Real estate investors use real estate asset management to buy, sell, and coordinate real estate assets with other investors. An asset manager keeps abreast of the current real estate trends, monitors the marketplace, and maintains his finger on the pulse of current real estate values. By doing so, a qualified asset manager ensures that each rental property meets and exceeds its fair market value and mitigates any possible risks to investors. The primary objective of this service is to prevent investors from losing money through investment in subprime or distressed real estate. Asset management firms help investors obtain mortgages and loans associated with real estate properties and provide investment management expertise. They also assist investors with foreclosure and short sales.
Real estate asset management deals with the long-term financial performance of the investor. This is usually done by the manager overseeing a portfolio of multiple rental properties. The manager ensures the payment of mortgage obligations regularly, maintains cash balances, and watches out for possible fluctuations in the interest rates.