Recruiter's Glossary

Examples: Financial Reporting • Building Code • Life Safety Systems

Budgeting

Term from Property Management industry explained for recruiters

Budgeting in property management is the process of planning and tracking money coming in and going out for buildings or properties. It involves predicting future income from rent and other sources, and planning for expenses like maintenance, utilities, and renovations. Property managers use budgeting to make sure buildings remain profitable while staying well-maintained. This includes both yearly planning and monthly tracking to make sure actual spending matches the plan. It's a key responsibility that helps property owners make good financial decisions and keep their properties running smoothly.

Examples in Resumes

Managed Budgeting for a 200-unit apartment complex with $2M annual operating costs

Created and implemented Budget tracking systems for 5 commercial properties

Reduced property expenses by 15% through careful Budgeting and cost analysis

Oversaw annual Budget planning and monthly reconciliation for multiple properties

Typical job title: "Property Managers"

Also try searching for:

Property Manager Building Manager Asset Manager Property Management Specialist Real Estate Manager Facilities Manager Property Operations Manager

Where to Find Property Managers

Professional Organizations

Online Communities

Job Boards

Example Interview Questions

Senior Level Questions

Q: How do you handle major variances between actual spending and budgeted amounts?

Expected Answer: A senior property manager should explain their process for identifying variances early, investigating root causes, implementing corrective actions, and communicating with stakeholders. They should also mention creating contingency plans and budget adjustments when needed.

Q: Describe your experience with capital improvement budgeting.

Expected Answer: Should discuss experience planning large property improvements, including how they prioritize projects, estimate costs, schedule works to minimize tenant disruption, and track project expenses against budgets.

Mid Level Questions

Q: How do you prepare an annual operating budget for a property?

Expected Answer: Should explain gathering historical data, reviewing vendor contracts, considering market conditions, projecting income and expenses, and getting input from maintenance staff and property owners.

Q: What methods do you use to reduce property operating expenses?

Expected Answer: Should discuss reviewing vendor contracts, implementing energy-saving measures, preventive maintenance programs, and regular monitoring of expenses to identify areas for cost reduction.

Junior Level Questions

Q: What are the main components of a property management budget?

Expected Answer: Should identify basic elements like rental income, utility costs, maintenance expenses, insurance, property taxes, and administrative costs.

Q: How do you track daily expenses against a budget?

Expected Answer: Should explain basic expense tracking methods, use of property management software, keeping receipts, and regular review of spending versus budget allocations.