It is no secret that real estate investing can be a profitable and enjoyable venture. However, it can easily become hard to manage and stressful. Things can happen unexpectedly, and you are in charge of making sure they are handled correctly. This is why it is important to manage not only your property, but your management approach itself. It is important to know your strengths and weaknesses so that the day-to-day operations of your property are lucrative and enjoyable. Here are some tools for optimizing the performance of your investment that are essential for your “management toolbox”, especially when starting out or when looking for ways to improve.
Think ahead and prepare ahead of time
It is important that you have plans for most situations. Of course, life has a funny way of throwing unprecedented situations at you, and preparing for these situations ahead of time will leave you better-equipped to handle them in real time. That is why contingency plans are important. In case of emergencies, such as floods for fires, you should have a plan in place. Additionally, you should have a plan set in place outlining your protocol for dealing with unhappy tenants or customers as a result of the emergency situation. This will strengthen customer relationships. If you address it full-force instead of avoiding the situation, the issue will likely be resolved in a professional and effective manner. If you already have a plan outlined, you can focus all of your energy towards handling the situation efficiently and masterfully. You will rest easy knowing that if anything goes wrong, you have a solid plan to back you up.
Leave a paper trail
Document everything, if you can. It is important that you find the best note-taking system that works for you, whether on a phone or on paper. This allows you to have a reference for the future of your successes and failures so that you can continue to grow and achieve success as a property owner.
Did you hire an efficient maintenance worker one week and next month another property needs maintenance? Good thing you have written down their information and your experience with them, so you do not have to waste your time looking for someone who will do a good job. The more you document about your day-to-day operations, the more you will see you are managing your time efficiently and hopefully focusing more on optimizing your profits.
Treat time like the precious resource that it is
Try keeping track of how you spend your time for a whole week. By building this habit up, you can then look back on your week and know how you spent each hour. With this, you can better prepare for the next week and manage your time as efficiently as possible. At times, it is shocking to see the discrepancy between the time we think we need for one task versus the amount of time it truly takes. By logging these hours, you will get to know yourself and your time restraints better. In turn, you will be able to schedule your time out for the future, so that you are not overhauled and overwhelmed with managing your time. With more time on your hands, you can optimize the precious hours in your day for what you truly need.
At PMI Legacy, we have been managing properties with professionalism and efficiency for a long time. We have numerous success stories, and we would like to add your story to the list. Contact us for help managing your property in a way that will guarantee your success in this once-in-a-lifetime venture.