If you’re in the market for property management software, you might be wondering where to start. Software companies each have their own values, principles, and features, some of which might not be apparent at first glance.
So how do you know which property management software solution is for you?
No two landlords are the same. Neither do landlords have the same wants, needs, and preferences. When choosing a software option, be guided by your own priorities as a rental property manager. What kinds of functionality are most important to you? Why do you want the software?
Keeping these questions in mind, here are three areas all landlords should look at when evaluating property management software.
Table of Contents
Features
If you’re new to the property management software niche, features and functionality are a good place to start. What kinds of tasks are you looking to automate with software? What are your core priorities for the software: Rent collection? Leasing?
Most platforms offer similar basic features, such as online rent collection, tenant screening, document signing, maintenance management, and tenant communication. However, many platforms also have secondary features. Depending on your rental business, these may or may not be important to you.
For example, a property management mobile app is a must for some landlords. Other landlords are looking to grow their business and want rental advertising or listing syndication. Still others may be looking for the ability to purchase renter’s insurance on the platform, responsive support from the software company, or multi-user management to accommodate additional team members.
The first way to find the best software match for your business is to determine which companies offer the features you are interested in.
Reviews
Now that you’ve decided which features you want, it’s time to consult software reviews. Reviews are an excellent way to find out what other landlords think of the software, as well as what features or issues they’ve complained about.
Review quantity is the first metric you’ll run into. The more reviews, the more popular and high-quality the software is likely to be. However, you should also consider several other dimensions.
Review Quality
Review ratings are a good indicator of what landlords generally think about the software. A software product rated 4.9 is obviously a better choice than one rated 3.4.
However, remember to compare scores to the rest of the industry. If most property management software platforms get around 4.8 or 4.9, then a 4.6 rating might be worse than it seems.
You should also read through written reviews to assess quality. Try to notice trends in both satisfied and unsatisfied customers. Written reviews can also help explain ratings—for example, a software company with fewer reviews may be dragged down by a few negative reviewers’ isolated experiences.
Recent Reviews
As software developers constantly make improvements, you should stick to recent reviews. What landlords consider “high-quality” today is not the same as it was just a few years ago.
Recent reviews will also tell you whether certain bugs or issues have been fixed. If many landlords complained about a particular bug a few years ago, look into whether or not the problem has been resolved.
Platform Diversity
Finally, it’s a good idea to compare reviews across several platforms. The big three software review sites are Capterra, G2, and TrustPilot, but feel free to search for others as well.
As you peruse different platforms, remember that they might have different standards and requirements for posting. Some sites allow anyone to review, while others require proof of identity via LinkedIn or Gmail. Also, be aware that not all sites rank software options organically. Some will let software companies pay for the higher slots rather than earning them.
Pricing
After features and reviews, pricing is probably your next most pressing concern. Unfortunately, property management software companies use many different pricing models. Some even use more than one. Be sure to do your research before agreeing to make any payments.
The most widely used pricing plan in property management software is feature-based pricing. In this model, you pay for each feature individually. The fees can be monthly, annually, or one-time. You’ll also encounter monthly subscriptions, unit-based pricing (which gets more expensive the more units you add), and paid onboarding and setup models. If you’re looking to try out software before committing, look for free or freemium pricing (feature-light or free trial versions).
Find a Software Solution for Your Rental Business
Shopping for property management software can be as overwhelming as any big investment. However, by looking at features, reviews, and pricing, you are sure to find a software solution that meets your needs. Above all, use your judgment and rental expertise to decide which option is your most valuable asset.