10 Brutal Truths About Running Apartments (That’ll Save You a Fortune)
No, It’s Not That Complicated. You’re Just Cutting Corners.
1. Hire the right people the first time. Especially your leasing manager, this is not the place to save a buck. That "cheap" hire? They'll cost you more in lawsuits, vacancies, and ibuprofen than a seasoned pro ever would. Pay now or pay forever.
2. Renovate only if the math makes sense. If you’re not getting your money back through rent bumps in 3–5 years, you’re just doing charity work for future owners. This isn’t Habitat for Humanity, it’s business.
3. Renovate in phases. You’re not Chip and Joanna Gaines with a TV budget. Shut down the whole complex and your cash flow dies a slow, preventable death. Be strategic. Keep units turning while improvements roll out.
4. Fix the actual problem, not just slap duct tape on it. If you’re fixing the same leaky ceiling five times, maybe, just maybe, it’s not a tenant doing cannonballs in the bathtub. Track maintenance, solve root issues, and your residents might actually stay longer than their WiFi contract.
5. There’s no such thing as the perfect apartment. The "ideal unit" is whatever your specific tenant base actually wants. You’re not designing your dream home, you’re reverse engineering what rents today in that zip code.
6. Upgrade what makes you money. Nobody ever paid $150 more in rent for crown molding. Floors and countertops? That’s where the rent hikes live. Think HGTV on a budget, with ROI in mind.
7. Reward performance with cash. Bonuses work. Try it. Watch how fast folks start hitting goals when there’s real money attached. It’s not bribery, it’s ROI with a pulse.
8. Fire fast. Dead weight doesn’t lose weight, it spreads. One lazy or toxic employee can infect the whole culture. Be nice about it, but be gone with them. Protect the hustle.
9. Think bigger. Counterintuitive truth: bigger apartment projects often carry less risk. More units = diversified income. Same management headaches, but better math. Why work twice as hard for half the scale?
10. Shortcut the learning curve. The fastest way to get good is to find someone who already is. and ask. Yes, really. Most successful people will say yes, or at least point you in the right direction. But if you're too proud to ask, enjoy paying for your education in blood and bad deals.
