Now is not the time to be fearful, it’s time to be fearless. Now is not the time to be uncertain and doubt yourself and your capabilities. Now is the time to be self-confident and show leadership. In this series, I’ll share apartment investor F.U.D. killers inspired and adapted from famed business coach, Dan Sullivan’s success manual, “How To Be A Leader When Times Get Tough”. I, like Dan, hope this supports your creative thinking, communications and actions as you move ahead.
Forget about yourself; focus on others.
Your tenants, your investor partners, your property management company, your vendors; how are you focusing on them. What are your plans for better communications and ongoing preparedness? Will it be virtual? Will it be weekly updates via email and/or phone? Opportunities at the property level will be low for every sponsor, so how will you ensue confidence amongst everyone for the next 3, 6, 9 months regarding distributions, occupancy, rents, and property valuation negatives. Are you creating and putting systems in place that will not only help now, but aid you during the future expansion phase? The more of these types of questions you answer the less you’ll need to worry about your own situation.
Forget about your commodity; focus on your relationships.
Now is the time to start building or expanding on the sense of community and value at your property. There is a reason why your tenants rent from you, tap into that/those positives. Offer to help your tenants with the things that matter most to them. Employment leads, government assistance programs, online and offline resources that can help them and their family and friends. Keep up with maintenance issues and respond in a timely manner to all inquiries. Inform management to be extra courteous and polite with tenants. Canned food drive for residents by residents, spread 1 free month’s payment across a new annual lease, it all matters and it will have a long-term positive effect on your business.
Forget about your losses; focus on your opportunities.
In every failure there is a seed of success. Yes, in the short term there will be an increase in delinquencies, rental loss, and vacancies, but long term it is all relative towards a balanced market. The market will reset and this correction will allow those who prepare themselves better purchasing opportunities in the future. Stay informed by following vacancies, rent pricing, and asset valuations, don’t put your head in the sand. Real estate is a lagging asset. Historically, the next 12-18 months is when these opportunities will start to arise. The key is not only having dry powder to act, but also knowing when to act.
Forget about the “Future”; focus on today.
Prior to this pandemic part of your focus was on expansion; more units, bigger raises, more opportunities. Now, your sole focus and leading factors should be collections, capital preservation and overall asset management. Optimize everything! Cut back as many expenses as you can. Speak with your lender and negotiate a 90-day forbearance or participate in any other program they have that you can use to your advantage, if it makes sense. This is the time when you can sharpen your skills or develop new ones. Make it a goal to become a stronger operator every day. Do so will subsequently create the future you want.
Forget about the events; focus on your responses.
Now is when your voice can serve as the calm within the storm. With the constant bombardment of negative news, rumor and speculation that your tenants, investor partners, and vendors are being subjected to you must step up and lead by communicating a plan and demonstrating action that says, you got this. Communicate and bring positivity and solutions to them instead of uncertainty. Share every win, whether small or larger. No matter what, never stop communicating. Be timely, be proactive, be informative, and be prudent with every contact. If there is a problem don’t ignore the elephant in the room, address it, make everyone aware and provide a plan of action on how it will be handled.
Forget about your complaints; focus on your gratitude.
Having an abundance attitude is one of gratitude. Gratitude is a universal principle that action and reaction are always equal, and in opposite directions. That’s what’s meant in sayings like, “you get what you give”. At some point in your real estate investing career you’ve had to have realized how it has been your gratitude, or lack thereof, that has caused you be in the position you are in. Be grateful you have the opportunity to add value to the world by creating communities out of strangers and turning units into places where people love where they live. Having a “why” that is centered around service and gratitude will not only catapult your apartment investing business beyond your dreams of success, but also your life.
Are you interested in learning more about creating turnkey passive income and generational wealth through multifamily apartment investing? Visit syndicationcapital.net for free information, guides and resources that will help you get started.