Did The Owner Lower Your Rents?

The great debate continues as to what the best property management software is. Who cares? Obviously, a company is going to pick the most affordable solution that will offer the most bang for its buck. As long as you can track residents, finances, and keep up with what is needed for your company, I don’t think it matters what you use.

There is also a lot of discussion regarding revenue management. I think this should matter a great deal to your company. If you cannot afford this pricey add-on to your current software, I think it is vital to employ a savvy manager who can direct your property to maximize its potential rental income. However, if you do nothing, or worse, LOWER your rental rates, then you are devaluing your property and investment. Why would a company or Owner do this?

In one instance, you might consider this strategy if you are very low in occupancy and need to get some cash flow going. In another, you might do this to build occupancy in order to increase the rent roll in order to market the property as a stable asset in preparation for a sale. Other than those two instances, there is never a good reason to devalue your asset. 

As a manager, when you are directed to lower prices, get ready. If there was no communication to indicate the strategy is to be used short term, then get your resume ready.