Cutting straight to the point: The Single-Family Rental market needs asset managers because the market is underserved when it comes to investment guidance.
98% of single-family rentals are owned by mom-and-pop owners with 1-5 properties. These are folks with low financial acumen and little to no real estate experience. Many are accidental landlords who will sell as soon as the market is right. Others are intentional (but amateur) investors who want to invest more, but don’t know how.
Yet single-family is the only real estate asset class that doesn’t have an established asset management function. Commercial, industrial, and multifamily investors all have access to professional asset managers who helps them understand and optimize their portfolio, and plan their investment future.
This means that the owners who own the majority of our industry, and need investment guidance the most, have no access to it!
That is where property managers have a white-hot opportunity 🔥
The opportunity
Nearly every single one of your clients will at some point need you to be their asset manager.
The accidental landlord who wants to sell needs you to tell them when the time is right. The small intentional investor who’s still learning the ropes will need your help identifying their next investment opportunity and closing the deal. Each scenario is an additional revenue stream for you (if you’re prepared).
Don’t take my word for it
I talked about the asset management opportunity with Shawn Wolfswinkel and Ben Sencenbaugh during a recent ProfitCoach Power Hour. Here’s what Shawn had to say:
“I think it’s vital. If we’re going to survive as property management companies, we’re going to have to start including asset management conversations into our space, or else you’re going to run out of business. I think the companies that are able to have these conversations with their clients are the ones that are going to attract more business down the road.” – Shawn Wolfswinkel
And Ben made a good point about the variables involved in SFR investing:
“The single family home has so many different variables and so many different types of owners that it can really play a lot of different ways. The different holds, and different types of maintenance you need to do, and different types of tenants you put in. There’s a lot and it’s really hard to categorize.” – Ben Sencenbaugh
This further highlights the asset management opportunity for property managers! We can’t expect unsophisticated investors to properly navigate an asset class with so many different variables. They would need the expertise of someone who has lived and breathed the asset class for many years. Someone like, I don’t know, a property manager? 😉
About Blanket
Blanket is transforming the property management industry with its innovative platform that helps property managers grow their portfolios and retain owners. By combining AI-powered insights, automated lead generation, and seamless integration with existing property management software, Blanket provides property managers with the tools they need to succeed. Blanket is backed by leading Venture Capital Funds like Foundation Capital, Symbol, Operator Partners, RE Angels, and industry-leading Angel investors. Together, we’re shaping the future of property management.
