Do your property management KPI’s get tracked, analyzed and discussed every month?
What is a KPI?
KPI stands for Key Performance Indicator.
It is a metric used to evaluate various factors that influence the success of an organization, in this case, property management.
Property management KPI’s are used to track the profitability and success of various properties – or even staff members – of companies who manage condominiums.
Consider tracking some of these property management KPI’s:
There are many property management KPI’s you may already be tracking. Some of them are quite simple. For example, how many properties do you manage? If you’re a large property management company, it’s important to keep track of just how many locations you should be tracking. However, there are other more complicated property management KPI’s you should be considering monthly to know if you’re venture is successful or not. An example is how many full-term leases continue to renew their leases at the end of their contract term.
By keeping accurate records, and using a product like Evercondo, there’s no need to plan ahead for your monthly meeting by trying to figure these key performance indicators out. The Evercondo app can measure and analyze your KPI’s for you.
Here are a few KPI’s to consider discussing at your next monthly meeting:
- How many properties is your company currently managing?
- For rental units, what is the average rent per property?
- What is the average security deposit per property on rental units?
- For purchased units, how much is the average purchase price?
- How much is collected monthly for condo fees from each unit?
- What is the percentage of condo fees are actually collected?
- How many vacancies do you have on the first day of every month?
- What percent of signed leases complete their full term?
- For rental units, what is your average number of months occupancy for each property?
- What percent of units have one or more maintenance calls 30, 60 and 90 days after move-in?
- How many work orders have been submitted since the previous meeting?
- How long do work orders take before being completed at each property?
- What is the average number of days a property is vacant?
- What is the cost of an average repair bill after residents evacuate the property?
- What percentage of billed rent is collected?
- What percentage of collected rent goes to yearly maintenance on average?
- How many dollars per property and/or unit are spent on maintenance each month?
So now that you have some ideas of KPI’s to discuss at your monthly property management meetings, let’s think about why they are important.
When you track KPI’s, you’re able to know where your company stands and consider ways to improve your business. You’ll be able to track if your properties are making you money, as well as which of your properties demand the most attention. It’s a way to track the success of new property managers and maintenance staff or vendors you’ve hired.
Another reason tracked KPI’s can be helpful is for comparing your properties with others in your industry. Are you achieving the same metrics as your competitors? Analytics might help you decide to invest more money into a company, make drastic staffing or building changes or even cut your losses before the property causes you to sink.
Tracking property management KPI’s allows you to identify weaknesses in your operations. Once weaknesses are identified, you can take the steps needed to see real tangible results.
Tracking KPI’s doesn’t need to be difficult. In fact, if you were working with Evercondo, our app can track all of your KPI’s, and then analyze them for you! Don’t waste another moment in the dark. Request a demo, and let us show you how we can boost your bottom line.