5 Ways to Leverage Data in Property Management

A huge part of marketing your services is finding the right audience. Traditionally, property managers reached out to their network to zero in on potential clients. But with the introduction of non-traditional data, the real estate market has widened its horizons.  

Big data algorithms help you better analyze your prospects’ requirements. Instead of marketing blindly, you can target a specific group that is more likely to convert into clients. For example, if you manage office spaces, you can utilize big data to find clients working in the corporate industry.  

You can also analyze data to predict future trends such as the client requirements, local market demands, and the performance of your properties. According to McKinsey, non-traditional data analysis has a 60% better predictive power.  

Real estate submarket analysis would be a demonstrable example of how big data differs from traditional data. Simply looking at the past transactions gives inaccurate insights, as not every property is subject to similar conditions. Big data prices each property individually, considering local market variations.  

Understanding your tenants is one of the best ways to optimize your property management services. According to Building Engines, over 80% of high-performing property managers seek feedback on tenant satisfaction. Such feedback highlights your service's weak points and helps you enhance tenant satisfaction. 

But understanding your tenants is not only limited to collecting feedback but also analyzing tenant behavior. One such analysis can be done by observing building amenity usage. Certain amenities are used more by tenants when compared to certain others. Recently, tenants have preferred indoor amenities to keep up with the pandemic norms.  

Using big data, you can view these statistics at both portfolio and granular levels. Apart from this, tenants also use spaces inside the property. This can be an event hall, a party room, or a co-working space. The benefit of providing spaces is that they are flexible. As the tenant requirements change, you can also change one space into another.  

For example, during the pandemic, more tenants relied on co-working spaces. Even after the global crisis, 5 million workers are predicted to use co-working spaces by 2024. Property managers who analyze these trends early on can change their existing space to earn higher revenue.  

For any real estate business, evaluating their competition is essential to improve their services. This is possible through big data analysis. Competitors in the local market set benchmarks for the quality of service.  

Whether it is amenities or rent prices, knowing your competitor's strategy will help you with your own strategy. In an Altus Group Innovation Report, 2 out of 3 real estate executives said that comparative data and metrics help effectively benchmark against the market.  

Analyzing the competitor market also helps in tenant retention. Some of the most common reasons tenants leave are the lack of amenities and the high rental prices. Using data metrics, you can evaluate your property prices against that of your competitors. Analyzing your amenities and pricing your properties accordingly can help retain more tenants.  

Data such as growing neighborhood amenities and future trends can also be used to compare your predicted revenue with competitors. Similarly, you can use comparable properties to identify investment trends by your competitors. 

Many property managers don’t realize that they are wasting a lot of energy. For example, a thermostat operating in an empty room can consume large amounts of energy without use. And not just an empty room, reducing the heat of the thermostat during the night also can help you save around 1% of energy costs per degree.  

Evaluating the energy requirements of the building can also give you insights into how you can optimize your energy consumption to increase savings. Installing smart lights in hallways, decreasing AC usage in common areas are some of the ways you can save energy. And analysis helps you find the best way you can use them. 

With the pandemic still lurking and the availability of co-working spaces, many millennials are shifting from urban to suburban areas. As such, investing in the suburbs is more profitable in the coming years, and property managers need to do it early to avoid inventory shortages.  

Data analysis identifies such trends and directs you to make the right investments. It also predicts how long the trends will stay and gives you a picture of the future market, so you can invest wisely. You will also understand the buying history and current value of a property.  

Big data has revolutionized the property management industry. While it was slow to adopt non-traditional data, it has quickly realized the benefits of data analysis. Instead of making decisions based on intuitions, property managers are making smarter decisions through data-backed insights.  

Many property managers want to leverage real estate data but lack the required tools. At Assetsoft, we realize the importance of property data and help companies analyze them through our AI-backed strategies.  

From budgeting and forecasting to AI implementation, we offer complete support to our clients. Our services extend beyond data analysis as we help clients with training and software selection.  

We also help our clients find the right property management software by analyzing their business goals. Our team also integrates features of multiple property management software into a single platform for easy usage. 

To know more about our services, contact Assetsoft!