Real estate management: the benefits of an intelligent and integrated system
Buying or selling a property is one of the largest transactions an individual or family will ever make. Even less complex rental operations in real estate management are unique not only in value, but also in their complexity and time.
In recent years, the real estate sector has had a lot to reflect on. Companies began to implement remote relationship policies with their employees, investors, and clients, dealing not only with a global economic crisis, but also with the broad cultural changes that influenced the way in which we buy, work, and spend our free time.
Thus, carrying out an intelligent and integrated management of a real estate agency is currently also an emotional process, in which professionals need to be prepared to guide their clients in the best possible way.
After all, buyer/tenant behavior changed to digital in almost every sector, forcing brokers and companies to adopt more efficient strategies to communicate with landlords, tenants, and suppliers.
Real estate transactions are defined as any economic exploitation of property, land, buildings and other land rights, whether surface or not, residential, commercial, industrial, or empty lot.
In addition, it is the manager's role to work to maximize return on investment through the efficient performance of these four areas, which is why property management acts in the best interest of its clients, relating to tenants, collecting rents, budget improvements, and guiding registrations and transfers.
Today, however, nearly all real estate purchases start online. Therefore, the process of building trust and intelligent management begins even before meeting or speaking with a client, be it yours digital real estate or not.
At its core, real estate management refers to the management of a property or property portfolio.
It is the act of managing the daily operations of a given property or real estate portfolio on behalf of its owner. The manager oversees rental operations as well as their maintenance and coordinates the purchase and sale of properties through their brokers.
The responsibilities of a real estate manager differ from the type of property being managed, the terms of the management contract and, of course, the amount of fees they receive.
Basically, most offer monthly paid services and style options A la carte, in which the clients themselves can choose which duties to outsource or not.
Real estate management encompasses all aspects of its clients' properties, from the screening of potential tenants to the collection of rent, from maintenance requests to possible eviction actions and associated paperwork.
In a simplified way, just think of real estate management as a “one stop shop” capable of meeting all the needs of its owners.
Left unsupervised, unmanaged property becomes a liability. Therefore, the focus of property managers is to make these assets that can be enjoyed under their best conditions and in their entirety, offering the best benefit and profit margins for those involved.
For this, there are countless scanning software to simplify your processes and simplify your daily life, producing efficient gains and reducing costs to boost your revenue.
The electronic signature in real estate contracts, for example, is a fundamental tool for closing deals without the need to travel to other cities or regions, optimizing the procedure in all areas, including deadlines, quality, security, risk communication and resources.
A Porto Seguro - one of the largest companies in the country - understood that to deliver more value in the present and prepare for the future, it was necessary to innovate to enhance all areas of its operations, which is why it signed an unprecedented partnership with Clicksign for its brokers and guaranteed the automation of subscription processes throughout its operation.
“A first-time investor may view a rental property as a simple equation of: rental income — (mortgage + expenses) = profit. While this formula is the basic mantra for an investor, you also need to include your landlord duties and energy in that equation.”
Nathan Miller, Forbes Real Estate Board
However, it is important to note that to manage a real estate company it is necessary to understand some of its main subdivisions:
Asset Management
Asset management is the administration or control of the portfolio of real estate products, ranging from administration to execution and planning of all tasks and responsibilities for their results - from the acquisition to the final destination of those assets.
That said, it is the function of this management to manage and enable the maximum return on the assets of its clients, cataloguing and managing such assets in an efficient manner.
Financial Management
Finance is one of the crucial prerequisites for starting and sustaining any business. It determines objectives, formulates policies, establishes procedures, implements programs, and allocates budgets related to all of a company's budgetary responsibilities.
Managing the financial aspects of real estate businesses is not an easy task and involves controlling inflows and outflows on account of existing sales and transactions, in order to achieve greater business success and return on investment (ROI).
Great financial managers are able to navigate different scenarios, making the best use of available financial resources, reducing cash burning and increasing capital turnover to generate maximum ROI.
People Management
People management is a subset of management in the area of Human Resources and has many different activities that fall under its umbrella, including talent acquisition, professional training, listening sessions, motivation mapping, conflict resolution, orientation, employee assessment, and dismissal interviews.
Since an organization is fueled by the people who work hard for its success, managing people is crucial to increasing the productivity and sustainability of your business.
Customer Management
In this management, you understand the profile of your audience, your niche of activity and prepare the objectives that your company wants to achieve. Therefore, this is the main tool for detailing your company and tracing marketing routes.
Here, customer experience (CX) must be the core value (Core Value) to be pursued, since large transactions are based on trusting relationships. Therefore, providing a great customer experience is essential to increase satisfaction and retention levels, increasing your reputation and expanding the foundations of your real estate development.
According to reportage announced by ZenDesk at CX TRENDS 2022, excellent customer experiences improve your financial results and the converse is also true: 61% of customers would now turn to a competitor after just one poor experience.
Advantages of an integrated system + industry forecasts for 2023
Real estate management in all its aspects is a sum of several factors, such as purpose + responsibilities + systems + people.
Although complex, it is certainly rewarding, requiring managers to have the ability to deal with all their subdivisions in a strategic and integrated manner. The land boom in the metaverse And Das Proptechs demonstrates how the management of this industry was disrupted.
Thus, among the main benefits of modern, conscious and interconnected management, we can mention:
- It helps to obtain quality customers;
- decreases the rate of legal problems and the judicialization of conflicts;
- more consistent collection and eviction processes;
- solid monthly accounting and reports, capable of generating insights;
- optimizes marketing with accurate information;
- higher retention rate for employees and owners;
- simplifies maintenance and repairs;
- less stress and more time focused on the strategic rather than the operational one.
In this sense, the digitization of documents is imperative, since it allows the gathering of their main information for decision-making Data-driven, bringing much more assertiveness to your company.
According to reportage PwC's “Emerging Trends in Real Estate 2023” two trends in this market will be: aspects of the industry will be “normalizing” (reverting to pre-COVID standards), while others have changed permanently as the pandemic changed how and where we use different types of properties and further digitized our lives. According to Byron Carlock, the U.S. real estate leader for PwC:
“Although real estate capital markets are tightening, they are still open for business, investors are still buying high-quality properties, lenders will continue to lend, and companies must move forward with cautious optimism in this current cycle and prepare to adapt to rapid market changes”
In Brazil, after a scenario of political insecurity and polarized population, the Regional Council of Realtors of the State of São Paulo (CRECISP) emphasized that the victory of Luiz Inácio Lula da Silva for the Presidency and the possibility of resuming “My House, My Life” will be able to boost various fronts of the economy, such as hydraulics, electricity, furniture and architecture.
So, if you want to be prepared to ride that wave and want to digitize your real estate management, don't waste time, Clicksign is the ideal solution to accelerate the growth of your business!
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