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Property Management vs. Portfolio Management: What’s the Difference?

Richmond Heights Investor Looking at Reports with a Portfolio Manager

Richmond Heights Investor Looking at Reports with a Portfolio Manager

As a single-family Richmond Heights rental property owner, you are also an investor. Whether you are just getting started or already have an amazing rental property investment portfolio, it’s relevant to understand the difference between property management and real estate asset management. Although new investors confuse the two, the absolute fact is that property managers and asset managers play two very different roles in rental property investing. To set up and maximize a really solid, well-rounded investment portfolio, you will need a property management partner that can do both. Let’s take note of how Richmond Heights real estate asset management can help you increase your single-family rental property portfolio.

Why You Need Asset Management

If you’re like plenty of single-family rental property owners, you got into this business to get profits and benefits. And though there’s nothing wrong with that, it’s relevant to take into account that your rental properties are also assets. Soon after time, these assets will appreciate in value and can yield a vital return on investment. Nonetheless for your assets to reach their full potential, you need to actively manage them.

Real estate asset management is totally about protecting and magnifying your assets. It’s not just about ensuring that your properties are well taken care of and earning income today, but on the other hand, guaranteeing they will continue to for years. Because of that, an impressive asset manager will, again and again, look for ways and means to improve your properties and increase their value.

How Asset Management Differs from Property Management

Now that you understand more about asset management, let’s compare it to property management. Conceding that both disciplines are necessary, they do have some key differences.

Property managers are responsible for the day-to-day operations of your rental properties. This includes marketing and leasing, rent collection, maintenance and repair, and evictions. Simply stated, property managers do make sure your renters are taken care of and satisfied, and your properties are doing good.

On the other hand, asset managers focus on your assets’ long-term growth. This points out discovering appropriate opportunities to update your properties and increase their value. Asset managers even assist you in producing a strategic plan for your rental property portfolio. This action plan will state your goals and objectives and the courses of action you need to take to reach them.

Even though property management is significant, asset management will help you maximize the return on your investment. Rental property investors who partner with a property management company that similarly grants real estate asset management services obtain higher profits and stronger portfolio growth.

 

At Real Property Management Endeavor, we are a great choice for investors searching for the ideal property and investment portfolio management services. We endow a range of services to enable you to optimize your on-hand properties and successfully grow your rental property portfolio. Contact us online today to learn more.

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