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How Can Landlords Mitigate Their Losses Now That the Eviction Moratorium Has Ended, or Will Be Ending Soon.

How Can Landlords Mitigate Their Losses Now That the Eviction Moratorium Has Ended, or Will Be Ending Soon.
The nationwide eviction moratorium had prevented families from being removed from their homes, helping families face pandemic-related financial hardships while mitigating the risks of further spreading the virus when people were forced to move out. People who took advantage of the measure will still have to pay their landlords the total amount accrued during the moratorium. Since the CARES (Coronavirus Aid, Relief, and Economic Security) Act was introduced on March 27, 2020, the eviction moratorium deadline has been extended multiple times. The extension from June 30, 2021, to July 31, 2021, was the third time it was extended. On August. 26, 2021, the U.S. Supreme Court overturned a moratorium on evictions ordered by the Centers for Disease Control and Prevention (CDC) targeting areas with high transmission rates. In a 6-3 vote by the Supreme Court, the moratorium will no longer be extended. With the moratorium ended and the pandemic still ongoing, landlords worry that their tenants may still not keep up with their contractual obligations. Tens of billions of dollars of rental relief were made available to struggling tenants; however, as of August 2021, only $3 billion of the allocated $46 billion rental relief fund has made it out. Each state has its own process for disbursing the relief funds. Helping Tenants Apply for Rental Relief Unfortunately, gaps remain in the program as many citizens either don’t know how to apply for it or don’t know if they are eligible. One of the main challenges, particularly low-income tenants with no internet acc......
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How To Build A Top Notch Seller Reputation In Multifamily


Sellers, you want to develop a reputation with every buyer in the marketplace that buying from you is first class. You want them to talk about you in a good way at dinner that night with their spouse. There are a number of things that go into developing an awesome reputation as a seller. A very simple one that’s easy to do and goes a long way is how you care for your property during the marketing and contract period. Are you the seller that spends as little money as humanly possible during this time because you feel like you’re throwing money away at something you won’t own in 90 days or are you the seller that understands the power of going above and beyond to care for an asset because the reputational benefits will spread throughout the multifamily world and handsomely reward you long term? Remember, buyers of your assets will be sellers of other assets in the future. If they remember you to be the seller that cut corners and did just enough, they will be far less likely to select you as a winning bidder on their next sale. And the brokers involved in your transactions will be less likely to recommend you as a buyer. There are some easy things I’ve recognized sellers can do to build a killer reputation during the marketing and contract period. The cost of making repairs, replacements, and beautification during this time is so minimal as a percentage of the deal but the pay......
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Taking Care of Your Investors

Taking Care of Your Investors
A top-notch investor relations program is critical when foraying into multifamily investments. And when doing so, one might want to prioritize customer service as well as sound investment opportunities. Unfortunately, it's not completely unheard of for some multifamily firms to treat their investors as if they are fortunate to simply be along for the ride. They will provide investors with the required reporting, but not much else. When I think about what investor relations should look like, I think back to the pizza shop my father owned and ran while I was growing up. He never took a customer for granted. He realized they always had a choice in where to spend their money and so he made it a point to offer more than just a meal. He provided a warm, engaging customer service experience that left his patrons knowing they had been listened to and appreciated. This created a steady stream of return customers and positive word of mouth.  Obviously, today's investors want strong risk-adjusted returns. But they are after more than that, too. They want consistent and clear information from you. They want to know they can talk with someone at the company on short notice and that their voice will be heard. With that in mind, here are some general recommendations for good investor relations. Communicate clearly and often. Investors want and deserve more than the required reporting. Provide regular updates on the performance of the assets they're invested in. At Ashcroft Capital, for example, our investors receive......
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How To Hire The Right Lawyer In Multifamily Real Estate


Hiring the right lawyer in multifamily real estate can make or break deals and can increase or decrease your future deal flow from brokers and other investors. ELITE INVESTORS ALSO CHOOSE LAWYERS WHO SHARE THEIR BELIEFS ABOUT DEAL MAKING AND EMPATHY. This is huge! Every Elite Investor I know is represented by a lawyer with whom I thoroughly enjoy working. They show empathy in transactions, and they truly thrive on doing deals rather than suspiciously searching for ways the other party is trying to get the upper hand. Unfortunately, the opposite is also true. Some investors choose attorneys who thrive on redlining as many words as they can so their client thinks they are really good. When they find a clause they don’t like, instead of thinking about solutions, they build up the issue to be more important than it is. Attorneys are used to seeing redlining, so it is no big deal to them. But when investors open a document like that, they are completely deflated, angry, and aggravated. Even if most of the redlines are grammatical, it still sours the review process. Elite Attorneys have an encouraging tone that a deal can get done; they give realistic probabilities on issues, never raise their voice, and never start building up the other side as villains. These attorneys know that the more deals they can help their clients do, while still keeping them safe, the more those clients will use them and help them grow their own law practice. Also, Elite A......
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How to Combat Workforce Housing Shortage in Major Metros

How to Combat Workforce Housing Shortage in Major Metros
Workforce housing is not to be confused with affordable housing. The best definition for workforce housing is “housing that is affordable to households earning 60 to 120 percent of the area median income.” However, that median may vary by state. Unfortunately, major metros still struggle with filling the gaps with workforce housing programs. Recently, housing prices have outpaced income in many major metros around the U.S., causing a housing shortage for those trying to find affordable housing close to their work. The housing crisis has been discussed extensively by politicians and economists alike. From connecting investors with developers to partnerships between building owners and tenants, creative programs can help combat the workforce housing shortage in major metros. Let's look at some of the solutions that experts feel can help keep the workforce housing shortage under control. 1. Leverage technology that helps developers build faster for less New construction technologies and structural frames may be the answer to building better and faster. Innovative materials may also prove to be more affordable without sacrificing durability and quality. 2. Remove administrative and regulatory barriers that make it challenging to build more homes and apartments cost-effectively A good place to start would be automating the local, state, and federal systems that analyze the planning and zoning codes and reducing processing time. If the processing of legal analysis could be shortened from months to weeks or days, less time and money would be wasted waiting on whether housing can be built on a particular property. 3. Pro......
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Top 5 Reasons Real Estate Investors Hire Real Estate Agents


Don't let the boring title of this video fool you. There are 5 main reasons the most elite multifamily investors in the world hire a real estate agent to sell their assets and you're not gonna want to miss # 5 on the list.

As an overall answer to the question "Why hire a real estate agent to sell your assets," they make you more money. That's a fact. Read on. Yes, real estate investors could just get an appraisal done and stick the listing on LoopNet, Crexi, apartmentbuildings.com, or Ten-X. And yes it will probably sell.

A real estate investor could even get a bunch of real estate agent BOVs (Broker Opinion of Value) to ensure they list their own property for the right price, not hire any real estate agent, and sell themselves. But make no mistake only real estate agents can create an environment that earns a seller the most the market will pay.

Here's reason #1:  No investor can ever create the vast database a real estate agent can because it isn’t natural for real estate investors to call dozens of other real estate investors a week and build rapport. An investor’s database of buyers will pale in comparison to a real estate agent's. The more real estate investors known the greater the chance of bringing a higher offer.

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Why Single-Family Markets Matter to Multifamily

Why Single-Family Markets Matter to Multifamily
The multifamily and single-family rental industries have their share of differences, from disparity in scale to NOI growth and market presence. But some considerable overlap exists between the two asset classes in terms of investment opportunities.  An increasing number of multifamily owners and operators are looking to expand in build-to-rent single-family housing because the single-family asset class is on track to outperform other real estate sectors over the next decade. Suburban Sun Belt markets, specifically, present the most overlap -- and competition -- between multifamily and single family. While operations and expenses vary between the two asset classes, drivers of demand and rent growth are very similar:  Similar rent growth driversData from Markerr found the key rent growth indicators for both asset classes are job, income and population growth. Considering multifamily and single family share the same rent drivers and demand indicators, leveraging alternative, granular data with real-time updates is immensely valuable to both asset classes as the investment space gets more competitive. Looking at unique, granular data can identify attractive opportunities at the market and submarket levels that may not be apparent to investors, owners and operators relying on traditional data.  Overlap in resident profiles Suburban Sun Belt markets have been outperforming all other markets in terms of revenue growth, and single-family rentals in these markets pose the biggest competition to multifamily communities, according to a single-family investment report from Markerr. A recent report on single-family markets note that exurban and suburban areas have massively outperformed all other geographic densities since......
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How Elite Multifamily Real Estate Investors Make Decisions


When you adopt the "Hell Yes or Hell No" decision-making process like elite multifamily real estate investors do, you'll be amazed at what you can accomplish in your business.  Every year that goes by the number of distractions for real estate investors grows. Those distractions are costing most investors millions of dollars in lost opportunities. In this video, I give you an inside look at how elite investors transact more deals per year than everyone else. Elite investors are highly focused and say “no” a lot. They say no to anything that doesn’t have a 90% likelihood to help them procure more deals. Mediocre investors are highly distracted. They are members of lots of clubs, board members on multiple philanthropic type organizations, presidents of associations that don’t contribute to doing more deals, they allow numerous meetings during the week with people that don’t contribute toward procuring more deals, someone convinces them to look at a shopping center, a new business to buy, etc. Those things are fine if they TRULY bring joy to your life. The elite set up their personal lives to be as distraction free as possible during the workweek so they can be as productive as possible. In every decision they make throughout the day they are asking themselves “does this help me procure more deals?" And if the answer isn’t “hell yes,” meaning 90% certainty, then they aren’t doing it. Here is the most dangerous thing I see among successful individuals. The more success you gain, the more others notice ......
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Why Nontraditional Data Points are More Effective

Why Nontraditional Data Points are More Effective
Commercial real estate investors and asset managers have been leveraging the same data sources for decades. With continued cap rate compression across markets and asset quality grades, there needs to be a way to win deals that will outperform in a highly competitive industry. Savvy investors have been getting ahead of the curve by leveraging granular, nontraditional data for a much more effective method of analyzing markets and rent growth potential. Utilizing these nontraditional metrics in commercial real estate allows investors to explore new opportunities in submarkets that have been overlooked and make confident, data-driven decisions.  Robust insights in a centralized location provide crucial, real-time information on market trends while allowing acquisitions and research teams to spend more time on tactical strategies and decision making. This is highly valuable for multifamily investors, owners and operators not only for the competitive advantage, but also because it streamlines the underwriting process and research efforts in different markets.  Here are some of the ways nontraditional data points are more effective: Hyper-localized insight Real estate is a hyper-localized industry and any insight on a granular level is not only more accurate, but also more predictive. Real-time metrics on employment, income and population growth when viewed on the zip code -- or even block-level group -- are much more telling than traditional data, which may only exist at the MSA level. Census data is a good jumping off point for analyzing real estate investment opportunities, but it lacks the granularity and recency critical for research and planning. ......
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Creating Value in Today's Value-Add Properties

Creating Value in Today's Value-Add Properties
It's the goal of many multifamily owners and investors: Buy an apartment community in need of upgrading, perform the needed renovations, boost rents accordingly and drive impressive returns. But just because apartment companies frequently undertake value-add projects, it doesn't mean success in these endeavors is easy. On the contrary, a value-add community that attracts residents and produces the targeted returns is the end product of an almost never-ending amount of diligent research and careful strategic planning.  Below are some of my general tips for success in the value-add arena. Dig into submarket data. This may seem obvious, but it's such a critical step that it merits placement here. A successful value-add project depends on a submarket that can support the rents and the investment returns you're seeking. Once you know what metro you're looking to invest in, thoroughly research the area's submarkets to pinpoint where your best investment opportunity may be. What are the submarkets where the population is increasing, employment opportunities are growing and rents are rising? Be prepared to go through all the data sources you need to make this vital, fundamental determination. Visit a property you're considering buying. Statistics, spreadsheets and databases are of course indispensable when evaluating a value-add opportunity. But don't ever underestimate the value of setting foot on a property and seeing it in person. As the great and wise Yogi Berra once said, "You can observe a lot by just watching."On a personal note, I was recently tempted – because of an extremely hectic s......
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