Ken McElroy - The ABCs of Property Management. What You Need to Know to Maximize Your Money Now

If you purchase this book without a cover you should be aware that this book may have been stolen property and reported as unsold and destroyed to the publisher. In such case neither the author nor the publisher has received any payment for this stripped book.

This publication is designed to provide competent and reliable information regarding the subject matter covered. However, it is sold with the understanding that the author and publisher are not engaged in rendering legal, financial, or other professional advice. Laws and practices often vary from state to state and country to country and if legal or other expert assistance is required, the services of a professional should be sought. The author and publisher specifically disclaim any liability that is incurred from the use or application of the contents of this book.

Copyright 2008, 2014 by Ken McElroy. All rights reserved. Except as permitted under the U.S. Copyright Act of 1976, no part of this publication may be reproduced, distributed, or transmitted in any form or by any means or stored in a database or retrieval system, without the prior written permission of the publisher.

Published by RDA Press

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RDA Press LLC

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Visit our Web sites: RDAPress.com and RichDadAdvisors.com

First Edition: May 2008

First RDA Press Edition: October 2014

Cover Design by Chris Collins | American Design Co.

ISBN: 978-1-937832-54-4

102014

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Contents

by Robert Kiyosaki

by Robert Kiyosaki

This book has been a long time coming. When I wrote Rich Dad Poor Dad in 2000, I said that a great property manager was the key to success in real estate investing. The reason for this is that great property managers create value. Thats because value, when it comes to investment real estate, is not only a function of markets, but it also impacts your bottom line. Your real estate is only as valuable as your renters think it iswhat they are willing to pay in rent. Rental income is ultimately the aspect of real estate you have the most control over. (And thus its the aspect that presents the greatest opportunity for failure as well.)

Property managers are valuable members of your team because they specialize in your real estate market, and they know how to maximize your investments income-producing potential.

Thankfully, Im smart enough to follow my own advice. That is why I sought out Ken McElroy to be an advisor to me on real estate investing and property management. Ken is an expert on both. His company owns and manages thousands of apartments across the United States. His knowledge and experience adds incredible value to my team.

That is also why Ken was the only option when we decided to offer a book on property management. You may already be familiar with Ken and his work. Perhaps youve seen him speak at a Rich Dad seminar, or maybe youve read his best-selling books, The ABCs of Real Estate Investing and The Advanced Guide to Real Estate Investing. And while Ken is an undeniable expert on the business of real estate investing, Im sure he will tell you that his first love and ultimate expertise is property managementthat is, creating value. In the end, its what sets Ken far ahead of the pack. And as he will tell you, its the key to what made him the successful investor and businessman that he is today.

While Kens previous books were tremendous guides for how to invest in real estate, this book may be the most important book Ken has written for the Rich Dad Company. Finding quality real estate deals to invest in is easy. Sustaining those investments and creating value for those investments is anything but. It takes a keen eye and management knowhow, something many investors lack.

Property management is a long-term proposition. Finding, buying, and selling real estate is a relatively short process. In my experience, most real estate investors are taken off guard by the blood, sweat, and tears that go into effectively managing a property. And as Ken will show you, your preconceived notions of what it takes to be a great property manager are most likely the stuff of fantasy.

But in order to become a truly great real estate investor, you need a thorough understanding of the principles of sound property management, the exceptionally large amounts of time and energy it takes to manage a property effectively, and the ways in which great property management can bring value to your investments.

So if youre ready to take your real estate investing to the next level, this book is for you. It will be an invaluable resource. You will learn all these things and more. Most important, you will learn them from someone I consider to be not only a good friend and valuable business advisor, but also the expert on the business of property management and value creation.

Robert Kiyosaki