“If you do not know where you come from, then you don't know where you are, and if you don't know where you are, then you don't know where you're going. And if you don't know where you're going, you're probably going wrong.”
In this series, we are covering the basics of property management accounting. Part 1 discussed some of the more common accounting terms you will encounter throughout this series. In this part 2, we will cover books and accounts, both for your property management company and your clients.
Part 1: The Basics
In this series, we are going to cover the basics of property management accounting. Property management accounting is different from standard accounting because you not only need to keep track of your property management company’s finances, you are also managing separate accounts for the properties you manage.
Raising the rent is a necessity at times and just a smart business practice at others. With the average annual inflation rate in the United States at approximately 3.22% per year, a rent increase is necessary periodically to keep a property profitable.
While property managers understand that rent increases are necessary over time, many tenants do not, so the process should always be handled delicately. After all, at times a lost tenant resulting in a turn and potential vacancy is more expensive than the lost revenue from skipping the rent increase in certain circumstances.
As a property manager, you may not be well-versed in all of the sophisticated technology or insider tricks that help you track your online marketing efforts. The good news is there are some simple and free resources you can use to help track your property management marketing efforts such as Google Analytics.
Skilled property managers wear many hats. Learning how to respond to negative online reviews is the public relations hat. It just as crucial as the “lead generator” hat because so many people trust online reviews when searching for a new business partner. In fact, according to Inc.com, 91% of people read online reviews, and 84% of those people trust the review as if it was coming from a friend.
A Property Manager's Guide to Establishing a Realtor Referral Program
Cultivating leads is vital to helping your property management company continue to grow and thrive. Long-term success in any business means ongoing work to onboard new clients, and in property management, it is no different.
Every major player out there uses social media to enhance their marketing, and for a good reason. The average person spends nearly two hours per day on their social media accounts, and 82 percent of the world’s population has a Facebook account.
If you aren’t promoting your property management business using social media, you’re missing out. Building an online presence requires more than a great website and paid ads, social media is one arena where you can put inbound marketing principles into action.
Property management marketing has changed. Search Engine Optimization (SEO) is still an integral part of reaching your customers, but your customers will look elsewhere if you don’t produce high quality, helpful content that meets their expectations. Yes, keywords matter, but if your content focuses too much on keyword placement, your customers are going to consume content from a site that doesn’t appeal more to search engines than it does to them.