In part one we discussed Purchasing, part two Financing and part 3 Cash Flow. In part 4 below we discuss Maintenance just after purchasing an income property in Phoenix. Maintenance: The big M, and a large expense. Even if purchasing and financing your apartment complex was easy, it possible you’ll soon feel pressure from the new tenants you’ve taken on, and they will call you, so be prepared. Managing an apartment community even a small one can be a full time job, especially in the beginning during the transition period. Be prepared for the worst, and you should plan accordingly. You’ll have several tenants with their leaky pipes, noisy neighbors and lost rent checks, lost keys, weeds, parking issued, and any number of other things to deal with at any given time. This may seem overwhelming at first but once under control it just part of the process. It gets much easier when you have a team. Any vacant units will need to be prepped for rental before any showings occur. The good side of it all is that if you currently manage several single-family units in different locations, buying a single larger complex could provide a big advantage for you. Instead of four lessees living in four separate homes, your tenants will now share a single roof, one lawn, and one parking lot, leaving you only one area to keep maintained instead of multiple. Take into consideration the value of time and the benefits of apartments multiply. Consider hiring a property maintenance company to supervise, maintain and field calls for you, or if you have a lot of complexes or a very large complex have a handy-person on call. This will cut into your profit, but if you are a serious investor who wants to spend your time seeking new investments, it may well be to your advantage to hire someone else to take care of daily maintenance issues.
Apartment Investing should be considered a longer-term and possibly deeper commitment than owning and renting out single-family homes. Though there are other strategies, including repositioning and selling. Apartments take longer to sell than a home.
However, if done properly and run as a business, owning an apartment complex can provide a constant source of cash flow for years to come with considerable upside along the way. It may be a good hedge against inflation since rents increase at or above the inflation rate. As with any investment there is risk but reward as well. Its all about finding a balance between the two and matching it to your personal preferences, needs and plans. Moving into multifamily is the next step after single family homes for many investors. Some just jump right into multifamily or expand their portfolios to contain both single family homes and apartment complexes to take advantage of both. Which is better for you? A good place to start is to schedule a conversation with us. We have been in most of there roles personally and can help with your decision. | 
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