Is Self-Managing Real Estate Assets Your Model?
Here's an article representative of the owner-operator/landlord's view...A few things to think about before you dive in. The value of a cashflow investment property is largely determined by its income producing power. It is indeed the income that influences you to buy it, not the building itself. The income is only as stable and reliable as the strength of the tenants and the lease terms and how the leases manage cashflow volatility. A self-managed model means you are responsible for the physical maintenance, tenant relationships, compliance, and protecting the asset's value by way of effective financial management. Self-managing property isn't for everyone. Enough technical knowledge of property maintenance, negotiation and soft skills for tenant and service provider relationship management, and even more technical skills in financial analytics and management are critical. Buying a lease at Office Depot and calling out tradesman after something breaks or fails isn't a recipe for success. Click here for article.