10 Ways To Spring Clean To Your Real Estate Business

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When the weather heats up, it’s a good time to clean the nooks and crannies and not just the ones in your closet. Each year, you should take a step back, evaluate your operations, take care of your “housekeeping” business, and set new goals.

You just paid your taxes, so getting organized for next year is top of mind. If you’d like to take this opportunity to revamp your real estate business, we’ve put together a checklist of items to tackle in your spring cleaning efforts, with tips from two real estate investment advisors.

10 tips for spring cleaning your real estate business

Organize and digitize your files

If you want tax season to run smoothly next year, you can’t keep your business documents in a pile on your bedside table. Consider creating a digital system to keep you organized. “I would definitely use a cloud-based bookkeeping software with automatic classification of expenses,” he says. Riley NelsonStrategic real estate investment advisor at Biz Real Estate Company. At the very least, digitize your records and receipts with a mobile app like Genius Scan and separate documents into folders where they will be easy to locate.

Declutter your desk and mailbox

Nelson says you should consider using powerful spam blocking software like Edison to clean out your email inbox. And give your physical space a little TLC, too. Excess clutter can increase anxiety, reduce focused focus and productivity, and even negatively affect your health. Research has shown.

Schedule spring maintenance for your property

Schedule a maintenance inspection of your property to address any repairs or problems that may have arisen during the winter. This can help keep your properties in good condition and reduce future repair costs,” says Armistead Jones, strategic real estate investment advisor at House cashin. For example, you must:

• Inspect roofs, chimneys, foundations and exterior parts
• Inspect attics and basements
• Clean the gutters
• Cleaning and maintenance of air conditioning units and ovens
• Re-seal the exterior woodwork
• Wash the windows and clean the weep holes
• Trim excess landscaping and rake lawns
• Change the batteries in the smoke and carbon monoxide detectors
• Seal any leaks and clean out clogged drains

Reassess your business expenses

It’s a good time to think about your business expenses and see if there are ways you can cut costs. For example, you must:

• Get new homeowner insurance quotes: It’s a good idea to collect a few new owner’s insurance quotes annually as premiums can change, and new companies may emerge that offer better options.
• Look where you keep your money: Be sure to take advantage of today’s generous APY offers on high-yield savings accounts, so you can maintain a strong cash position while growing your money. Some online financial institutions offer 4.00% APY or higher.
• Consider a new business credit card: It’s a good idea to evaluate new business credit cards every two years. See if you can earn a bonus or get better rewards or benefits than you get with your current business credit card. If you’re remodeling, repairing, or furnishing a new property, take advantage of deferred interest offers on some business credit cards.
• Find ways to cut back on your expenses: This could include working with your CPA on a new tax strategy, refinancing higher-interest mortgages, attracting your appraisals when property taxes increase, or increasing the energy efficiency of your property.

Discover new revenue streams and maximize your income

Take another look at the rental companies for your area and consider increasing rents when renewing leases. Or consider if you could change your income strategy for your current property.

For example, if there are more digital nomads coming to your city than ever before, would it be worth switching from a long-term to a medium-term strategy after the current tenants leave? Likewise, if you’re facing heavy Airbnb competition and high vacancy rates, could a long-term furnished rental serve you better? If you add a kitchenette in a property with a separate cellar entrance, can you rent it out as two units? Can you take advantage of direction of coexistence And renting out each bedroom in a single family home separately?

Look at various ways to invest your earnings and use your skills to create new sources of income as well. If you were a seasoned investor, could you take on advisory work or mentor others in the industry? Watch out for the possibilities.

Evaluate and verify your business relationships

Consider whether the people you work with live up to your expectations. Look into whether you need new property managers, maintenance personnel, or cleaning crews. If you are not satisfied with your real estate agent, consider looking for a new real estate agent. Investor friendly agent. And check out the working relationships you intend to maintain.

Nelson says you should meet with your CPA several times a year. “They can control your course of action so you don’t have any surprises when tax season comes around,” he says. You’ll also want to make sure your attorney and accountant are on the same page. He also recommends meeting with your board of advisors, even if you have an LLC. If you don’t have other decision makers in your business, “that can put your assets at enormous risk,” says Nelson.

Set goals for the year

your understanding strategy So you can set (and crush) your goals. Jones recommends setting “Specific, Measurable, Achievable, Relevant, and Time-bound (SMART) goals for the year.” Then break your goals into manageable chunks. “I try to break down my goals 90 days at a time,” says Nelson. “If you set smaller goals over shorter periods of time, it helps keep you motivated.”

Update your brand image and marketing methods

“Review your marketing strategies and brand image to make sure they align with your existing business goals and target audience,” says Jones. “Consider updating your website, social media, and marketing materials to reflect any changes.” In addition, update your blog content and optimize your website for search engines. And make sure that your listings remain accurate and highlight your real estate benefits. It’s also a good time to clean your email list of inactive and temporary emails, Nelson says, which can reduce your marketing costs.

Look for new opportunities

Jones recommends keeping an eye out for new investment opportunities in the market. This could include attendance industry conferencesnetwork with other professionals, and research market trends and emerging neighborhoods.” You might also consider camps And Webinars To address the knowledge gaps that prevent you from achieving maximum success. As you communicate with other professionals, keep track of your communications with CRM software to help you stay organized and reduce your commitments, suggests Nelson.

If you’re evaluating new markets, especially as an out-of-state investor, just keep in mind the selling activity Ascend in the springNelson advises. Look at metrics over the past year when evaluating new opportunities rather than comparing the new spring market to the current winter market.

Refine your operations

Take stock of your current processes, and look for areas where you can improve your efficiency, using automation or digital tools, for example. If you want to make more time for yourself to seize new opportunities (or just enjoy the warmer days), consider outsourcing or outsourcing some of your current tasks. Jones also suggests using project management software. This can be especially useful if you manage several properties and like to keep track of lease agreements or delegate responsibilities to team members and keep everyone on the same page.

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We’ve all seen what can happen to physical space when you let things slide – those dusty piles of clutter can get in the way of productive work. The same can happen with your mindset, processes, and goals.

Whether you set New Year’s resolutions or wait until spring to deep clean your business practices, you should take some time each year to get organized, make sure your strategies are in line with your goals, eliminate unnecessary costs of time and money, maintain your possessions, and check in with other members of your business. your team. Spring cleaning your real estate business now will allow you to enjoy unrestrained growth in the future.

Note by BiggerPockets: These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.