In today’s blog, we will discuss the administration aspect of your real estate business. Some of you will be up and running and understand how much time is required to stay on top of all the invoices, receipts, payments, and costs associated with managing a real estate project. This side of the business is not very enjoyable; it’s my least favorite job. I prefer hands-on practical work such as refurbishing and dealing with properties. However, it can be much easier if you have a system to organize the administration process. This will allow you to keep all your data in one place, creating a template that is fast and easy to access and allows you much more flexibility when working on future real estate projects.
Organization as a real estate investor is your best friend. When you have a mountain of paperwork to deal with, especially when you are on the go as a project manager, it can slow you down if you have to search for documents when people are looking for them. Keeping an account of all your real estate transactions will be easier if you keep them recorded somewhere. I deal with this by creating a file for each project. In that file, I can put all the related paperwork. I usually scan my documents as they come in and then send them to their respective file folder.
Delegating administration duties to other people is also another tip I recommend. Being able to delegate appropriately is an art and an essential skill in your real estate arsenal. When you have mastered this skill, it will ensure that you can more effectively and efficiently deal with the many pressures present during your real estate investment journey. You should provide your team with a sense of responsibility and achievement. Rather than giving each person a large chunk of work, delegate everything to the smaller tasks. Be specific when giving directions and make sure each team member knows exactly what they’re doing and a timeframe with a completion date. You should also ensure the person you’re giving the task to has the correct information.
Delegation takes time because you need to develop and nurture a synergy with your team. Have a conversation and get to know them personally and professionally, so you can understand their work style and adapt to it. Keeping risks and issues registered and up to date and dealing with problems as soon as possible helps ensure your project plan is on track. If there is a significant issue threatening to halt your project, a predetermined process will reduce anxiety and make it much easier to approach the problem objectively and find an appropriate solution. Regular two-way communication with key stakeholders is also vital to ensure no surprises along the way.
The last tip I would like to give you is to invest in project management software or an Excel sheet to record all your work-related transactions. You will have available all of the tasks that need to be completed. That is the best advice I can give you: keep yourself organized as much as possible. The one thing to remember is that you are the boss; you are ultimately responsible for everything that happens, no matter how much your contractors and tradespersons mess up. At the end of the day, all of the responsibility will fall on you. So ensure you have as many tools as possible to keep yourself organized. Until next time, invest wisely.
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