There are a wide range of operational costs associated with managing rented properties on any scale, so every landlord wants to minimise these where possible. For landlords or property managers responsible for multiple properties on an ongoing basis, the figures involved across all buildings and tenancies can be significant, so any savings that can be made, without compromising on the levels and quality of service provided to tenants, are worthy of consideration to reduce costs.
In this article, we look at some of the ways in which using a specialist platform to engage with tenants can help landlords and property managers to save money on some existing areas of their operations.
Receiving and acting on tenant feedback promptly
A tenant engagement platform that provides tenants with an app that they can use to easily communicate with their landlord or property manager might be a good idea for a number of reasons, but can it really save money?
There are few things more frustrating for tenants than being unable to get in touch with the person or group in charge of their property when something happens, or they need a response quickly. If tenants experience a speedy and satisfactory resolution to their query, it can have a really strong impact on the relationship they have with their landlord, which can be a valuable asset in several ways.
Straightforward two-way communication means that landlords and property managers can learn about potential issues and problems with the property or something that tenants are experiencing at an early stage and do something about it before it escalates into a major issue. This can help to reduce costs when it relates to building repairs or maintenance, with the early intervention meaning that more costly repairs in the future are avoided.
Landlords and property managers who proactively seek tenant feedback (not just when there’s a problem) through an engagement app (that makes it really quick and easy for tenants to respond) can use the insights that this feedback brings to improve services. Getting ahead of the game in this way can mean that tenant sentiment towards their landlord is significantly improved without necessarily needing to spend money.
Decreasing tenant churn
Tenants leaving a property because they are dissatisfied with the service they have received can cost landlords a tidy sum each time. Advertising for new tenants and then the onboarding process has an associated cost. Some tenants will always move on after a period of time, but keeping good tenants for longer can save landlords a significant amount over time so keeping them happy is key to this.
The features offered by a great tenant engagement platform facilitate excellent two-way communication and a joined-up approach to everything related to the property. For example, tenants can pay rent, view their tenancy agreement, book facilities, send and receive messages from others in the community and report repairs needed all in the same place with ease through their smartphone. Reducing the need to find and install new tenants frequently can be a real money-saver for landlords and property managers.
Utilising tenant data to reduce energy costs
A good tenant engagement platform not only acts as a communication and feature-packed tool that makes life easier for both tenants and landlords, it also captures data that can be used by those managing the property in a number of ways.
The kind of data and the insights it can provide may vary, depending on the specific type of properties involved, but a great tenant engagement app can capture anything from when communal rooms/areas are in use, how parking spaces are being utilised, to how tenants like to send or receive communications. This data can help inform your service development but can also lead to direct cost savings, such as by helping you better manage building energy use i.e. not heating or lighting communal spaces by default at times when use is unlikely.
Streamlining multiple processes into one core platform
Many landlords or property managers that are responsible for operations in multiple properties use legacy processes and software to manage different parts of their business. This means that the staff using these solutions spend a great deal of time switching between different platforms and feel stuck to the old ways of doing things, no matter how inefficient they are.
With a good tenant engagement app, there are features built-in which help with the day-to-day and overall management of any and all operations needed. This can be an integration with third-party software or bespoke functionality to help streamline lots of necessary processes into one place, making things much easier and quicker to manage. For example, the tenant engagement platform can include tenant-side reporting of repairs or maintenance issues, along with the back-office admin features needed to flag that issue and arrange for the problem to be assessed or fixed, as well as the functionality for maintenance staff to log updates to the ticket as things progress and all relevant parties updated as needed along the way. This can all happen within the same platform, managed on mobile devices for tenants and those working on-site and by web portal for office-based staff.
Stripping out legacy processes that are no longer needed or are simply inefficient can create real savings in time for staff, which turns into cost savings for the business.
Better communication with tenants for smoother operations overall
The days of needing to put up notices on doors, in stairwells or lifts in order to inform tenants about upcoming maintenance works, events or other important matters are long gone, when a tenant engagement app can simply message all tenants and remind them as necessary at the touch of a button. Whether it’s building-wide communications or booking in appointments with individual tenants for things like repairs, it can all be done via the app, which will minimise chances of things like maintenance staff not being able to gain access to a property when needed. With effective communication that works for both tenants and those managing the property, the greater efficiency can bring genuine cost savings that really add up over time.
If you’re considering a tenant engagement platform that can help you make savings and efficiencies in a host of areas, the team at Padoq would love to hear from you to talk about how we can help put the right solution in place quickly and cost-effectively. Get in touch now.