Repair or Replace Decisions in
Apartment & Multifamily Projects
http://www.
karenhanover.
com
Cash flow is critical in apartment & multifamily investment,
and rental income less expenses is where it originates.
Expenses include a large component related to...
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Repair or Replace Decisions in
Apartment & Multifamily Projects
http://www.
karenhanover.
com
Cash flow is critical in apartment & multifamily investment,
and rental income less expenses is where it originates.
Expenses include a large component related to the maintenance
and repair of appliances, heating and air conditioning systems.
Controlling expenses is important, but there s a point at which
every apartment & multifamily owner/manager must consider
whether it s better to keep repairing old equipment or to replace
it.
Both timing and cash flow are considerations in repair or
replacement decisions in apartment & multifamily investment.
If the exit strategy is to hold for the long term, then a decision can be based solely
on an analysis of the cash flow benefits from wholesale replacement of equipment
that s creating large expense outflows for repairs due to age and condition.
Buying
50 new furnaces can be a good decision if the loan to make the purchase results in a
monthly pa
Less
