As a single-family Northbrook rental property owner, you are also an investor. Regardless if you’re just about to begin, or there is already an extraordinary rental property investment portfolio, it’s crucial to understand the difference between property management and real estate asset management. Even as the new investors repeatedly confuse the two, the truth is that property managers and asset managers play two very different roles in rental property investing. To improve and maximize a well-rounded investment portfolio, you need a property management partner that can do both. Let us look at how Northbrook real estate asset management may help you grow your single-family rental property portfolio.
Why You Need Asset Management
If you’re like most single-family rental property owners, you got into this business to make money. And even though there’s nothing wrong with that, it’s important to remember that your rental properties are also assets. As time goes by, these assets will appreciate in value and can give a huge return on investment. But then again, for your assets to reach their full potential, you need to actively manage them.
Real estate asset management is all about protecting and enhancing your assets. This is not just about ensuring your properties are well-maintained and producing income today, but it’s also about securing they will continue to for years. That’s why an excellent asset manager will always find ways to improve your properties and increase their value.
How Asset Management Differs from Property Management
You now know more about asset management, let’s compare it to property management. Even though both disciplines are crucial, they do have some key differences.
Property managers are responsible for the day-to-day operations of your rental properties. This consist of marketing and leasing, rent collection, maintenance and repair, and evictions. In short, property managers are there to ensure that your renters are content and that your properties are running well.
On the other hand, asset managers focus on your assets’ long-term growth. Additionally, this means identifying prospects to improve your properties and increasing their value. Asset managers likewise work in partnership with you to produce a strategic plan for your rental property portfolio. This plan will describe your goals and objectives and the actions you need to take to reach them.
Although property management is important, asset management will help you maximize the return on your investment. Rental property investors who partner with a property management company that also offers real estate asset management services understand higher profits and stronger portfolio growth.
At Real Property Management Chicago Group, we are a top choice for investors seeking quality property and investment portfolio management services. We offer a range of services to help you optimize your existing properties and grow your rental property portfolio. Contact us online today to learn more.
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