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12 Tasks for Property Management Automation

Written by Andrew Smallwood | Sep 26, 2024 6:00:00 PM

Property management automation refers to using technology and software to automate various tasks and optimize processes related to managing properties. It can involve using single-family property management software to streamline tasks such as rent collection, applicant screening, property maintenance requests, and accounting, among others. 

At Second Nature, we think of automation and outsourcing as two sides of the same coin. Either way, you're getting your time back. That's why our focus is making life better for residents and easier for property managers. Our suite of resident services helps support a better resident experience, driving up retention and making investors happier, too. And, since we fully manage every part of it, we also make life easier for you, the property manager. That's a "triple win."

With that being said, let's dive into the nitty-gritty of property management automation: the 12 tasks and seven tools you can most easily automate and the seven tools to help you get there.

Which Property Management Tasks Should You Automate?  

Automation might make us think of manufacturing lines or robots, but in the modern workplace, automation is simply a catch-all term for tech tools that can instantly streamline your work process. Automation tools handle time-consuming, repetitive tasks, speeding up the workflow process, creating fewer mistakes, and freeing us up to do more valuable work. 

Without automation, we find ourselves losing time with busy work like:

  • Manually entering data
  • Writing and sending emails
  • Phone calls and follow-up
  • Keeping track of to-do lists
  • Fixing mistakes in spreadsheets or other work
  • Reminding team members how to do day-to-day tasks

Think about the last month when you took the same action repeatedly – or saw the same situation and made the same decision – or got the same question and shared the same information. 

If a task is easily duplicated and policy/rule-based, automation is coming for it. Here are a few of the most common areas where PMs are standardizing and applying automation tools.

   

1. Rent collection automation

Online rent payments can automate reminders to tenants, reduce errors, and increase on-time payments to collect rent without creating any additional work for the PM. Tools like ELI+ (formerly  Colleen.ai) and EliseAI are innovating this space. Both are chatbot-type tools that help automate things like rent collection by automating communication about delinquency and the follow-up process. The tools communicate directly with your residents for you with rent payment reminders, support, and more.  

2. Property inspections and compliance

Maintaining compliance with property regulations and ensuring thorough inspections are critical responsibilities for property managers. Using an automated checklist on a handheld device not only speeds up the inspection process but also ensures consistency, helping you meet regulatory standards efficiently. Automation tools can instantly generate comprehensive reports, eliminating the need to return to the office to manually input data. Tools like RentCheck and OnSight Pros can either automate or outsource this work for you as a property manager.

RentCheck is a software tool that you and your staff can use for photos, checklists, workflows, and more, all while ensuring that inspections adhere to compliance standards. There's also a native app that residents can use to do inspections themselves. Then, it will compile a clean, easy report that you can send to your investors.

OnSight Pros isn't exactly an automation, but it has the same impact on your workflow. They have a network of professionals who do property reviews in person for you, helping you stay compliant without having to perform every inspection yourself. They're not available in every market, but you can check their website for available service areas.

Related

5 Best Property Management Inspection Software

Property Management Rental Inspection Checklist [Free Template]

3. Maintenance requests

A 24/7 maintenance portal means you don’t have to take calls every time they come in, and you can quickly and easily triage maintenance requests.

Tools like Property Meld help automate work requests, vendor communication, scheduling, and more. Mezo is another newer tool on the market that provides conversational AI to interact with your residents, scope the maintenance issue, support self-service, and help deploy the right professional if needed. With a tool like this, you can eliminate multiple trips out to the property or even have it fixed by the residents themselves.

Related: 10 Best Property Maintenance Software

4. Accounting and bookkeeping

Bookkeeping was one of the first areas of automation when computers entered the scene. It's hard to find a professional property management business that doesn't use property accounting software. Tools like Rentvine help automate fees, statements, financial tracking, and more.

Most property management software platforms provide accounting features, and everyone uses them somewhat differently. You can use integrations, layer in vertical tools, and more. However, a lot of the actual accounting can't be truly automated. Instead, you can outsource to companies like Bynnd and Reconcile Daily who will do the accounting work for you.

5. Document management

Property managers are always on the go. Automated document management is a game-changer.

This one is pretty straightforward. Most property management software works with cloud-based documents and tracking or integrates with services like Docusign

6. Managing new accounts

With integrations, you can add new properties, trigger automatic processes, and reduce vacancies more quickly. For example, after entering a new property in your CRM, automation can launch a new property checklist and notify your whole team. 

For example, you can set up an integration where a new lead comes in as "won" through LeadSimple and Zapier automatically starts a new property checklist in Process Street, populates the data from the sales process, and assigns the checklist to the right person on your team.  All automated. 

7. Resident communication

Email is the most common form of communication, and yes, it is automation. Some PMs are using even more streamlined workflow communication like Slack, LeadSimple, or Help Scout.

Automation can feel alarming to some at first, but the best property managers are embracing it. They’re quick to do the hard work of developing policies, documenting the process, and then using tools to systemize their expertise and automate the work. The result is more reliable and likely less expensive than people doing it. 

Solutions like LeadSimple provide communication tools across customer types so you can set up automation for clients and residents. 

8. Lease renewals

Automating lease renewals allows property managers to streamline communication with residents when their lease is going to end soon. Various tools on the market can automatically generate renewal reminders, send them to residents, and draft lease agreements for electronic signatures. By automating this process, property managers can ensure they never miss a renewal opportunity, helping to reduce vacancies and keeping the workflow organized without manual tracking.

Related: How to Craft a Lease Renewal Letter That Wows Your Residents [Free Template]

9. Resident onboarding

Self-service workflows for resident onboarding allow new residents to manage their move-in process independently. Through online portals, automated messaging, and chatbots, property managers can reduce their direct involvement. This is especially useful for smaller property management companies that need to stay competitive while cutting down on manual tasks.

By using these tools, residents can handle everything from signing leases and making deposits to setting up rent payments and maintenance requests, all without the need for back-and-forth communication. 

Although some property management companies may have some hesitation around adopting new technologies, the ability to simplify operations and offer a more seamless experience to residents makes these systems a smart choice for companies looking to operate efficiently in a tech-driven world.

Related:

How to Create Self-Service Tenant Onboarding Workflows

Best Tenant Onboarding Software

10 Steps to Onboard New Tenants

10. Vendor management

Managing vendors is an integral and sometimes time-consuming part of property management. Automation helps by consolidating communication and scheduling. For example, software systems can automatically dispatch work orders, track progress, and update the property manager on the status of repairs or maintenance. By using automation to manage vendor interactions, property managers can ensure timely service delivery while keeping their operations running smoothly.

11. Reporting and analytics

Automating reporting and analytics allows property managers to track essential key performance indicators (KPIs) in real-time, providing a clearer picture of both financial and operational performance. These KPIs might include rent collection trends, occupancy rates, or maintenance costs, categorized by financial, operational, or property performance. 

By automating reports, property management companies can instantly access critical, transactional data while keeping sight of broader objectives like maximizing customer lifetime value. This enables data-driven decisions that not only focus on short-term metrics but also support long-term growth and stability.

Learn more: Top 20 Property Management KPIs to Track

12. Utility billing and expense management automation

Utility billing and expense management can be complex, but automation tools simplify the process by accurately tracking utility usage, generating bills, and distributing them to residents. This eliminates manual errors and ensures timely payment, while also allowing managers to monitor utility expenses across multiple properties. With automation, you gain full visibility into costs, making budgeting and forecasting significantly easier.

Property Management Automation Tools

After identifying the processes you want to automate, the next step is to adopt the best tools available to property managers. We’re seeing buzz from PMs across the industry using automation tools at every stage of their operations. 

One of the more visible examples out there is Peter Lohmann, CEO of RL Property Management. He outlined several no-code tools that he uses to automate his property management business. No-code tools are easy for anyone, and most can “talk” to other software through APIs. 

Here are some of the tools we like the best and how Lohmann has used them for his PMC:

1. LeadSimple

LeadSimple is a sales and operations CRM geared towards property and real estate management. You can approve a rental application in the CRM and trigger other automations like emails, checklists, and more. LeadSimple recently added workflow automation and an inbox product that works like a ticketing system.

2. Zapier

Zapier is a workflow automation app that connects all your other apps. For example, when you mark a new property in your CRM, it can “zap” your checklist software to start a “New Property Checklist.”

3. Process Street

Process Street is an automated checklist software that gets your entire team on the same page. You can assign management tasks, mark priorities and completions, schedule, and more. It also has email templates that can be automatically populated from your CRM.

4. Slack

We all know Slack. Slack is the communications app that puts your whole team in one place, sets up groups, streamlines topics, and more. Zapier can automatically send notifications through Slack about new accounts and assignments.

5. Mailchimp

Mailchimp automates and sends professional emails. Through integrations, you can connect it with your CRM and other automations, so emails are automatically populated and triggered at the right time. 

6. Airtable

Lohmann explains that he has transitioned all non-financial data from their legacy system into Airtable, where they have control of it and can connect it to other tools. 

7. Buildium

Buildium is a property management software for PMs with 50+ doors in their portfolio. With a monthly fee, you can use Buildium to set up recurring rent payments with credit cards or ACH and use other property management features.

Benefits of Automating Property Management Workflows and Processes

Professional property managers don’t just manage property; they manage projects, workflows, and processes. Here are some of the top benefits of implementing automation tools to improve those processes and workflows.

Improved efficiency

Automated property management processes can drastically reduce the time spent on repetitive tasks, allowing your team to focus on more strategic activities. Use rent collection as an example: Instead of manually tracking payments, an automated system can collect payments electronically, keeping records updated in real time.

Minimized errors

Automated workflows minimize the chance of human error in tasks like accounting, tenant screening, or maintenance scheduling, ensuring accuracy and consistency. For instance, in accounting, automating calculations and data entry can reduce errors that may occur due to manual entry, ensuring the accuracy of financial records.

Increased resident satisfaction

Automation can speed up response times to maintenance requests, rent payment processing, and communication, leading to a better tenant experience. Using maintenance as an example here: Tenants can submit requests online, the system can automatically assign a service provider, and update the tenant with progress in real-time. 

Enhanced communication 

Automated reminders and notifications keep all stakeholders, from tenants to service providers, informed and engaged, improving communication. For example, automated reminders can notify tenants about upcoming lease renewals or rent due dates, ensuring they're well-informed and reducing late payments.

Scalability

Automated systems allow for easier scaling of operations as your property portfolio grows. It's much simpler to manage increased workloads when processes are automated. As your property portfolio grows, an automated system can easily handle adding new tenants, properties, and corresponding data, without requiring more administrative effort.

Real-time reporting

With automation, real-time reporting becomes possible, providing valuable insights into your business's performance and enabling better decision-making. An automated system can provide real-time occupancy rates, rental arrears, or maintenance costs, enabling you to make data-driven decisions.

Cost savings

By streamlining operations and reducing manual labor, property management automation can lead to significant cost savings in the long run. By automating routine tasks like tenant screening or lease agreement generation, you can save administrative time and associated labor costs.

Regulatory compliance

Automated systems can help ensure compliance with housing laws and regulations, reducing the risk of legal issues. For example, automated systems can update you on changes to housing laws and ensure all lease agreements are compliant.

 

Remember, automation doesn't mean losing the personal touch that sets your business apart. Instead, it's about freeing up time and resources to focus more on those areas that truly require a human touch.

What Is an Example of an Automated Property Management System? 

One innovative example of automated property management is right here at Second Nature.

Our service helps manage and automate the resident experience to be the best that it can be. Our Resident Benefits Package allows property managers to deliver premium services – without the hassle of managing the programs in-house.

Second Nature's RBP  offers benefits that residents pay and stay for, like rent reporting, renters insurance, filter delivery, identity protection, resident rewards, and even a move-in concierge. With the RBP you can essentially automate resident happiness. 

How Second Nature Helps With Property Management Automation 

Automation sets professional property managers apart. As automation is adopted across the industry, professional PMs are more likely to build the right systems and put together the right tools faster than people who aren’t as motivated or skilled.

At Second Nature, we believe in the power of innovation, and we see it every day in property managers around the country. Our tools, like the Resident Benefits Package, aim to bring more ease and automation to your work processes so you can get out there and grow your business. Learn more about our benefits and tools at secondnature.com.