RENT Magazine Q3 '24

ROI: MORE THAN JUST NUMBERS Landlords often face the challenge of understanding the real value of their PropTech investments. Kimbrough stresses that the process shouldn’t begin with the budget but with purpose. “Budget is not the first thing property owners should think about. It’s about the long-term use. What pain points are you trying to solve? Once you figure that out, you’re more likely to invest your dollars wisely.” Measuring ROI, she adds, goes beyond attaching a tech fee to rents. She recommends working with providers who can demonstrate real value. “Choose a partner that’s going to help you show the ROI because you’ll need to present the results to senior management: ‘We spent X number of dollars; we reduced turn time by 30%; more people are renewing leases.’” Kimbrough also discusses how SKBM partners with PropTech IQ to provide data-driven ROI reports, pinpointing where financial impacts will occur, often within a 10% accuracy range. AAOA members can click here to get a comprehensive ROI report by scheduling a free consultation with SKBM Tech. The consultation will result in which tech and brands are the best for returning ROI for your specific rental properties.

Reduced turn time Increased tenant retention Improved tenant engagement with property features Lower maintenance costs through early detection (e.g., leak detectors) ENHANCING TENANT EXPERIENCE Beyond ROI, Kimbrough emphasizes the importance of enhancing tenant experiences through smart technology. “There are surveys like those from NMHC that outline tenant priorities. Building security, such as smart locks, is high on the list, along with the ability to control in-unit devices like thermostats from their smartphones.” However, technology without education is a missed opportunity. “If you’ve installed smart tech and aren’t educating your tenants or staff, you’ve wasted your money. We’ve seen properties spend $500,000 on smart home tech, only to find very low engagement through app usage.” KEY TAKEAWAYS FOR MEASURING ROI:

PAGE 53

Powered by