members, is your property manager. How do you get a terrific property manager? Here you’re going to get some suggestions from my experience working for some amazing investors, many of them diamond rein members (over 100 properties) and several in the book 51 Success Stories from Canadian Real Estate Investors.
- Bring them good properties. Don’t buy crap that neither one of us would want to rent.
- Pick a professional. Pay them well. Let them spend their doing their job, not asking them stupid questions.
- I’ve already said it. Don’t call your property manager.
- Treat them at least as well as you treat your tenants. Lots of investors like to send gift baskets to their tenants, or Starbucks gift cards on their birthday. If you want success you bloody well better be doing something for your property manager.
- Pick one month a year as your ‘management holiday’ and don’t bug your manager at all!
- After a year or two, give them a trip to a Quickstart Live! or buy them a book or two.
- Be at least as interested in their success as you are in yours. It’s the same principle as when you’re working with Joint Venture investment partners. It’s got to be Win-Win; win for them first, then for you.
- When your manager calls with good news, party, and use the chance to build a more personal relationship. Talk about kids, pets, or your personal Belize. Now they’ve likely got a minute to chat, so ask your stupid questions.
- When your manager calls with bad news, don’t complain, don’t whine, and don’t drag your feet. Offer your assistance unconditionally. If they’re asking for $2,653 to cover some repairs that cash flow won’t cover….trust your professional and send them a nice round $2750!
- Remember that they’re a team member, not an employee. They can also fire you! If you’re a high-maintenance owner, you might find your property manager
And that’s about all I’ve got for now. Hopefully these suggestions will make the world a little better for real estate investors and for property managers.