Affordable Housing

No matter what our role is within the multi-family industry, there is always one word which is used more than any other; “community.” Some of us own communities, some of us develop communities, some of us design communities and others of us lease or operate them. And chances are that many of us live in an apartment, condominium or townhome community as well. So then why is it that there is so little ‘community’ in our communities?

When it comes down to this failure’s root cause, it can really only be one of two choices;

a.       Either the management team does not expend their energies in a manner that creates a welcoming and vibrant atmosphere that encourages interaction, or

Let me begin by wishing you all a very Merry Christmas and Happy Hanukkah. For those of you who regularly read my scribbles, you are used to some pretty meaty topics. In light of the Holidays, this one will be a bit frothier. In each blog that I write there are certain themes which remain pretty consistent. One of my favorites is that real estate development is about the coolest industry on the planet. After all, our job is to make the world a better, more usable, more beautiful place.

Often my intended audience is the real estate developer (my hope is of course that there is some part of my subject matter which translates to my non-developer audience- or at least helps you better understand those temperamental developers who constantly tell you ‘We can’t afford that.’). Today, I would like to remind us all of something that is very easily glossed over as we perform our day-to-day tasks.

This is going to be a touchy subject for many, but one that I realize we do not talk about enough in our industry. Today I experienced for the first time in this industry, racism towards me in front of a room full of people. I did not know how to handle it and it took all the strength I had to not cry or go off on the resident. No one ever trained me to know what to do when a resident is racist towards you!  I was trained on what to do when a co-worker or a vendor is rude or racist. What was even more embarrassing was the fact that I was the only one of my race in the room and the others were either speechless or giggling about what was being said.

So what do we do when this happens to us? Do we ignore it or address the issue right away? Would it even matter to the resident? I chose to calmly ask the resident to please leave my office.  I was told that I was denying them their right of freedom of speech. They did have the right of freedom of speech but not in front potential residents. This only added fuel to the fire and after several minutes of telling them to leave, they finally did. I turn around to see the astonished looks on my leasing specialist’s and the applicant faces.  I noticed that two prospects were giggling about the whole thing. I apologized to everyone that they had to hear that and then headed outside to pound on the doors of delinquent residents with my new leasing specialist in tow. 

The feeling I had of shame and anger was new to me and I did not know how to handle it. My ancestors were Jewish immigrants from Russia and Poland in the 1920’s. I know that they would have been appalled to have heard the comments that were made to me. How do you deal with ignorance like that and why does it still exist in 2011?

Are we as an industry automatically prejudice against those on Section 8?

I recently participated in a Facebook discussion about how we stereotype those who receive section 8 or any type of government housing assistance. I will admit, I have been guilty of this and have to constantly remind myself that because of where I work and the person that I strive to be, that I cannot think like this.  It is very hard.  I had found myself resenting the fact that all or partial of their rent is paid while my partner and I work our butts off to support our family and are barely making it. There have been times that I let that resentment affect how I view these residents. However, no one wants to be resented no matter what their status in life is.

As professionals who are working with section 8 vouchers it is not our place to judge the person who is applying for our community solely based on the fact that they are receiving state assistance. Trust me, it is hard to do when you have the young parent in your office with 6 kids and can barely write a complete sentence. However, we do not know the type of life they have had, our position is to give them a decent home. That is the bottom line.

Recently NBC launched a new show called “The Voice” and it inspired me on so many levels. From the shows concept, marketing with the use of Social Media, to the coaches them selves.  While watching this fantastic show, I could not help but see how I could use this as a learning tool.  I also saw so many ways that the Multifamily Industry is similar to The Voice.  The makers of the show and NBC seriously had the formula down pat on the marketing side and knew how to keep your attention.  How does this work for our industry?

By Jo-Anne Oliveri, ireviloution intelligence, Brisbane, Australia

Property management… just mentioning those two words usually sets off a plethora of comments, memories and grunts. Most of them are bad memories and grunts of frustration, annoyance and mild to wild anger. Yep, this sector of the real estate industry has grown up to be like the delinquent teenage child who is hell bent on causing pain and humility, rebellious in every sense of the word. You only have to ask around to discover that this is a problem the world over… yes, that’s right, the world over.

Why?

By Geoff Roberts, Buildium, Boston, MA

When determining rental rates, you want to strike just the right balance between maximizing your profit and remaining competitive in your local rental market. Following are some tips for finding that magic number.

When I was a little girl, I would stay up all night and dream of one day being in the multifamily housing industry? Okay, well... not exactly.  Just like the majority of us in "the industry," (as we so lovingly call it) I stumbled upon it by sheer accident. 

It started with "The Honeymoon Phase."  How does one know when they are in this phase? Well for me, the symptoms were quite obvious.  In fact, they were easily diagnosable to even the common eye.   They included: excitement, eagerness to get to work, overflowing creativity, boundless energy, and enthusiasm for miles.  Just like in the early stages of any courtship, I gave careful thought and consideration to what I would wear the next day.  In fact my wardrobe prep mirrored that of an elaborate Celine Dion concert.  I visualized myself leasing one apartment after another.  All the while thinking how lucky I was to have stumbled into this beautiful relationship.  I prayed that we would have a lifetime of happiness together.

Fast forward three years.    I was the same girl but now I was terribly ill.  A new set of symptoms had presented themselves.  They included: inside the box thinking, tardiness, grogginess between the hours of 9-5, and really boring outfits.  The situation was really dire.  What was wrong with me? After careful thought and self examination, it become obvious.  I had been bit with a career killing bug--"The Over-It Phase." I had lost my will to be fabulous at my job. 

Just like in any life threatening situation, I realized that I needed to take drastic measures.  What would I do? I started out by prescribing myself a serious dose of medicine: a new outfit with a great pair of shoes.  And that was my first step to a full recovery!

In my journey for rediscovering my passion for my career, there are a few tricks that I have picked up.   These are the lessons I want to share.

1-Your attitude is  your brand.  Just think, everything and everyone is a brand.  When you say the name of a brand, what comes to mind? When I say "McDonald's" you may think golden arches or crispy french fries.  If I say "Tiffanys," you may think little blue box of happiness.

Ask yourself, "What does my personal brand bring to mind?"  If you don't like what your brand is saying about you, change it.

2- Henry Ford is a genius.  He said, "Whether you think you can or think you can't, you are right."Stop thinking negatively or you will become a self fulfilling prophecy. 

Whether numbers are your forte or not, there are certain ratios and calculations every property manager should understand. Following is a look at five key ratios that apply to your property management business, how to obtain them, and what they tell you.

1) Vacancy Rate
Your vacancy rate demonstrates the number of units available or unoccupied versus the total number of units available for rent on a property. The lower your vacancy rates, the better. The formula for this is simple:

Vacancy rate = Total number of unoccupied units in a property ÷ Total number of units in a property

      Have you ever been excited to go shopping only to leave disappointed? That's how I felt today after leaving a department store where I was looking for a new television. From the moment I stepped into the store I was greeted by a sales associate who assured me that all of the associates had over 200 hours of product training. The problem was not with how I was greeted or how knowledgeable the sales associates were. The problem was when I went to look at all the new HD televisions.  Now picture this, you walk into the electronics section ready to drool over all the different size televisions an crystal clear picture quality of all the latest an greatest goodies that modern technology has to offer, finding only to your disappointment that all of the televisions are all showing the same Non-High Definition broadcast, Which roughly translates into the formal wear section of the Miss America pageant being down-graded to T-shirts an jeans. None of the TV's were showing off their true potential. The sales associate wasn't even interested in trying to sell, or even acknowledging the presents of anyone other than a rather affluent looking gentleman who was clearly annoyed by him. Needless to say the only thing I left with was disappointment.

 This got me to thinking how can I make sure no one ever leaves my community feeling this way. Even the thought of one of my prospective residents leaving feeling as neglected an unappreciated as I did upsets me, considering we are here to provide quality homes and make our communities prosper. No one cares how knowledgeable you are if the product you are selling dose not look its best. No one will care if you are currently with a prospect as long as you acknowledge them and let them know you will help them as soon as you can. A great sales person is aware of every potential customer and will establish some type of contact. Do you greet every person who walks into your office when you are busy or just ignore them wishing they would go away? I surely hope not, as that negative attitude can often influence your chances for a lease in a very negative way. Sometimes we are so wrapped up in a conversation on the phone, or with a resident, or a prospect that we can't jump up from our seats and say welcome. What we can do is make contact, and let them know that you or someone else will be able to help them shortly. Something as simple as making someone feel at home in your office can make someone want to make your community their home.