Small apartment buildings are very popular investment. The reason for the popularity is the high return on investment. However, not all small apartment buildings are successful. The success of an apartment building depends upon the quality of management. A few principles should be followed to make sure that your investment is profitable.
How to manage small apartment buildings?
- Keep yourself updated on local laws and regulations – Fair housing rules, fire and safety laws and other regulations should be studied. Fair housing rules insist that no discrimination should be done based on age, gender, race and marital status etc. This should be followed very strictly. Federal rules like ADA requirements for handicapped-accessibility should also be followed. State Laws say that essential utilities cannot be shut off for late payment of rent. Laws like this should be remembered.
- Repair and maintenance – An important issue that should be taken care of is ‘repairs and maintenance’. A clear lease agreement on who is responsible for repairs and maintenance should be clearly written. The lease should include information like alterations made by the tenant, alert of defects and compensation of damages etc.
- Staff supervision – The staff of an apartment building includes maintenance staff, janitorial staff, security guards, plumbers, electricians and others. They should be supervised well. They should be made to work as a team. Without the cooperation and coordination of the workers, it is impossible for an apartment building to function effectively.
- Carrying out day to day operations – Day to day operations include mail delivery, trash collection, waste disposal and fire safety etc. These activities should be carried out without any flaws.
- Good communication – Tenants are the pillars that support success of an apartment building. Communicating with the tenants is very important. Maintaining cordial relations is important to avoid vacancies and to fill in the vacancies.
- Minimization of costs of the tenants – Try to introduce innovative techniques to minimize costs without making any compromises in their standard of living.
- Training of staff – Are you planning to have your own team of staff? If so, you should train them to meet your needs and expectations. Proper training ensures efficient functioning.
Are you a landlord of one or more small apartment buildings? Do you have doubts if you will be able to manage them successfully? Don’t worry. You can hire a property managing company to help you. Managing an apartment complex will no longer be a headache to you.
Make sure that you choose one of the best companies to manage your property. Look for experience, credentials, licenses, accreditation, insurance etc. Property managers with Master’s degree in business administration are a big plus. If they have work experience it is an added bonus.
A good apartment manager will take up all responsibilities like getting good tenants, inspecting the property, getting rent checks within the stipulated time, maintaining property and many more. They will make sure that your small apartment building is a success.