Smart home tech has really made life easier for many people. For instance, smart ovens made cooking simpler and faster. Thus, they enable even people who don’t know much about cooking to prepare their own food. Many smart devices also support voice control. So, you can now turn them on or off by speaking commands.
Now, people use smart home tech not only to obtain a luxurious, comfortable lifestyle. This type of tech has given some business people – property managers, particularly – more opportunities.
To paint a picture, we can look at self-touring technology. Mark Ledger, CEO of Rently, talked about this in an interview with Finledger. Lackner said they invented this integrated software-hardware solution to address challenges property managers and renters face when scheduling tours.
According to Lackner, 40% of renters preferred to view properties outside of regular business hours. Probably, that is because they have jobs to do during these hours. So to attend the tours, they have to not go to work. So, they developed the self-touring technology.
Self-touring technology connects a mobile app or web experience with smart access devices to create a secure, independent property viewing experience. It streamlines property-hunting for renters.
That is beneficial for both the renters and property managers.
Renters benefit from self-guided tours because they accommodate their busy schedules. They can schedule self-tours from listing sites. Then, the prospects will receive links to their mobile phones with step-by-step instructions for viewing a property or community. They can then come to the property without needing the company of the property manager. And they can do that outside of business hours. The prospects can use the access codes on their phones to unlock lockboxes and smart locks in the house.
Once they complete the tour, they can provide feedback or submit an application form. Again, they can do this directly using their devices.
That said, smart home devices streamline the process for them and improve the viewing experience.
Meanwhile, property managers benefit from self-touring technology because it eliminates the need to be present during tours. That allows them to save time and money.
Furthermore, self-touring technology increases property tours, thus, generating more leads. Collected data reveals that properties listed with self-touring options attract more prospects. In turn, that accelerates leasing cycles and reduces vacancy by 17%. Data tracking has also shown that lease conversions increase by 86% after offering self-guided tours.
The Demand for Smart Home Technology
Finledger asked Mark Ledger how the demand for smart home technology in properties has changed. The Rently CEO said that there’s a strong demand for smart home tech in single-family, multifamily, and built-to-rent rentals.
Before, renters considered smart home devices as bonus features or luxury amenities. So, managers did not prioritize installing smart home devices.
But the landscape has changed now. More Millennials and tech-savvy renters are looking for properties in today’s world. They expect at least one smart home device per property.
More and more prospects are making leasing decisions based on whether or not there’s a smart device. Consequently, smart home devices are becoming standard amenities.
Sure, the demand for smart devices forces property managers to make new expenditures. But that is easily offset because smart home upgrades increase property values and annual cost savings.
TL;DR the demand for smart home devices is increasing. And that works in property managers’ favor.
Should Builders and Investors Add Smart Devices to Their Properties?
Yes, they should. As mentioned above, that increases the property’s value and reduces vacancy periods. Aside from those, smart home devices provide overall utility cost control and minimize property damage risks.
To illustrate this point, we can look at properties with smart thermostats. That allows renters to use smart home thermostats to adjust their monthly costs. And for property managers, these devices enable them to minimize unit utility costs during vacancies. Smart thermostats can lower utility costs by at least 20%.
Deploying smart home devices also provides builders and investors with asset protection. For example, smart sensors can detect water leaks and inform the property managers before the problem escalates. According to data from the past, an average multifamily property experiences at least 4 – 5 water leaks per year. Each incident costs an average of about $120,000. But since smart sensors can detect those early, property managers can reduce expenditures for fixing these leaks by half.
On top of that, threat prevention devices, such as keyless locks, video doorbells, or motion sensors can often lower insurance premiums by 10-20%.
How Rently’s Smart Home Solutions Enhance the Experiences For All Throughout the entire Leasing and Resident Cycle
Rently is one of the businesses that is already using smart home devices in its operations. Suppose you are a property manager; you may want to take a page out of this company’s book.
Again, smart home devices increase the likelihood of prospects becoming actual renters. So, they increase rental rates.
Rently has already empowered 16 million self tours. And its client listing service attracts over a million renters each year looking for properties to self-tour. They have the properties of their solution to thank for that. It automates every phase of the leasing cycle. Everything from self-touring to move-in to residency is streamlined.
At the start of the leasing cycle, Rently’s self-touring platform connects with tech-savvy renters who prefer mobile property searches. It then accommodates their busy schedules and offers them an appealing preview of smart property living. Again, property managers benefit from that because they don’t need to attend the tours.
Then, when the residency begins, Rently’s smart home technology solutions provide renters with a luxurious lifestyle. It gives them convenience and reduces energy consumption.
Because of that, the renters are satisfied. That leads to them renewing their leases and decreasing expenses related to unit turnover. That is another win for property managers.
With all these said, it is indeed best to add smart home devices to your rental spaces. It will make your business prosperous.