Collections as resident experience Collections isn’t just “getting paid”—it’s protecting relationships while safeguarding cash flow. A respectful, consistent system reduces bad debt, legal costs, and turnover risk. The goal: make paying easy, predictable, and fair. Lay the foundation: clear policies Due date & grace period: State them plainly in the lease and every renewal. Late […]
Property tax can make or break NOI In many markets, property tax is the largest single operating expense. Small changes after reassessment can swing NOI—and valuation—dramatically. Smart investors underwrite tax risk up front and manage appeals with discipline. Understand how your jurisdiction values property Common approaches: Income approach: Assesses value by capitalizing NOI; widely used […]
Why make-ready is a profit center Every idle day between move-out and listing is rent you’ll never recover. Tight make-ready execution can add thousands to annual NOI with no rent hike. Treat it like an assembly line: standardized, measurable, and relentlessly optimized. Define “rent-ready” clearly Create a Rent-Ready Standard with photo examples and acceptance criteria […]
Why unit mix matters more than you think In multifamily, the wrong assortment of studios, 1BRs, and 2BRs locks revenue and raises turnover. The right mix does the opposite: it aligns with renter demand, leases faster, reduces vacancy loss, and supports premium pricing. Unit mix optimization is not guesswork—it’s a data-led process you can repeat […]
Why Vendor Management = NOI Management Operating expenses are half of your NOI story. The fastest way to widen margins—without rent hikes—is to professionalize vendor selection, contracts, and performance. Step 1: Spend Audit & Baselines Pull 24 months of paid invoices by category (landscaping, janitorial, security, pest, turnover, make-ready, elevators, fire/life safety, pool, IT/Wi-Fi). Normalize […]
The Problem Amenities can boost NOI—or bloat OPEX. Without a disciplined framework, it’s easy to overspend on low-adoption features while ignoring high-ROI basics (parking, storage, Wi-Fi). The Scorecard Framework Evaluate each amenity against seven dimensions: Total Installed Cost (TIC) – upfront + soft costs Adoption Rate – % of residents who will pay/use Revenue Lift […]
Why Stress Testing? Great underwriting isn’t about the best-case—it’s about survivability. Stress tests reveal whether your deal holds up when vacancy rises, expenses inflate, or rates move. They protect you from overpaying today and getting trapped at refinance or sale. Build Your Base Case (Then Try To Break It) Start with reality: Trailing-12 income/expenses, current […]
What Is Debt Yield? Debt Yield (DY) = NOI ÷ Loan Amount.It tells a lender how quickly they could theoretically earn back their principal if they took over the asset and applied the property’s current Net Operating Income to the loan—ignoring interest rates, amortization schedules, and cap rates. That’s why lenders love it: it’s hard […]
If you’re a multifamily property owner or investor and you don’t allow pets, you might be missing out on one of the easiest and most profitable ways to improve occupancy and generate extra income. According to the American Pet Products Association, more than 70% of U.S. households own a pet. In urban rental markets, that […]
In multifamily real estate, smart investors don’t just ask, “How do I buy this property?” They also ask, “How will I exit — and when?” Your exit strategy is not something you figure out the day you decide to sell. It should be a well-thought-out part of your plan from the moment you analyze a […]