According to Grand New Research statistics, the property management software industry was valued at USD 3.04 billion in 2021. Now this industry is expected to see a compound annual growth rate (CAGR) of 5.6% from 2022 to 2030. This is a whopping growth for this market due to the rising demand for such software options among real estate businesses.
So, what is better, SaaS integration with one of the top property management software or developing your new software? What does it take to develop property management software, and what are its benefits? Are there any drawbacks? Let us find out in the detailed research blog written below.
Steps to develop your own property management software
Here are the five quick steps to help you understand the essential milestones of developing a new property management software.
Decide the type of property management software you need
Not every real estate business is the same, and every management system needs an edge to be a cut above its competitors. Is your software for commercial property management, is it for residential management, or is it solely for retail malls and warehouse management? Choose the industry that your property management software will work in, and that will help you decide the type of software your business needs.
Determine the features and functionalities you want
So, the second step is to property management software development is to decide the type of features that are essential for you. You can easily do away with some features which may not come to use at your business and develop more niche features like resident screening. But make sure have all the basic features like accounting, rent collection, lease tracking, and management. These will help automate a lot of your tedious tasks and streamline your business process overview.
Hire an IT team and expert software engineers
Software development is not a one-person job, and you need to look for an expert team to do the work for you. You have to hire them full-time because software development is a huge task in itself. So, source the right developers and methodically describe your demands and needs to them, and then start with the development.
Think about scalability and cost
Once all the steps of the development process are clear, go back and check your costs against your ROI of this whole development process to see if they add up. Also, ask the IT team how flexible this software will be and how much you can scale and customize them according to your needs.
Benefits of developing a property management software
Once you have a software development plan in place, it is time to figure out how you will benefit from this investment. Let us learn more.
You can manage multiple properties at the same time
Once you have the right software to work with, you can easily expand your portfolio and manage multiple properties at the same time. Things like accounting, reporting, and communicating can all be done from the office, and you do not need to visit every property to do these. This can reduce third-party interferences and reduce stress.
A homegrown software can be scaled at any time
The anchors and controls are in your own hands when you have developed your own software. You can scale up or scale down with software usage at any time, according to your contemporary business needs. You can also keep adding more features like tenant screening, employee management, data verification, CAM reconciliation, or more as your needs grow.
Data storage and protection are tight
Your data storage and protection are always in your control as you conduct your work on your own software system. There is hardly any chance of data leaks if there is no internal fraud or mismanagement.
Unlimited number of updates and changes
They are always at your disposal if you have an in-house IT team working for you. You can get unlimited updates and change features according to your preference. This team can also provide you with troubleshooting at any time of the day, and you do not have to wait to get back-end support.
Drawbacks of developing a property management software
But developing your own property management software is not all great; there are some drawbacks too. Make sure you evaluate them when you make your plan. Check them out below.
Developing own software can be very costly
According to reports, property management software development alone can cost somewhere between $30,000 - $45,000. That is a huge amount, especially for a business just starting out or wanting to keep it low scale.
Assetsoft also has cheaper options for property management, like MiCasa, a basic property management software for beginners. This is the way to go if you are running on a budget but need new tech to upgrade your business.
You may lack an expert team for software development
If you do not have the expertise and knowledge of software development, it can become a major risk factor for you. You can be duped and face many glitches if the development and integration are incomplete. You will also need to hire a full-time in-house IT team to work on updates and back-end issues to help mitigate them. This is not only cumbersome but can also cost you a fortune.
Simplify property management with Assetsoft
Why worry about developing your own software when there are dynamic new technology selections in project management like Yardi, MRI, MiCasa, and more? With any property management software in place, you get automatic updates, and you need to have your own IT team for development and troubleshooting. SaaS services are much cheaper when it comes to property management, especially for new businesses.
From customizations to staff training, our services are end-to-end, and we also offer 24*& support to help you in times of crisis. Want to understand how each of these dynamic property management software options work? Want to learn which one is the best fit for your business and how many customizations you can get according to your business plans? Book a free consultation call with Assetsoft as we give you a detailed walkthrough on how to go about it. Talk soon for more!