Over the Christmas holiday, I started thinking about our family’s real estate investments and other families in similar situations. As I mentioned in my personal bio, I grew up in the real estate investment business by working with my dad in his rental homes, gutting them, painting walls, and the like. My parents have several homes now, and I got to thinking hey, as dad gets older, what is mom going to do with these homes? Don’t get me wrong, my mom knows finances and can run that part of the deal with no problem. But unlike stock and mutual fund investments, real estate investments are a little bit more hands-on due to the people factor.
Anyone who has to screen new renters, fix broken fixtures, or get an eviction started can relate to what I mean. In many family situations, one spouse may be more of the go-to person for the management aspect of the real estate investments. If you have real estate investments, you need to be thinking about the day-to-day operations of your real estate investment in your personal estate plans. Setting up and having a mini reference manual about your real estate investments for your spouse, children, or other love ones can significantly reduce stress. It’s also a highly valuable gift to your family, as you give your love ones the tools to continue to manage your investments when you cannot do it yourself. You can also have systems built in to your individual portfolio that will allow your family to continue to grow your family wealth.
From first-hand experience helping property owners in the midst of a crisis with problem tenants or day-to-day operations with rental property, it is better to have systems and plans in place to deal with situations than to go with the majority of what people do and react to crises as they come along. Investing in real estate is a good business, and we are here to help you become more and more successful at it.
Who will be better suited to run the family’s real estate investment portfolio? Who will take over the day to day operations of your real estate holdings if you are unable to manage them? If you are having a hard time answering these questions, we need to sit down and get your business in order so that your real estate business continues to thrive and be successful.
