What Can Apartment Complex Owners Do During a Bad Market?
According to 2020 rental statistics from iPropertyManagement, an online resource that provides services for tenants, landlords and real estate investors, around 36% of Americans live in rental properties. That’s an appealing number if you’re the owner of an apartment building or are thinking of purchasing one.
Buying an apartment complex — particularly one with a smaller number of units — is generally regarded as a wise investment decision that can maximize income. However, even owners aren’t immune to the effects of economic downturns that cause market slowdowns. Consider the unprecedented financial conditions the COVID-19 pandemic has created: Many renters have become unable to make their housing payments in the wake of widespread job loss. As a result, apartment owners are facing the effects of those market slowdowns at a seemingly unprecedented rate — effects and setbacks that ultimately mean a loss of money.
Fortunately, there are some steps apartment complex owners can take during a bad market to mitigate its effects on their investments. If you own a building, it’s vital to learn how to make sure your business remains profitable and how you can increase your revenue for extra security during difficult times.