Who doesn’t love a good lifehack? From turning ordinary household items into multi-functional tools to mastering productivity and convenience with mobile apps, lifehacks shape the way we work and live for the better.
The hack I love to talk about most? How to make more money—especially when it’s semi-passive income. Real estate investing is an incredibly savvy way to build wealth. Although it takes some time and effort to get to the stage where your investment portfolio can passively work for you, property management apps and software can get you there faster.
What’s the Big Deal with Property Management Technology?
There’s a reason why in the first half of 2016, real estate tech startups raised more than $1.8 Billion across more than 100 deals. Whether it’s software that acts as an online marketplace for shared accommodations or apps that equip you with tools to increase profits through self-management, real estate tech tools are changing the way the game is played.
Compared to other industries like transportation, communications, or financial services, real estate and property management have been laggards in adopting new technologies.
But man, are they catching up.
And, they’re doing so in ways where the technology is affecting every touch point of the business process. When you think about it, though, it makes sense why the real estate industry wasn’t as keen on integrating technology. Property management is largely regarded as a people business where building trust and positive relationships with tenants is a priority, and it very much is. But, as much of a people business as it is, it’s also a business that’s based on information transfer and transactions. There are so many different types of communications and activities that need to be tracked, reported on, and most importantly, scaled. That’s when property managers who leverage this software really start shifting things into high gear.
If someone told you that you could expand your investment portfolio just by being more operationally sound and strategically informed, and shared the tools with you, how quickly would you jump at the opportunity? It really is time to ditch the old-school ways of doing things in the real estate space, and take advantage of the opportunities property management companies are delivering with these technologies.
How Property Management Software Beefs Up Your Wallet
Alright, now, let’s get down to what you all came here for: how to life-hack your way to fatter wallets as a property owner:
1. Manage your properties from anywhere in the world.
Been wanting to run away to the Maldives for a while, but feeling tied down because you have to be “home” in case tenants freak out about something? Just go. Do it. Be free. Property management apps provide mobile accessibility, so you get full transparency of how your properties are being managed. You’ll automatically be informed when rents are paid and get instant snapshots of your profits. You can even review maintenance requests and approve expenses in real time. You’re probably thinking, “But, Doug, taking a trip to the Maldives is going to cost me money.” Why yes, yes it is. But that trip will essentially pay for itself with the savings you’ll rack up, since you won’t have to travel to each of your properties and tend to these issues yourself.
2. Know what your tenants need before they even do.
What is this sorcery I speak of, you ask? Let me tell you. Property management software provides insight into things like when your properties are due for next routine maintenance, which allows you to be more proactive with how you manage. This typically leads to increased satisfaction among tenants, and building positive rapport with tenants is a prerequisite to long-term success.
3. Accurate numbers now mean sharper projections later.
Because you’ll know exactly how your properties are performing in real-time, you are better prepared and more informed about what steps need to be taken to increase profit margins. How many repairs are scheduled? What percentage of your units are leased? How much has your revenue grown in the past year? Knowing these metrics throughout the entire lifecycle of marketing, leasing, and managing your properties help illuminate projected growth numbers.
4. Put more time back in your day.
Lifehacks are all about saving time, being clever, and getting higher output from the effort you give. Property management software allows you to be more efficient by eliminating the need for repetitive, manual tasks. It simplifies every aspect of property management, limiting the amount of manpower it’d typically take to perform these operational tasks.
5. Scale the hell out of your business.
Having an ever-expanding property investment portfolio sounds sexy, but you are just one person, and the work that it takes to manage tens or even hundreds of properties can seem daunting. Working with property managers who understand how to put foundational management systems and processes in place and use technology to instantly provide access to accurate information on your entire property portfolio can transform the way you scale your investments. What’s more is that you have all of the files, documents, communications, requests, and reports–from marketing to leasing to managing–stored in one secure place. Ultimately, these tools save you time and money, which leads to a leaner, more profitable business.
Hack Your Way to Building More Wealth
Lifehacks don’t just allow us to live smarter – they allow us to thrive. With property management software, you’re able to cut corners without compromising value for tenants. You’re able to have all of the details and information you need to manage your properties better. And best of all, property management software transforms you into a savvier, more resourceful, more profitable owner.
Looking for Real Estate Property Management software? Check out Capterra's list of the best Real Estate Property Management software solutions.