Asset Management is similar to Property Management in many ways, but differs in some key areas. While a Property Manager’s job is to keep a property occupied and operating smoothly as a successful rental, an Asset Manager has additional duties above and beyond those of a typical Property Manager. Asset Management requires specialized skills, insights, and abilities to not only operate a successful rental property, but to also find ways of improving the properties performance and increasing profits. An Asset Manager can be compared to a CEO of a rental property, in that the main duties are to increase the property owner’s overall profits and Return On Investment (ROI).
Asset Management involves staying ahead of maintenance, finding ways to increase a property’s desirability and market demand, and to find avenues of improving performance and profits. While a good Property Manager will handle maintenance as it comes up, an Asset Manager must stay in front of these issues and prevent them before they arise. Asset Management also involves studying local rent prices and adjusting rents as necessary to keep the property in line with shifting market trends and demands. In short, an Asset Manager acts like the owner of the property, whose primary objectives encompass everything that a traditional Property Manager does, in addition to insuring the property is operating at its maximum potential.
Our basic fee for Asset Management is 1 percent of Gross Annual Revenue, or $150 per month, whichever is greater. If you have a property and would like to discuss whether traditional Property Management is right for you, or if you would rather have an Asset Manager oversee the property similarly to how a CEO would run a business, with profits as the overall bottom line, contact us at Management 1 Tri-Cities Realty & Property Management today.