How is Property Management a Real Estate Disrupter?
Property management is an increasingly disruptive force in this volatile real estate market because it offers many advantages that more traditional brokerage models don’t. Due to a confluence of events, there are currently more renters in the market than at any point since 1965. This has created an unparalleled opportunity for the field of property management to shape current and future real estate trends.
The real estate industry is currently undergoing a profound transformative shift, driven by new technologies, innovative business models, and the demands of large new consumer demographics. Online real estate platforms such as Opendoor, Offerpad, or Zillow have already changed the way that real estate investors and homeowners do business. But they also are designed to appeal directly to the Millennial generation, which tends to view salespeople and capitalism in general with suspicion, and Generation Xers, most of whom have wholeheartedly embraced the affordances of digital technologies.
Real estate disruptors typically offer a bundle of appealing features, such as 24-hour access, speed, convenience, and more control over the buying and selling process. They also typically offer excellent customer service, something that is a key factor of the overall appeal.
A way to think about real estate disruptors is as entities or technologies that can provide what traditional real estate brokerages often cannot: high perceived value, efficiency, and standardized (reliable) quality. These qualities can be found in many of the new digital platforms, and explain their increasing popularity.
But one real estate market disruptor that many don’t often think of is property management. Unlike old models of owner-landlord real estate investing, today’s approach to property management makes it an increasingly attractive option for real estate professionals. According to a recent industry report, demand for quality property management is on the rise. Affordable housing shortages, stagnant wages, and stringent credit requirements have all contributed to increasing numbers of renters, and not just among younger demographics. Millennials saddled with student loan debt are delaying their first real estate purchase, while Baby Boomers are increasingly seeking freedom from a mortgage and the responsibilities of homeownership.
To meet demand, industry experts are urging business leaders to embrace change, rather than resist it. Creative thinking and more adaptable business models can produce new opportunities for real estate professionals in their pursuit of success. A new wave of real estate investors needs more than a real estate agent; they are looking for professional, full-service property management companies willing to play an integral part of their investment activities.
As a franchise organization, Real Property Management has worked diligently to become that company. We offer entrepreneurs and real estate investors nationwide access, standardized processes, digital capabilities, and high-quality customer service. Our approach aims to change the public’s perception of property management through increasing professionalization, tech-enabled customer service, and improved renter retention. Our brand of property management and expanding franchise opportunities are shaking up the real estate industry as we rise to meet the demands of every owner client we serve.
For real estate professionals, buying a Real Property Management franchise could mean the difference between being on the leading edge of a changing real estate industry and getting stuck in the past. As a recent Forbes article asserts, “In today’s real estate tech age, it’s disrupt or be disrupted.” It seems clear that the best way forward is a proactive approach to a changing real estate market, one that gives business owners the power of choice and the security of a property management franchise.