Blog Posts

Portage County Farmers Market

Assessing Your Investment Real Estate

By LouAnn Schulfer, AWMA®, AIF®
Accredited Wealth Management AdvisorSM
Accredited Investment Fiduciary®

People have chosen investment real estate for many reasons.  It’s fairly easy to get into, one can borrow more than they invest of their own money, it can be done on a small or large scale, can be self-managed and done on a part-time basis.  I can relate.  These and other reasons led my husband and myself to invest in commercial and residential rental properties dating all the way back to 1994.  We learned a lot through the School of Hard Knox and along with 20+ years in the financial services industry, have gained basis for providing insight versus other investment options.

First and foremost, you should like the experience of being a property owner and a landlord.  Otherwise, how do you justify the work and the risk versus the reward?  Second, know how to assess your return.  I spoke with one gentleman who gauged his profit simply by rent minus mortgage, taxes and insurance.  He didn’t keep an ongoing spreadsheet of additional expenses that popped up along the way as well as a record of his time spent managing the property.  How much is your time worth?  Third, review your real estate annually for what you could sell it for, your return on investment, cap rate, cash on cash, and before and after tax return.  Compare that to other uses for the money to decide whether you should hold or sell.   Fourth, review your accumulated depreciation and options you have to potentially mitigate capital gains upon the sale, whether you have a date in mind or not.  Finally, acknowledge that the world around you and the options you have are constantly changing.  There is greater strength in flexibility than there is in rigidity, even in your planning.  Remember this when assessing all your investments, including your investment real estate.

LouAnn Schulfer is co-owner of Schulfer & Associates, LLC Wealth Management and can be reached at (715) 343-9600 or

Securities and advisory services offered through LPL Financial, a Registered Investment Advisor.  Member FINRA/SIPC.

Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual.

All investing involves risk including loss of principal. No strategy assures success or protects against loss.