Why using data and automation can help property managers thrive
In the current climate, where it’s even more important to be able to demonstrate value to landlords facing cost increases, efficiency is paramount for property managers.
James Dolan, Head of Customer Solutions at Alto, was joined by guests Carrie Alliston, Lettings Director at Hunters Estate Agents, and Fixflo’s Sales Team Lead, Rob Deane, in our recent webinar to discuss the current challenges property managers face and the solutions that Fixflo and Alto can solve.
What are the biggest challenges facing lettings agents right now?
Are landlords’ costs still rising?
Landlords’ costs are constantly rising, with service charges in blocks of flats increasing in particular.
This can make it challenging to demonstrate the value property managers bring to landlords, especially when justifying fee increases. Using technology can help bridge this gap by providing data-driven insights to support service levels and cost-effectiveness.
Carrie explained: “From what I see and hear, landlords are more keenly looking at their costs. When I’m in branches, I hear the negotiators or the listers have to fight harder and talk about the fee and why it’s justified about the level of service we’re offering. We’re getting pushed on that a lot more.”
Alongside a rise in costs, legislation and compliance rules are constantly changing. However, Carrie maintains that costs are the largest challenge property managers face.
She added: “For us, as agents, it’s about the balance between getting landlords the best deals to make sure their property is safe at the best price and making that a smooth journey for them.”
Hear more in the full Alto Insider webinar
Are rents still increasing?
Rents are still rising, but the rises have slowed down to around 6.6% per annum, which is still above inflation. This figure is down from a high of 16% in October 2021. Carrie explained that it looked like rents would level out, but they have not dropped considerably.
She continued: “Our market can be seasonal, so we are on the precipice of the busy period of our year, which will bring back higher rents and that demand of 30 people wanting to view one property. That is what will happen between now and October.
“So, rents have levelled, and they haven’t gone as crazy as they were, but they’re still higher.”
James added that, on average, Alto has seen 15 people chasing every home on the market, which is more than double pre-pandemic levels.
“We envisage that for the rest of 2024, the rental market will stay on track, and we’ll see rent inflation of about 5%, but that will vary from area to area,” he said.
What are the benefits of streamlining repairs and maintenance with Fixflo?
Fixflo helps its clients reduce the number of repairs they deal with daily.
Towergate Insurance’s 2022 landlord survey discovered that the average UK landlord spends £1,088 yearly on maintaining and repairing rental properties.
Fixflo contains pop-up advice to help tenants understand what they can do to resolve their issues, which has resulted in a 21% decrease in issues reported, according to Fixflo’s 2024 Repairs and Maintenance in the Private Rented Sector Report.
This means property managers have more time to focus on their normal day-to-day activities, rather than constantly focusing on reactive repairs.
This helps with out-of-hours issues too, with 2 in 5 repairs being reported outside of letting agency office hours, which are typically between 6:00 PM and 9:00 AM or on weekends. This translates to 38% of issues reported out-of-hours and 45% of emergencies reported out-of-hours.
“More importantly, this acts as our first line of defence for any false call-out charges, so saving that really awkward conversation with the landlord about how there’s a call-out fee that should never really happen,” Rob said.
How Fixflo helps agents with new challenges like EICRs
However, compliance always presents new challenges, which Fixflo keeps on top of.
For example, the upcoming influx of electrical installation condition report (EICRs) will limit contractors’ time.
So, Fixflo is encouraging property managers to communicate with their landlords to save money, since EICRs will become more expensive as 2026 renewal deadlines get closer.
The concern is that more money will have to be spent if this isn’t done, and properties that haven’t had their EICR done in time will fall into non-compliance.
Discover how the rise in EICRs will affect property managers with Fixflo’s EICR Explainer Guide.
How does Fixflo help property managers?
Fixflo’s dashboard gives a bird’s eye view of all the information a property manager could need.
As a property manager, it takes time out of each day to pull a report of the checks due in the next month or take time to speak to a contractor to arrange an appointment with a tenant.
Fixflo automates a number of these time-consuming jobs, such as automatically instructing a job to a contractor a month before the due date. All of this automation can be easily viewed in Fixflo’s dashboard.
How do Alto and Fixflo work together?
Alto holds all of the necessary information and data, such as properties, landlords, tenants and contractors, which will automatically sync into Fixflo regularly.
Rob added: “When a tenant raises an issue, it goes into Fixflo, and you then can raise that job to a contractor, which will then create a works order within Alto.
“Then, someone from the accounts team can pick up the phone and speak to a landlord to clearly see the repair status without diving into Fixflo. More importantly, with the integration with Fixflo, when a job is completed, an invoice is attached, and a gas safety certificate has been uploaded. When that job is closed within Fixflo, it will automatically sync back into your Alto system.”
“So, you get Alto’s true north of data and Fixflo’s automation around maintenance.”
Final thoughts
Alto’s integration with Fixflo empowers property managers to save time, improve communication, and demonstrate value to landlords and tenants. This is why data-driven property management is the way to go, especially in such a competitive market.
Find out more about Alto’s integration with Fixflo.
