The profits available from both leasing and managing property increasingly make the headlines, but there are many challenges which the average investor may be unprepared for.
Whether you are a buy-to-let landlord or the CEO of a major property management corporation, effectively managing an investment is beset with problems and time-consuming.
Increasingly, the solution to these problems is to be found in the emergence of new technology designed for property management.
The size of the market for this kind of software is highlighted by the fact that there are an estimated 34,000 property management companies in the US alone.
Any landlord must deal with, or sub-contract, responsibility for many aspects of property management. This can involve marketing, screening potential tenants, collecting rent, dealing with maintenance issues and maintaining the landlord-tenant relationship.
One issue which constantly arises at the end of a lease is the tenant’s deposit and any deductions which the landlord wishes to make. Key to a satisfactory solution will be an accurate inventory agreed at the beginning of the lease.
This is an area where property inventory software found at sites such as inventorybase.com can come into its own. Avoiding disputes means reducing costs and ensuring a smooth transition from one tenant to the next. Landlords increasingly recognise that by using the latest technology to manage their property they will not only reduce expenses but also improve the quality of service offered to tenants.
Providing automation whilst at the same time maintaining a personal relationship with a potential client can create the best of all worlds. Increasingly, tenants are keen to use as much technology as possible, viewing premises online with 360-degree videos, checking in for viewings online and signing off on leases electronically.
Any landlord must be open to this kind of relationship to prosper in a competitive market.
A similar philosophy can also be applied to maintenance. The appointment of a tradesman, the confirmation of times of visits to the property and monitoring when the work is completed can all be digitalised, keeping the landlord and tenant up to date.
Finally, the Internet of Things is looming on the horizon for traditional landlords. Smart power meters, security systems and integrated white goods are increasingly playing a part in property management both for the owner and the tenant with benefits on both sides.