Residential assets investment in UK – The role of property management software in reviving the stagnant water
We are living in the golden age of residential property management business in the UK. The number of households privately rented has increased by 63% from 2.8 million in 2007 to 4.5 million in 2017. The population growth in the UK is moving fast forward while the new construction rate is not filling the gap of the demand. This problem is resulting in being London one of the top expensive cities worldwide to rent a property. But the bright side shows that if you own your own property it can formulate a good source of income as an investment for you. For example, if you want to rent a 1 room property in London or its neighboring cities the least price you can find is 1700 £ which is much higher than one’s average income. In order to keep up with this golden investment, you need it to stay developed with a property management software to assist you beside dealing with a property management consultant. Here, we will show you why you need a residential property manager for and a specified software to run your business.
Firstly, a residential property manager will handle all the steps to market your unit, from keeping an eye on the maintenance process and setting your rental rates to tracking all administrative and financial statements and keeping the building’s insurance, payroll, taxes and budget updated. The PM can be called your eye on site, if you are living away from your facility, he will keep you updated with your property status. Mainly his role is to ensure that you earn the maximum revenue with the minimum cost.
Secondly, a software you can depend on. A well-designed property management app that matches your needs is one of the main pillars you can add to your business. You can easily depend on it to enhance connectivity between you, the property manager, and the tenants to easily track your facility status and charges. And most important is to eliminate the paperwork which is a waste of time and money.
Finally, the residential property manager and the property management software both complete each other. If you manage to integrate between them, you’ll assure to get your money invested back with profit faster and bigger.
In this article, you will find:
- How to get tons of rentals using a landlord software?
- what are the benefits you will earn back from using this software?
- How to set the exact renting rate for your property?
- Red-Light Signs of using your residential or commercial property software
- What are the top property management apps in UK?
4 Steps to get tons of rentals using a landlord software
Working in the real estate construction project management field is a complex operation and technology works hard to make it simpler. A small tech-tips can make a significant change in your investment. We gathered the four main steps you can use to increase your rentals whether you own one unit or thousands.
- Implement innovative marketing strategy using a rental property management app.
- Create a transparent one to one online service through an asset lifecycle management software.
- Provide a property asset management platform to resolve all the resident’s issues and enhance current resident communication.
- Plan for a preventive and predictive maintenance strategy using a computerized rental property maintenance software.
Using a proper web-based property management software is the first step that pushes you forward in your business. Keep yourself updated with all the recent additions of apps and software so you can find the best one that matches your business size and needs. In this part, we have shown you how to go the right way of developing your business. Following, the main benefits you gain from using a property management app.
Top benefits of implementing property management UK apps in your business
If your property is your main income source, then your priority will always be to keep it maintained and serviced. You can easily eliminate the human error from this process by implementing a property management software that helps you to save maintenance costs, updating your space requirements and scheduling your tasks. Automation is your optimum way to manage your daily tasks without forgetting any issue which gives you more time to focus on the important aspects of your business. Here are the most 3 benefits a property management app can add to your investment:
Property tracking: If you are still working on managing your tasks manually through spreadsheets then you don’t know the power of maintenance software yet. Computerizing systems allows you to operate more efficient processes of checking on the unit situation and documenting any needed maintenance conveniently.
Financial saving: Whatever the cost you are going to spend on the management software is, it will never be compared to the hiring fees for a management team to operate your facility. Moreover, the earlier in the maintenance process you find the defect the cheaper you can fix it. The software will plan a schedule for your repetitive maintenance cycles and remind you of its timings and completion.
Proper communication: Whether you need to communicate with your renter or your property manager you will always need a platform to gather all involved parties at one point. The software eases this process and makes it more flexible with its connecting platform and its customizable options. In addition to that, a maintenance software app allows you to control your business wherever you are.
With the previously tackled benefits and tips, you will face a little problem with setting the exact rate for your facility. Here’s how you can overcome this problem.
Learn to set the exact renting rate using property management app in simple tips
We all know the hustle happens when you start asking yourself how much should you charge for rent? The answer depends on multiple factors like the property condition, location, average price in the same area, maintenance costs and housing rental laws of your city. You can bring a professional home appraiser to evaluate your property and tell you how much exactly it is worth and give you a detailed report. The second option is to use some of the online tools like Zillow to calculate it on your own.
In a simpler way, to calculate it we assume that your rent must be 1% of your property price. For example, if your property costs 150,000 $ then your monthly rent would be in a range of 1500$ more or less. It’s always good to demand a bit less because this will attract more renters to your unit making it more affordable for many. A second case scenario is that if you are renting your house to pay for your home loan, you should consider that your rent must be at least equal to your monthly mortgage bill. For example, if your monthly bill is 1000$ then everything above the 1000$ rent will be directly considered as profit.
Done with the bright side, next are the red-light signs that can lead you into a total loss in the rental sector.
4 Signs telling you are moving in the wrong direction of using your residential or commercial property software
Saving your capitals is not an easy task with all these interlacing operations. If you are an accidental landlord or new to this field, you’d probably doing some of these signs and you don’t know. Check them now so you can avoid them afterwards.
- (DIY) Do it yourself maintenance operations.
- Chasing your monthly rent cheque manually without a regulating software or bank transfer.
- Choosing the wrong renters without previous screening.
- Setting your own rental rates contradicted with the average area price.
If you find out that you are involved in some of these faulty operations, we suggest to start searching for a professional property manager and software to invest in your business and grantee accuracy.
What is the Best Property Management software UK Tool for 2019?
Property management software helps PMs and landlords to track payment updates and follow up with the maintenance procedures. This process starts from the facility resident request, passing by the property manager scheduling, and ending with completion verification by the owner. Moreover, it provides you with an online database of all your resident’s contacts and information that surely are needed. We present you the top five apps that you can depend on, according to Software Advice. This should help you to find the matching software for your needs either if you are an owner or a property management professional.
The software is one of the web-based solutions that include multiple features to assist managers in tracking their rent, rate and maintenance process.
- SimplifyEm Property Management Software
The app is designed to meet the small and mid-size business. You can be a landlord or property manager to use it as it doesn’t require professional knowledge. It offers accounting, tenant management, lease tracking and maintenance scheduling services at the same time.
- Rentec Direct
Rentec is web-based software designed for large business owners. It has managed properties starting from 25 till 5,000 units. You don’t need to pay any start-up fees; no term commitments and it includes US-based customer service.
- AppFolio Property Manager
The application allows residential, commercial, student housing and community association property managers to market, automate and manage their business fast and easily.
Hemlane is a cloud-based software focusing on small business. The key features include marketing for your property, renter screening, lease tracking, payment collection and maintenance coordination.
We assume that you have a clear view now of the best landlord property management software market choices. Do your analysis and pick what fits your requirements.
Finally, in this article, we tried to gather all the data you need to start your own business in the real estate residential field. Hopefully, this will work as your ultimate guide for setting your goals high in 2019. Don’t forget that If you seek a good rank in your business, the smartest solution is always technology.