Multifamily Asset Management

Investing in real estate requires a thoughtful approach; however, any investment portfolio benefits from having this component. Within a portfolio, real estate helps achieve higher returns for a given level of risk. Investing in real estate is advantageous because it allows for portfolio diversification, capital protection against inflation, stability, passive rental income, and capital growth through property appreciation.

What Is Multifamily Asset Management?

Multifamily asset management is a set of activities aimed at ensuring comfortable, safe living conditions for residents and maintaining common property in good condition. These activities include organizing maintenance and repairs, providing utilities, and keeping necessary documentation.

The primary responsibilities of a multifamily property manager include overseeing the operation of engineering systems, maintaining the surrounding area, creating a safe living environment, managing finances, and interacting with residents and contractors. The manager is responsible for maintaining common property, collecting payments, organizing repair works, and handling complaints.

Companies managing multifamily assets may refer to two distinct concepts.

The first refers to an asset management company that manages real estate as an investment asset to achieve maximum possible returns. Such a company acts in the interests of private investors or investment funds that allocate capital into real estate.

The second category includes a professional management firm responsible for the operation and maintenance of residential buildings, financial management, and upkeep of the housing stock.