Tips for Creating a Multifamily Marketing Plan
The multifamily real estate market seems to continually adapt to the ever-changing borrower and investor needs. However, this can make real estate investing a bit trickier than you might expect. Over the years, it’s also possible that your idea of how multifamily property works has changed, shifted, or otherwise expanded.
For a real estate investor, this can impact how you interact with multifamily property, market rental properties, and multifamily homes to meet diverse tenant needs. So whether you’ve spent time successfully managing a single-family home and are ready to transition to a multifamily property or you’re starting your property management journey with a duplex, triplex, or even a fourplex, here’s what you should keep in mind about effective multifamily property marketing.
What is a multifamily property?
If residential property interests you more than commercial property, or you’ve always wanted to work with tenants, families, and renters, there are plenty of reasons to consider a multifamily home. At its core, multifamily housing refers to residential properties that hold more than one distinct housing unit. Compared to other single-family properties that are more likely to be standalone homes, this type of property is often an apartment complex, condominium complex, or similar residential building.
Multifamily properties like apartment buildings, duplexes, and townhouses are particularly appealing for real estate enthusiasts interested in generating passive income and cash flow from monthly rent payments. Multifamily spaces like townhouses and duplexes still have separate entrances to provide some of the added privacy perks of a single-family property. And while you shouldn’t buy the most oversized real estate parcel you spot, buying a multifamily unit is a great way to take the next step toward being a multifamily investor.
From small apartment units to townhomes, the real estate industry is full of multifamily investment opportunities to empower prospective property owners. Multifamily units can also give you experience working as a landlord or property manager, particularly if you’re not outsourcing property management services for your apartment building or condominium block. Managing a multifamily property from inspections to utility costs and investment property vacancies also gives you experience working with high-demand real estate needs. Of course, this also means that beginner investors need to leverage multifamily investing marketing to maintain consistent monthly income, high occupancy rates, and a robust bottom line.
Maintain more robust property management marketing materials.
No matter the number of units you have or how much rental income you currently generate, it’s essential that you consider all of your marketing touchpoints, not just the mailers, flyers, or direct marketing opportunities. Beginner investors across the U.S. should learn how to navigate social media, email marketing, and other digital marketing channels to create holistic marketing strategies that address diverse renter needs. To this end, any investor or property management company must develop a marketing materials suite full of practical materials, concepts, and test ideas.
It would help if you also considered how video content factors into your overall multifamily management strategy. While videos have some pros and cons, many of the best-performing investment firms leverage both pre-recorded and live videos to highlight multifamily properties, showcase investment opportunities, and post-digital tours of rental units. This provides prospective tenants with a more digitized, convenient house-shopping experience while empowering you to highlight the incentives of renting separate units. Video content also gives you a channel to talk directly to renters, real estate agents, and other key players to discuss different types of multifamily properties, housing unit occupancy levels, and upcoming properties or projects.
For starters, do some research on live video. A real estate agent or property manager that provides a virtual tour of a townhome or row-house is much more likely to find qualified applicants than a listing with blurry pictures of the bathroom and kitchen. It’s also essential that you have these materials to show lenders if any financial needs arise. Finally, you must regularly upgrade your property and maintain it from condo upgrades to standard area amenities. Consistent marketing and video content can encourage you to do that.
Develop a multifamily community identity.
The property manager is probably doing something right if someone can identify a multifamily property based on its logo, slogan, or amenities. When you establish a clear, understandable brand identity, it’s easier for your marketing materials to connect to your consumers and encourage tenants to sign leases for your units. Compared to single-family and commercial property, community identity is perhaps the most critical component of a multifamily property. Put yourself in the shoes of a recent graduate or young professional. If you’re moving into a new multifamily unit or condo, you probably want to live somewhere populated by similar individuals.
Different community identities attract other renters. Of course, this can have drawbacks, too. One drawback is that you risk shutting out other perfectly agreeable customers if you market too specifically to your supposed ideal customer. When you’re developing your multifamily community’s identity, it’s a good idea to individualize some of your brands and empower renters to fill in the blanks on their own. This can lead to a more tailored housing experience that generates positive word-of-mouth referrals, which can boost occupancy rates, prove tenant satisfaction, and even help you increase your net operating income. Plus, should you ever have to play the role of a seller, this pre-established identity can help you fetch a more excellent asking price.
Be authentic and transparent.
Modern real estate consumers have more ways than ever to connect to landlords, property managers, and building owners. Whether a customer wants to learn about your commercial real estate portfolio or how much a down payment at one of your multifamily property listings is, it should be easy for the said customer to navigate your site and your marketing materials to find information. So when developing a marketing strategy, think of ways you can leave breadcrumbs to guide your consumers, help them make more effective renting decisions, and create an authentic relationship.
Many savvy customers can spot staged photos and too-good-to-be-true deals from far away. As such, your multifamily property marketing tactics must reflect this commitment to transparency and property authenticity.
When investing in any type of property, be it commercial real estate or a single-family home, it’s essential to know how to turn a structure into a passive income machine. With the right marketing tips, housing tools, and platforms, it’s that much easier to turn your local real estate market into your investing playground.
About the Author:
Annie Dickerson and her partner Julie Lam are founders of Goodegg Investments — an award-winning real estate private equity firm — and creators of the Real Estate Accelerator Mentorship Program. They are authors of the book Investing For Good and hosts of the popular Life & Money Show podcast: https://goodegginvestments.com/
Disclaimer: The views and opinions expressed in this blog post are provided for informational purposes only, and should not be construed as an offer to buy or sell any securities or to make or consider any investment or course of action.