Your multi-unit properties are a business. Hopefully they are a profitable one. But not only is your monthly cash flow important to you, it can determine the value of your buildings when it comes time to refinance or sell. Your NET OPERATING INCOME is a number that can affect you in a number of ways.

AM I GETTING MAXIMUM INCOME?  You should raise your rents, if allowable by your municipality once a year to the maximum you are allowed. If you don’t, you are allowing your asset to underperform. Are there rents that haven’t been raised in more than a year? Are there units which need a major remodel in order to command market rents for your location? Think about investing in yourself (and your building) in order to produce the best returns available.

AM I REGULATING MY EXPENSES? Do you have a procedure in place to check for water leaks? If not, maybe set up an inspection of all units at least twice a year. Are the vendors you are using for plumbing repairs, HVAC and pest control competitively priced? Is it time to get new bids on things like pest control before I sign another contract? Are any contracts due? It’s always good to get recommendations from others and bids from different providers on repairs. This can lead to finding new vendors to add to your list. Is it time to refinance my loan? Maybe there is a 2nd TD coming due where the beneficiary would take a discount for a quicker payoff.

DO I HAVE THE RIGHT CURB APPEAL? Maybe poor landscaping or an older paint job is giving you less curb appeal. You may be able to do some inexpensive repairs, move some trash or clutter, improve signage and increase your bottom line. Take a look at your building as if you were going to live there. Maybe have others you trust do the same. Often, a new set of eyes will notice something that you may have been missing.

Regardless how long it has been now is a great time to look at your multi unit property to see if you are leaving money on the table every month.

What we at PRS PROPERTIES CAN DO. We can recommend lenders who can help you regardless of credit, should you decide to do some repairs or updates yourself .We can also recommend qualified contractors who we have worked with, who can provide excellent building improvements for a fair price. We can also look at your building for other changes that might allow you to get a higher value in order to create value without huge expenses for your building. We can help you to get the maximum value for your property, should you decide to sell, or the maximum return if you are planning to keep your building.

We always have many investors who are looking for “as-is” properties and are willing to purchase with low rents, a moratorium or even with a problem tenant in place. We have put together numerous transactions over the years which involve properties that are not listed for sale. Many investors are in 1031 exchanges and need to identify a replacement property before their 45 day identification period runs out.

Should you decide to put your property on the market, we will put together an aggressive, targeted and professional campaign to get your property sold fast. We have been doing this for over 40 years, and we will use all the tools available to bring you the most dollars at closing. If you are thinking of selling or are just curious about the value of your property, don’t hesitate to give us a call.