- Tracking KPIs frequently entails comparing the various techniques used and their impact on your business or you personally over time.
- The significance of the number itself pales in comparison to the realization that you are improving on your previous performance.
- There are several key performance indicators (KPIs), but keeping track of everything related to rental occupancy and upkeep can be difficult.
- Spend time determining which KPIs your company needs to succeed.
KPIs are quantitative measures of how well a company or individual performs. KPIs can help you identify opportunities and problems specific to your business. To run a successful salesforce real estate CRM, KPIs must be monitored.
The five key performance indicators (KPIs) listed below are essential for any property manager to monitor in order to evaluate their company’s performance.
Table of Contents
1. Common Arrears:
One of the most difficult problems that property managers face is getting tenants to pay their rent on time.
Arrears are sums of money owed, which in the case of a property management company is usually past-due rent.
Arrears must be monitored because they have an immediate impact on the company’s cash flow.
They consider the money you should have but do not have. You need money to keep a profitable business running.
A high average of arrears can stifle your company’s growth.
When researching different property management companies, property owners will want to know how effective each company is at collecting rent.
Maintaining your arrears and being aware of them will demonstrate your success in your position.
2. Maintenance Request Response Time:
If you want to increase tenant satisfaction, keep track of how long it takes to respond to maintenance requests.
Keep track of how long it takes from the time a renter requests a repair to the time you attend to it.
As a property manager, this demonstrates your level of responsibility.
Nobody wants their air conditioner to break down in the middle of the summer and have to wait weeks for a repair.
If you take a long time to respond to tenants’ requests and notice them renewing their leases infrequently, you may have discovered your problem.
3. Maintenance Response Time:
Nobody likes having to wait weeks for a faulty utility to be repaired.
If you respond more quickly, your tenants will be happier, and your tenant turnover rate will likely decrease.
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4. Average Rent:
Using this statistic, the Property Management Software can track the revenue generated by each of your properties.
Compare your average to the market to ensure you’re keeping up. With rising real estate values, your rent should rise steadily over time.
When you have a wide range of attributes, having a different average for each type is preferable.
5. Property Inventory:
Determine the number of properties acquired and lost during a given time period.
To grow your business and increase your earning potential, you should add new properties to your portfolio on a regular basis.
Consider why they failed in light of the number of properties lost. Client turnover is unavoidable as clients’ needs change.
Request feedback from previous customers on how you can improve.
Remember that, while increasing your property inventory should be your goal, success is not solely based on quantity.
Having more properties will not help you manage them better if you are unable to manage them.
Increase properties as much as you and your company can handle.
