Is it soon to use Property Management Software?

Question

I only own one property, but know that I would like to scale my buy and hold portfolio in the near future. How soon is too soon to use a rental property management software? I figured it will be useful to already have systems in place when I scale, but I also don't want to spend unnecessary money in the meantime.

Also, how do you deal with tenants who are not tech savvy when you use a property management software to run your business?

Rob B. · Answer

Hi Asya! It is awesome to that you're shopping around for the right platform to help you with managing your first rental. And it can actually help that you use a landlord software as an option.There are definitely some tools that can help with managing things moving forward. Aside from providing the basics (ie. listing tool to get the property published to 10+ major sites, scheduling tool to schedule viewings, tenant screening with comprehensive applications -- pulled reports from TransUnion, which include nationwide criminal background checks + credit checks + eviction history, digital lease creation tool, rent collection tool, and maintenance tracking tool), some services also offer your tenants additional capabilities which makes it an easier sell on your end when getting them to transition over (ie. their ability to report on-time rent payments to the credit bureaus; this can create an added incentive for making sure they pay that rent on time). I hope this helps!

Perry Livingston · Answer

For my first rental property I used cozy. In my experience, the site was set up to be pretty easy for people who aren't tech savvy. I was able to receive maintenance requests, automate rent collection and syndicate my listings. All of this was free for me and I never ran into issues with people not being able to use it. Also, in my opinion. the sooner you can make your life easier from a property management perspective the better :-)

Jason Tougas · Answer

@Asya Evans

I have been trying several different apps to find the one I like most with the most convenient features.

Many of these will allow you to try a free version- I’ve actually managed a property for an entire year for free and it’s been a huge help.

Try these out and if you decide you like them you can always sign for a subscription.

1.) Landlordy 2

2.) cozy

3.) LandlordStudio

John Underwood · Answer

I have 20 doors and easily manage with excel, so yes too soon.

John Morris · Answer

In my opinion it is never too soon. You can use something that would make your life easier even if you have only 1 property. I use a mobile app called OKUPIED, which I think is only available on the Apple Store, but compared to all other ones I have tried it is by far the simplest to use and their support is on point when you need something.  I referred it to 2 of my partners and they love it too.

Regardless of what you choose to use, it will be far better than juggling Excel sheets, receipts, and collecting checks from tenants.  Any app will save you a lot of time and frustration. I would suggest using something simple rather than any of the big, complex property management applications. Once you get to 20+ units, then you may want to look into those ones.

William Brown · Answer

Your thoughts will become your reality, so if you start thinking and building a foundation (don't make it super complicated, though!) of using technology and leverage you will train yourself to think in a different way, which values your time 10x over just doing everything yourself just because you can. I'd say go for it. Cost is super low

Mark F. · Answer

@Asya Evans New duplex owner and I cant see the use for a PM software or website yet. I set them up to email or text my google voice # with issues and emergencies. Rent is paid thru Zelle or venmo. I think after your first 5 or so properties it would start to make sense. As of now it's easy to keep up with two doors just by email and 3rd party paying apps.

Perry Livingston · Answer

@Asya Evans I stopped after one. However, a property management company I use outside my home state uses it successfully and they have ~100 doors.

Stephen J Davis · Answer

You can go either way. I think the sooner the better. They really do same time and money in some cases.

Is it soon to use Property Management Software?

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