When you find a good asset manager and a good property manager, you can trust them with your investments. They can take a lot of weight off of your shoulders—something that most of us are looking for in today’s hectic world! Many owners understand that good property management is central to their real estate business, but do you know why asset managers and asset management analytics are important? Read on to learn more.
How does Asset Management and Property Management Differ?
Asset managers and property managers serve two very different roles for commercial property owners.
Property Manager Responsibilities:
- Manage day-to-day operations on a property level
- Show property/units to prospective tenants
- Find and/or screen tenants
- Answer tenants’ questions and address issues
- Manage maintenance and repairs
- Enforce the rules of the property
- Collect rent and other fees
- Ensure tenants take good care of the property
- (Sometimes) help with budgeting and other financial matters
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Asset Manager Responsibilities:
- Manage the big-picture financial matters, including asset management analytics
- Prepare financial forecasts for properties
- Figure out a property’s financial performance using cash flow analysis/internal rate of return
- Determine a property’s value
- Make plans for increasing/maximizing the value of the property
- Negotiate deals regarding the property
- Work with lenders
- Help owners sell their property for more than they bought it for
What do Asset Managers and Property Managers have in C
When you find a good asset manager and a good property manager, you can trust them with your investments. They can take a lot of weight off of your shoulders by acting on behalf of you when it comes to your property. Here are some of the advantages you get from both asset managers and property managers.
Both Help Increase Your Profits
According to the definition of asset management on Investopedia,
“The purpose of asset management, whether with real estate or any other asset, is to cultivate market value so ownership can increase its returns.”
“The property manager acts on behalf of the owner to preserve the value of the property while generating income.”
Even though they go about it in totally different ways, your asset manager and property manager both have the responsibility to maintain (and hopefully increase) your property’s value. Both professionals can help you get the best value out of your rental property and ensure steady profits over time.
Both Save You Time, Enabling You to Focus on Growth
Without a doubt, t
Both Are Experts in Their Respective Fields
This brings us to the next point: asset managers and property managers are experts at what they do, meaning that they can probably do their job faster and better than you could do it yourself. Sure, maybe you’re capable of doing what they do, but it’s safe to say that you probably lack the depth of experience that these professionals have.
Why isn’t Asset Management Considered as Crucial as Property Management?
It’s easy for most property owners to understand why they need a property manager. Clearly, as a busy business owner, you don’t want to get a call at 3
But sometimes, it’s hard for property owners to understand how an asset manager can help them. They think they have the financial aspects of their property under control. And maybe they do! But they might be underestimating the impact of an experienced asset manager and a deep view into asset management analytics. In other words, t
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Why it Makes Sense to have a Property Manager and an Asset Manager
When you have a property manager, your day-to-day operations will be handled, saving you time and often helping to increase your profits. And when you have an asset manager, you can make smarter financial decisions, maximize your income or ROI, and save time while you’re at it. Asset management analytics is key. But when you have both, you’re in a position to save time, get double the professional advice/help, and grow your business even more! Certainly, there are tools like STRATAFOLIO that can help you with your asset management responsibilities no matter how your company is structured.
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- Asset Managers: Just as Crucial as Property Managers? - November 25, 2020