Are you planning on investing in your first multifamily property?
Multi-family investment properties are an excellent way to build wealth and generate consistent cash flow every month but, the big question is what are you supposed to do after you purchase your first property?
If you plan on managing that property yourself, there are several things that you need to do immediately after the sale goes through including the following:
Step #1 – Build A Team
The first thing that you need to do if you plan on managing your multi-family investment property yourself is to establish a team of trusted professionals that you can turn to assist you with managing that property.
Your team should include a maintenance professional, asset manager, and somebody to assist you with handling customer service so that you can focus on getting your multifamily property running professionally and efficiently
By treating your property as a business, you will be able to have more time to focus on building a portfolio of investment properties, instead of getting overwhelmed with all of the day today tasks which come with owning and managing a multi-family property.
Step #1 – Walk The Multifamily Property
It doesn’t matter if you purchase a duplex, triplex, fourplex, or midsize apartment building, the most important thing that you need to do after the sale goes through is to walk the property.
This step is important because of the simple fact that if any time has transpired since the point when you made your offer, and the deal closed, the property may have maintenance issues that need to be resolved.
You never know if a tree has fallen, or if a leak has sprung up, this is why you should walk the multifamily property because this will help you to see if there are maintenance issues which need to be addressed immediately.
Should you hire a maintenance company to walk the property? Even though you may be tempted to have a trusted associate or your maintenance technician walk the property, the reality is that the bigger the property is, the more important it is for you, or your asset manager, to walk the property to confirm the current condition that it’s in.
Step #2 – Communicate With Your Tenants
After taking the time to walk the property, the next thing that you should do is introduce yourself as the new owner of the property to the current tenants.
This step is vital because the current tenants of the property have a vested interest in who the new owner is going to be and the last thing that you want to do is to take over the property without introducing yourself or explaining to them that your mission is to improve their quality of life there.
If you can’t knock on doors and introduce yourself to your tenants personally, you should consider mailing a letter of introduction to each tenant who lives at the property.
Taking the time to personally introduce yourself to tenants will help them to grow comfortable with your style of management and it will provide them with the assurance that they can depend upon you to handle any maintenance issues or problems at the property they may have while they live there.
During the process of introducing yourself to your tenants, you should also address any concerns that they may have about the property and provide them with the right method that they can use for connecting with your maintenance staff if there are any ongoing maintenance issues in their units that need to be resolved immediately.
Tip – If you haven’t invested in an online portal to connect with your tenants, you should set up a digital portal that gives them the ability to submit maintenance requests to you over the internet. This will save you the hassle of having to take calls, emails, or text messages from tenants personally and provide you with a funnel that you can use for handling those maintenance requests promptly.
Step #3 – Don’t Postpone Dealing With Maintenance Issues
After taking the time to walk the multifamily property, and connect with tenants, the next thing that you want to do is to deal with maintenance problems at the multi-family property immediately.
Taking care of maintenance immediately is important because if you put off maintenance, you’re going to lose tenants and jeopardize your passive income.
Another practical reason to resolve to deal with maintenance issues immediately is the fact that a $10,000 maintenance bill today, could turn into $50,000 maintenance bill two weeks from now, if you postpone dealing with the problem.
Partner With Trier Capital
If you’re ready to take the step of investing in your first multi-family property but you’re not excited about all the day to day aspects that come with managing property, I invite you to partner with Trier Capital.
Trier Capital is a private equity firm that makes it easy for you to passively invest in lucrative apartment building syndications.
We do all the hard work to find and acquire ideal properties, and then oversee asset management after purchase, while our investors sit back, relax, and receive tax-advantaged passive cash flow.
To learn more about partnering with us, contact me today by calling (630) 229-2383 or click here to connect with me online.