May 01, 2018
Cost Savings Calculator: How Much Can You Save With Property Vista?
Looking for a cost savings calculator to see how you can save money by using property management software? Here’s a breakdown of some of the places where you’ll create efficiencies, replace costly processes with automation and increase your cash flow through higher residency rates and better management.
Online Payments Cost Savings
Properties that have adopted the Property Vista platform commonly experience an increase in online payments by well over 70% within the first 3 months of implementation. According to a 2015 Payments Cost Benchmarking Survey by the Association for Finance Professionals the estimated median cost of a check transaction is $3.00, and the cost of electronic payments is a mere 30 cents. Let’s do the math on that.
For each tenant that adopts electronic payment, your costs decrease by $2.70 (From $3 to 30 cents.) If you had 1000 units, and 700 of them switched to electronic payment, you’d save 2.70 per unit, per month.
1 month = 700 X $2.70= $1890
Annual savings = $1890 X 12 months = $22, 680
Paper & Lost Document Costs
According to INC Magazine:
- It costs $20 to file a document,
- Or $120 to search for a misfiled document, and, if you can’t find it…
- It costs approximately $250 to recreate a lost document.
Let’s see how that plays out throughout the property management organization.
Our research shows that 20% of manual maintenance requests are misplaced. Of course, it varies from building to building, but if your portfolio has 1000 units and each unit has an average of 2 requests per day, the costs work out to:
1000 units X 2 maintenance requests per year = 2000 maintenance documents
If 20% are misplaced, that is 400 misplaced service orders.
Let’s say half of them are found, and half need to be recreated.
100 X $120 = 12,000
100 X $250 = $25,00
Total = $37,000 per year
According to GoPaperless.com the average office worker will print up to 10,000 pieces of paper per year. Considering that costs for paper runs between half a cent or less per page to two cents, this works out to the average single employee costing around $50 – $200 per year on printing. If you have 100 employees, that’s $50,000 to $200,000 alone that could be saved by switching over to digital leasing, tenant newsletters, and other common paper-based property management documents.
It is estimated that industry lease agents spend up to 20%-40% of their time dealing with paper documents, searching through files, making copies and attending to all the necessary tasks associated with paper filing systems. Being able to streamline the process allows these professionals more time to do what they do best; sell your property and increase revenue. What’s that time worth to your bottom line?
Think about phone calls alone. Let’s say the average property manager makes $25 an hour. During the week, they get 10 calls from residents relating to maintenance or queries about rent payment. Each of those calls lasts an average of 10 minutes.
10 calls x 10 minutes = 100 minutes per week, or 400 minutes per month.
That’s 6.6 hours per month, and at $25 per month per property manager, you’re shelling out $166.66 per month or approximately $2000 per year per agent for your best and brightest to be on the phone jotting down info about a leaky faucet.
Reporting? Are your people using Excel spreadsheets and creating manual monthly reports? Imagine if they could eliminate 10 hours per month through the use of smart dashboards.
That’s a savings of $2,500 per month, or $30,000 per year.
When you step back to consider the multitude of ways Property Vista saves you money, how can you afford NOT to take advantage of our property management software solutions?
Learn More About Property Vista
At Property Vista, we offer a range of software solutions covering all types of properties. All our solutions are easy to use, mobile-friendly and scalable. Learn more about our suite of property management software!