4 smart ways to reduce your property management costs

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An increase in inflation makes everyone consider reducing their costs where possible. For property managers, the challenge of keeping costs low and tenants’ morale remains a high priority regardless of the current economic climate. Property management companies are always looking for smart ways to keep costs down, from tools to building maintenance and all the other bills in between.

So what does it mean for your property and to manage these costs with an eye on your end result? Consider the following solutions and consider how they can help you reduce the running costs of your rental home.

1. Save water

Sounds easy, right? Monitor your usage and you can keep your water bills under control. Unfortunately, many owners and managers are not even aware of how much water is wasted on their properties.

  • Undetected leaks has the capacity to increase your water consumption by almost a third of normal use. Look closely at your water meter; If you notice that any of your properties are showing a sharp increase in water usage, you may need to diagnose the problem by looking for any leaks in the plumbing. That leak can be anywhere and it’s probably a small one, drip drip your gain down the drain. If there is a leak you can see, you can repair it. On the other hand, if the source of the water remains a mystery, you could have a potentially bigger – and more expensive – problem on your hands. A leak that you can not find can be found somewhere deep inside the property, and it can cause significant water damage as a result.
  • Reduce the speed of use. Rental properties have begun to incorporate special functions designed to improve the tenant’s experience and at the same time make the costs of daily operations more affordable. More management companies are installing highly efficient alternatives for plumbing fixtures. These include double flush toilets, which reduce water use by up to three liters per flush, and water-efficient shower heads that have a flow rate of less than 2.5 gallons per minute (gpm) – half as much as traditional shower heads. Since we are talking about saving money, the idea of ​​replacing all the shower heads and toilets in your properties can be an expensive proposition. However, there is another option: Instead of going with brand new fixtures, think about buying aerators and installing them on your faucets and shower heads. They are much more efficient in comparison, even if they do not offer the same degrees of preservation as whole luminaires.

Related: 15 property management tips for contractors seeking passive income from real estate

2. Replace your landscape

Think of all the ways you use water on your property. You may be surprised to know that your choice of landscaping can be a huge strain on your resources. Replacing your shrubs, trees and grass with less water-dependent alternatives can save lots of green when you are not spending it on your green thumb. Asphalting lawns for more inviting common areas that your tenants can enjoy without the need for expensive water sprinklers and irrigation systems can help dramatically reduce your costs.

3. Transition to green energy

Property managers have begun to realize how affordable it can be to go green when they install more energy-efficient alternatives in their tenancies. A reduction in your building’s energy consumption can play as important a role as a reduction in your building’s water use. Converting to green energy includes a variety of measures that aim to reduce your carbon footprint and save money on your energy bills on the purchase.

Smart thermostats have become increasingly popular as consumers can program these devices to turn the air conditioning on and off automatically – even when they are away from home. The type of lighting you choose to install in common areas and outdoors also helps save money. LED is the way to go now; light bulbs are just a memory. You could even consider installing energy-efficient washers and dryers that tenants can use. If you supply the appliances in your units, look for refrigerators that have high ratings for energy efficiency. Taking the time to evaluate the electricity bill in your properties can also give you a clearer picture of how much energy you can save.

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4. Routine maintenance

You know the old saying, “Never postpone tomorrow what you can accomplish today.” I wish more property owners and managers would start repeating this as a mantra, as I have felt for many who have failed to perform even the most basic maintenance on their properties and paid the price later. Perhaps the most costly repair on any property is the roof – and eight times out of 10 was the reason for the costly repair due to a roof that was not cleaned regularly. Branches, leaves and other debris can accumulate on the roof of a house or apartment building and cause serious damage if left unchecked. A damaged roof is leaky, and it can be very expensive to repair.

If you do not clean the roof of your property at a rate of every 18 to 24 months, just ask for higher repair bills later. Let me assure you that the cost of having your roof cleaned by a professional is much cheaper than having it repaired by the same professional. Today’s building materials are built to last, but when neglected, they will break down much faster than you might think.

All of these ways of reducing costs require some financial investment. But spending a little now can ensure that you pay much less later. A responsibly maintained rental property continues to generate revenue because tenants want to live there. Always keep that in mind.

Related: 4 reasons why property management companies are thriving

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