Everyone knows there’s a big difference between talking the talk and walking the walk. Property management companies can excite you with plans and promises, but do they actually deliver on them? Is the one you hired worth the expense?
If your apartment building is underperforming, something is off within your operations of the property. Losing money on your investment could be a lack of management experience, poor quality tenants, or lackluster amenities. If your property is underperforming, you want to fix it as fast as possible because, in this state, you're losing potential income. When the multi-family building has normalized, you'll see an increase in profits.
Alberta’s recent recession is still on the minds of people throughout the province. As it’s likely to go down as the worst yet that the province has experienced, it’s no wonder people can’t stop talking about it; neither can investors.
Over the past few years, you've seen the strength of your apartment building falter. It used to generate income splendidly, and you had a wait list for your units a mile long. Now, it's nowhere near like that. Your vacancy rate is much higher than you'd like it to be. Your out-of-pocket expenses keep growing, your tenant turnover is high, and you've had to make more than one cash call to other investors that aren't too happy with you.
Enlisting the help of a property management company makes sense for many investors who may not have the time to devote the proper attention to their investment. A property management company can maintain and improve the day-to-day operations of your multi-family building. But who's to say they're doing a good job?