Handling property management and real estate can be both time-consuming and exhausting. There is often an endless stream of activities that simultaneously happen in this industry, which leads property managers to lose a trail of the latest developments. These activities range from finding tenants, doing background checks, property inspection, follow-ups, creating documents, organizing property maintenance, repairs, accounting for tax, and recording rent receivables.
All of these tasks are time-consuming and laborious. What if this time gets diverted to value-added tasks that give a tangible ROI?
Technological Adoption in the Real Estate and Property Management Industry
The real estate industry is a slow mover in terms of technology adoption when compared with other sectors. However, the latest developments in real estate and property management offer a massive opportunity for technological innovation. It would be interesting to see how the real estate will adapt to score on efficiency gains, cost, and risk reductions to get a decisive advantage over their competitors.
Property management and the real estate industry bring many repetitive, rule-based activities like recording rent receivables and document verification, making them a good contender for leveraging robotic process automation (RPA). With RPA, property management and real estate companies can utilize the gains of process automation to shorten their turnover time, improve efficiency levels, save costs, and release valuable human resources for more value-added tasks.
RPA can assist property and real estate managers in different processes
Financial Transactions Reconciliation
Automation can help to reconcile manual details entered into the property management software such as [Propertyware] against the actuals.
Automation bots can cross-check if the bank account number or the account holder's name is correctly entered in the records.
RPA will flag an error for manual intervention if there is any discrepancy in the name and account number with the bank records before sending it to the general ledger.
Automating Payment Transfers
RPA can verify the accounting entries posted in the owner's ledger account. After the posting, the bank will be automatically notified of the payment transfers. The bank team will inform the real estate agent's accounts receivable (AR) team if any entry is posted into a wrong account.
Real estate companies face a lot of hassle while creating, validating, and sending invoices. RPA assists the Account Receivable team to validate and adjust the overpaid amount to the homeowner's ledger, process the request to the Accounts Payable team to let the accounts team make timely payments to the homeowner.
RPA drastically decreases the processing time for rule-based, repetitive month-end tasks like reconciliations, standard journal entries, financial statement preparation, and adjustments.
Housing Market Data
Property managers and real estate experts can leverage Automation to update the unsold inventory data at the end of each quarter to analyze the market demand and supply. The unsold property carries the risk of being delayed for sale and open to a price correction if their status is not updated in the system. Automation can decrease the TAT of unsold inventory,, thereby bringing a real picture of the real estate industry's growth.
Onboarding New Properties
RPA can be used to automate the onboarding of new properties by scrolling through the data from real-estate's excel maintained by the operations team and enter it into the property management system. This eliminates the possibility of errors and expedites the new property onboarding process.
Invoice Write-off Process
Many invoices are written-off if they don't meet the threshold (for instance, six months). Automation can check the business rules and, depending on the invoice type (customer/ non-customer), segregate which invoices need a write-off. RPA can also update the records with standard comments in the CRM against the invoice details and save the form.
Property management and real estate is one kind of service, where customer satisfaction and process optimization are the secret to a successful business.
Automation enables the availability of a virtual workforce who is present round the clock and works faster than any human worker. Besides the automation bot does not make mistakes, can work around the clock without any supervision and take multiple responsibilities in one go.