Harness the power of technology to acquire and rent properties faster
The single-family rental industry (SFR) exploded in 2020 largely due to the impact of the pandemic, with more and more consumers looking for suitable single-family homes to spend more time at home in the markets of suburbs. Investors in the type of property, as well as developers who build homes expressly for the purpose of renting them out, are betting big on renewed consumer interest in suburban housing being sustainable even after the pandemic. With increased competition in the SFR space, it is important for investors to harness the power of real estate data and technology to analyze properties with precision in order to make informed and timely acquisition decisions and to increase profitability. return on investment of their rental portfolio.
Use resources to collect data to analyze investments
SFR investors looking to rapidly scale their portfolio nationwide cannot afford to waste time and resources by physically sending or hiring a team to appraise each property prior to acquisition. By using third-party resources and leveraging technology to collect real estate data, investors can step back and focus on what they do best.
Investors should consider getting an electronic property condition report prepared by an experienced third party company to gain a better understanding of the condition and condition of properties to remotely analyze investments, assess repairs , estimate the cost of materials, and track appliances and utilities throughout the lifecycle of the property. .
With a property condition report, SFR investors can learn about the condition of a property, including its appliances, and assess the level of renovations and repairs to decide if it makes sense for the property. acquisition, without ever entering it. Reference photos can be provided to assess the current condition of a property, including an inspection checklist and device inventory with item serial numbers.
Leverage technology to acquire properties faster
The idea that decision makers have to physically visit a property during the acquisition phase is the old way of doing things. There are appraisal companies that now appraise properties remotely from a desktop computer and they can fork that process, and this can also be done for due diligence by leveraging technology to help inform them. decisions and scopes of renovations without ever seeing the property in person.
One of the most powerful digital tools to help streamline the due diligence and acquisition process is the 3D virtual tour. A 3D tour of the exterior and interior of a property allows investors to immerse themselves in that property in a real way with a virtual tour of the property to understand its layout and condition. A 3D inspection tour helps SFR investors, owners and operators virtually visualize the layout and condition of the property and identify key issues from a holistic view. Plus, electronic floor plans that detail room measurements make it even easier for investors to consider a property’s layout.
Virtually inspect the progress of the renovation
Once the acquisition decision is made, SFR investors often face some level of renovation to bring the asset to market. By taking advantage of 3D survey technology during the renovation process, investors can measure individual rooms and spaces for specific material needs. Materials can be quoted more precisely to determine the best supplier for the project and therefore this can also reduce the chances of changes to orders with contractors in the future.
3D tours can also be used as a quality control point during the renovation process to ensure that all work has been completed. Investors can quickly immerse themselves in a newly remodeled home and accurately determine whether the asset is ready for pre-rental and marketing efforts.
Speed ââup SFR real estate rental with 3D tours
The same 3D tour scan that was used as part of the final renovation quality check can also be used for marketing purposes to help speed up the rental process. PlanOmatic recently measured the impact of 3D visits on SFR real estate marketing in partnership with one of the main SFR housing providers nationwide. Our test data found that real estate leads increased by 25% and days on the market decreased by 23% when a 3D tour was used to market a property versus using only professional photographs.
3D tours allow a consumer to view a home without having to set foot there, and our test data proves that SFR properties marketed with online 3D tours translate to more leads and fewer days on the job. market. Consumers demand online 3D experiences and prioritize properties with 3D assets.
Kori Covrigaru is the co-founder and CEO of PlanOmatic, the largest and fastest-growing provider of property information and marketing services to the single-family home rental industry nationwide. With a nationwide network of hundreds of contractors and 40 employees, Covrigaru has met the moment with the unique value proposition that PlanOmatic delivers through technology combined with property information to support their clients’ goals.