- Property management is traditionally disjointed, using multiple systems.
- Tech-enabled property management provides a streamlined management experience.
- Modern proptech benefits both renters and property owners.
If there’s any industry that can benefit from a holistically designed system, it’s residential property management. Traditionally, property management has been managed in steps, with each step separate from the next. Unfortunately, this disjointed approach causes homeowners to spend more time bringing components together, often using multiple systems.
Even those using standard property management software use the product mainly for their benefit, with owner data managed separately.
Yet, why settle when there’s a better and more efficient way to manage properties that can benefit everyone involved? From property managers to renters and owners, tech-enabled property management is the way to go, and we’ll tell you why.
Tech-enabled property management–what is it?
Designed to make the most of the latest technological advancements, proptech provides owners and renters with a more satisfying and seamless rental experience. Because tech-enabled property management harnesses the power of technology, a zero-fuss management experience is possible with robust data reporting capabilities.
This new property management technology doesn’t eliminate property managers but instead allows them to spend their time managing and adding that much-needed “human touch.”
Benefits for renters and property owners
Tech-enabled property management offers benefits for both property owners and renters. The new technology gives owners better access to property performance. This gives the advantage of always knowing how each property is performing. Information, whether it’s occupancy or recent maintenance issues, is available at your fingertips!
For renters, benefits start with an easier way to visit a property, tour a place online, and submit an application. Other benefits include an effortless way to pay rent (no more checks) and an option to request maintenance quickly.
Tech-enabled property management also integrates showings, applications, lease preparation, rent payments, and maintenance for a more holistic approach. Below are some tech-enabled property management advantages.
Accurate rental pricing
Pricing a property for rent isn’t as easy as you may think. Inaccurate rental pricing is bad for your investments and could lead to adverse outcomes. If a property is priced too low, you can lose out on a significant return on your investment. On the other hand, if rents are set too high, it can eliminate a large pool of potential renters, leaving the property vacant longer than desired. Companies such as Poplar Homes use AI technology to provide you with a free rent estimate for each property managed.
Multiple property viewing options
Showing your properties only twice a week will take more time to find your next tenant. But with tech-enabled property management, multiple viewing options are available for prospective renters, including 3D virtual tours–an excellent option for those not in the area. Self-tours are also a viable option and can often be scheduled on the same day, allowing the renter to verify their identity online and gain access to a home through a smart lockbox installed on the property. Lastly, high-quality marketing photos give potential renters a better sense of the property and the surrounding area.
Better applicant screening
Renting a property might sound simple but it is more complicated than just filling out an application and signing a lease. All applicants must be properly screened, while also considering fair housing statutes. Proptech ensures that all applicants are screened in the same manner with no exceptions and no bias. And because the applicant screening process can be completed quickly, approvals are fast, and vacancy time is shortened.
Another tedious process that tech-enabled property management alleviates is lease preparation. As a homeowner, you must set terms and get the lease signed by all interested parties. But through the help of proptech, potential renters can look at a property in the morning, fill out the application in the early afternoon, and sign a lease electronically before sunset. In addition, lease terms can automatically sync from a database into an electronic-signature enabled document without having to manually drag-and-drop forms. No more waiting days or weeks to fill a vacancy.
Streamline the maintenance process
Tech-enabled property management systems perfectly fit owners tired of handling minor maintenance requests. You can now provide renters with access to interactive video conferencing tools that empower them to address minor maintenance issues such as leaky pipes, beeping smoke detectors, and pilot lights that are out. For more severe maintenance issues, renters can request maintenance resolutions directly from their proptech manager, who can evaluate the concern and dispatch the appropriate vendor promptly with homeowner approval.
Rental payment options
According to Nolo.com, a check is still the most common way that renters pay rent. But there are a lot of reasons why accepting checks is no longer the preferred method of payment by property owners. Mailed checks can get lost or delayed, while personal checks can be returned for insufficient funds. Checks also need to be endorsed and deposited promptly as well as accurately recorded on the renter’s account.
Offering your renters an option to pay via automated clearing house (ACH) transfer improves the odds of receiving rental payments on time. It also eliminates the hassle of handling non-sufficient fund (NSF) checks and the necessary follow-up. In addition, ACH rental payments are automatically posted on the renter’s account without any manual input necessary.
Data-driven reporting in real-time
You can order food, check your bank balance, buy or sell stocks, or hire a driver directly from your cell phone. Shouldn’t you also be able to view data about your investment properties just as easily?
Traditional property management and even third-party software programs rely on property managers to process and send reports to owners. But with tech-enabled property management systems, owners and investors can now view operational data in real-time. This eliminates the need to wait for reports at a particular time, such as month-end. This allows owners to be more involved in the process and view whether the property is occupied, how much (if any) maintenance has been required, and how long a property remains vacant.
Investing in technology is an investment in the future
Tech-enabled property management doesn’t eliminate property managers. Instead, it reduces the number of manual tasks necessary while maintaining their value and managing risk.
If your property management company currently uses third-party software, you’re definitely on the right track. But properties managed by a property manager who has custom technology built in-house can lower management costs, help keep your rental properties occupied, and provide you with real-time information on each property.
Whatever your reason for upgrading to tech-enabled property management, you’ll experience the benefits immediately. So why wait? Invest in your properties and your future today.