Operating multifamily properties like a business can yield incredible results. In this episode, Ashley Wilson provides valuable insights into operating multifamily properties like a business rather than just as real estate assets. Her focus on controlling operations, renovating units quickly, and analyzing marketing strategies demonstrates how a business mindset can maximize returns.
Ashley Wilson is the founder and CEO of Bar Down Investments, co-founder of Apartment Addicts, and co-founder of HouseItLook. She is a bestselling author, a regular contributor to Rent Magazine, and has been involved in over $210 million in multifamily transactions managing over 1,500 units.
Here are some power takeaways from today’s conversation:
[03:09] Ashley’s introduction to real estate
[05:22] Why multifamily is the star of the show
[08:47] Maximizing success through controlled factors
[15:08] The importance of time and internal rate of return in investments
[19:07] Why renovate as many units as possible
[26:53] Unveiling the power of business fundamentals for success
[31:41] The problem with rate caps and strike rates
Episode Highlights:
[05:22] The Resilience and Benefits of Multifamily Real Estate
When it comes to real estate investing, multifamily properties undoubtedly take the spotlight. Not only because of their solid fundamentals, they’re also found to be the most recession-resistant asset class within the industry. Time and again, historical data have demonstrated their remarkable performance. The ability to exercise control over these assets is a key advantage that sets them apart. Additionally, they offer attractive tax benefits, which were previously a concern in the single-family space. Multifamily properties have consistently proven their resilience and have become a reliable investment option for the future. With their strong track record, advantageous fundamentals, and tax incentives, they shine as the true stars of the real estate market.
[08:47] Maximizing Success through Controlled Factors
In order to increase the likelihood of success, it is essential to have control over various aspects. While external factors like interest rates and cap rates may be beyond our control, there are numerous elements that we can influence. For instance, we can dictate the day-to-day operations of a property, manage our marketing efforts, maintain adequate reserves, allocate project spending, and determine the return on investment based on chosen renovations. However, achieving success in these areas requires meticulous attention to detail and the dedication of hardworking individuals. Effective communication and streamlined process flows are key components that fall within our realm of control. By focusing on these controllable factors, we can optimize our chances of achieving favorable outcomes.
[26:53] Unveiling the Power of Business Fundamentals for Success
This is because the fundamentals of the business remain consistent across different sectors. By focusing on these core principles, you will be astounded by the impact you can make. Keep honing those fundamental skills and watch your success soar.
This show is for entertainment purposes only. Nothing said on the show should be considered financial advice. Before making any decisions, consult a professional. This show is copyrighted by Passive Investing from Left Field and Left Field Investors. Written permissions must be granted before syndication or rebroadcasting.
Resources Mentioned:
Bar Down Investments
Apartment Addicts
HouseItLook
Connect with Ashley Wilson on LinkedIn
Instagram: @badashinvestor
Podcast Recommendation:
Drunk Real Estate Podcast
131. A Business Approach to Multifamily Property Management with Ashley Wilson | PassivePockets: The Passive Real Estate Investing Show podcast - Listen or read transcript on Metacast
