What is property management in the single-family rental industry?
At its core, property management is about the day-to-day operations of rental housing. Property managers act as the bridge between owners, residents, and vendors, ensuring that properties are maintained, occupied, and financially stable.
Key functions include (Institute of Real Estate Management (IREM)):
Property managers are often judged on occupancy rates, rent collection efficiency,
and resident satisfaction—all of which are short- to mid-term performance indicators.
Key functions include (Institute of Real Estate Management (IREM)):
- Marketing and leasing rental homes.
- Screening tenants and executing lease agreements.
- Rent collection and delinquency follow-up.
- Maintenance coordination and emergency response.
- Resident relations, including renewals and conflict resolution.
- Compliance with housing laws and local ordinances.
- Financial reporting to owners.
Property managers are often judged on occupancy rates, rent collection efficiency,
and resident satisfaction—all of which are short- to mid-term performance indicators.
What is asset management in the single-family rental industry?
Asset management takes a higher-level, long-term view. While property managers
focus on daily operations, asset managers focus on the overall performance of the investment itself—balancing risk, return, and growth across an entire portfolio.
Functions include (National Apartment Association, Forbes Real Estate Council):
focus on daily operations, asset managers focus on the overall performance of the investment itself—balancing risk, return, and growth across an entire portfolio.
Functions include (National Apartment Association, Forbes Real Estate Council):
- Maximizing Net Operating Income (NOI) and long-term asset value.
- Analyzing market trends to adjust rent growth and expense controls.
- Portfolio strategy, including acquisitions, dispositions, and refinancing.
- Capital planning: budgeting for improvements, renovations, and reserve funds.
- Risk management, including insurance coverage and regulatory compliance.
- Owner reporting: benchmarking performance against investor goals.
Asset managers typically report to owners, private equity groups, or REITs, focusing
on the big picture of profitability and growth rather than day-to-day operations.
How do property managers and asset managers work together?
In single-family rentals, these two roles are complementary, not interchangeable.
Example:
According to John Burns Real Estate Consulting, the growth of institutional investment in SFRs has sharpened the divide between these roles—professional asset management ensures portfolios are aligned with investor expectations, while property managers execute on the ground (JBREC).
- Property managers keep tenants happy, properties safe, and rent checks flowing.
- Asset managers make decisions about which properties to buy, hold, or sell,
and how to allocate capital for maximum return.
Example:
- A property manager might recommend replacing a roof because it is leaking.
- An asset manager will decide whether it’s better to replace the roof now, sell
the property, or reinvest capital into a different market where yields are
stronger.
According to John Burns Real Estate Consulting, the growth of institutional investment in SFRs has sharpened the divide between these roles—professional asset management ensures portfolios are aligned with investor expectations, while property managers execute on the ground (JBREC).
Why does the distinction matter for single-family residential?
For SFR investors and management companies, failing to distinguish these functions
can lead to:
Research from Roofstock highlights that professional SFR operators typically separate these functions: property managers drive operational performance, while asset managers guide strategy (Roofstock).
can lead to:
- Operational inefficiencies (property managers making strategic decisions outside their scope).
- Missed financial opportunities (no one actively tracking portfolio-level performance).
- Compliance risks (local laws vs. portfolio-wide regulations not aligned).
- Resident churn (if short-term cash flow is prioritized over long-term property health).
Research from Roofstock highlights that professional SFR operators typically separate these functions: property managers drive operational performance, while asset managers guide strategy (Roofstock).
What KPIs are different for each role?
Property Management KPIs:
Asset Management KPIs:
(Reference: BiggerPockets, Multifamily Executive)
- Occupancy/vacancy rates.
- Rent collection % and delinquency rate.
- Average days-to-lease.
- Resident satisfaction/renewals.
- Maintenance response times.
Asset Management KPIs:
- Net Operating Income (NOI).
- Capitalization (Cap) rate.
- Internal Rate of Return (IRR).
- Loan-to-Value (LTV) ratios.
- Portfolio growth and diversification.
- Long-term asset appreciation.
(Reference: BiggerPockets, Multifamily Executive)
Do small and mid-sized SFR companies need both roles?
Yes—but often in different forms.
PM University’s research shows that over 70% of property management companies
manage fewer than 500 units—meaning many operators may not have a formal asset manager, even though the role’s responsibilities still exist within the business ([Target Market Summary]).
- In small property management companies, the owner or broker often acts as both the asset manager and property manager, wearing multiple hats ([PM University Business Plan], [Target Market Summary]).
- In mid-sized firms (under 750 units), owners usually focus on asset-level
decisions (capital planning, acquisitions) while delegating property management
to staff or third-party providers. - In large operators or institutional portfolios, asset management is a dedicated function, separate from property operations.
PM University’s research shows that over 70% of property management companies
manage fewer than 500 units—meaning many operators may not have a formal asset manager, even though the role’s responsibilities still exist within the business ([Target Market Summary]).
What about compliance and risk?
Both roles share responsibility, but in different ways:
Industry experts warn that failing to assign clear compliance responsibility can lead to costly gaps (Forbes).
- Property managers handle compliance with local landlord-tenant laws, fair housing, maintenance codes, and daily legal obligations.
- Asset managers ensure compliance with investor agreements, financing covenants, and portfolio-level regulations (such as SEC reporting for REITs).
Industry experts warn that failing to assign clear compliance responsibility can lead to costly gaps (Forbes).
Which role focuses on residents? Which on investors?
- Property Management = Resident focus: Keeping tenants satisfied, safe, and renewing leases.
- Asset Management = Investor focus: Meeting financial performance goals and
maximizing long-term returns.
This distinction explains why PM University includes separate training tracks for
both disciplines—ensuring that professionals understand the different skills, KPIs, and expectations required ([PMU Enterprise Flyer]).
Best Practices for Single-Family Operators
To optimize both functions:
- Clarify roles: Ensure your company distinguishes between property-level and portfolio-level decisions.
- Invest in training: Staff need education in both operations and financial strategy ([PM University]).
- Use data-driven KPIs: Monitor performance at both the property and asset levels.
- Align incentives: Property managers should be rewarded for operational success, asset managers for portfolio returns.
- Leverage technology: Platforms like AppFolio, Buildium, or Yardi streamline operations, while asset managers use tools for analytics and benchmarking.
Conclusion
While property management and asset management are often used interchangeably, they play very different roles in the success of single-family rental investments.
For small companies, these functions may be combined. For larger or growing
operators, separating them is critical to scaling efficiently.
At PM University, we believe that understanding this distinction is essential to
professional growth. That’s why our training programs, live webinars, and certification tracks cover both property management fundamentals and asset management strategy—helping professionals prepare for leadership roles in the SFR industry.
- Property managers keep homes leased, residents satisfied, and operations smooth.
- Asset managers focus on financial performance, capital strategy, and portfolio growth.
For small companies, these functions may be combined. For larger or growing
operators, separating them is critical to scaling efficiently.
At PM University, we believe that understanding this distinction is essential to
professional growth. That’s why our training programs, live webinars, and certification tracks cover both property management fundamentals and asset management strategy—helping professionals prepare for leadership roles in the SFR industry.
Frequently Asked Questions
Is there a limit on how much a landlord can charge for a security deposit in Utah?
No, Utah law does not set a specific limit on the amount a landlord can charge for a security deposit. However, landlords must return the deposit within 30 days after the tenant vacates the property, along with an itemized list of any deductions made.
Are there any fair housing laws specific to Utah that landlords should be aware of?
Yes, the Utah Fair Housing Act prohibits discrimination in housing based on race, color, religion, sex, national origin, familial status, disability, source of income, sexual orientation, and gender identity. Landlords must ensure their rental practices comply with these protections.
Can a landlord enter a rental property without the tenant's permission in Utah?
Landlords must provide tenants with at least 24 hours' notice before entering the rental unit, except in cases of emergency. Entry must be during reasonable hours and for legitimate reasons such as inspections, repairs, or showings.
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South Jordan, UT 84095
learn@pmuniversity.com
South Jordan, UT 84095
learn@pmuniversity.com