This one upgrade is quietly increasing portfolio value for SFR owners

Property asset managers are always under pressure to make their buildings run more efficiently and to save costs. As one of the UK’s leading smart access solutions, at NSP Security, we understand how critical technology can be in helping to achieve this. That’s particularly true for the single-family rental (SFR) market, which presents a different management challenge than single-location multi-occupancy housing, such as PBSA and to learn more about these challenges, we spoke to Alex Masters, senior SFR asset manager at Allsop Letting & Management Ltd.

Tech for retention

Reflecting the strength of the segment in the UK market, Allsop currently manages around 1,800 single-family housing properties, of which 80% have smart locks installed — with a further 5,000 homes in its pipeline. The “pinch point” is maintaining net operating income (NOI) by retaining tenants, and key to this is resident satisfaction, says Masters, and smart access is vital for this.

What residents appreciate, he says, is the flexibility that smart access provides residents. For example, it enables them to easily let trusted people, such as contractors, dog walkers, or cleaners, access their homes, without them having to wait in for them. It makes “the resident journey as simple and as easy as possible,” he says.

Less hassle, more savings

Helpfully, this is also a cost saver for Allsop too, as it means it can get its people in for management tasks such as checks on energy usage, leaks, repairs, and regulatory service checks. This can be done without the “faff” of having to provide codes to physical keys in lock boxes.

While there are obviously rules about not going into a property without consent, he says that the ease of access means residents have fewer reasons to say no to a visit, so essential work can get done more efficiently and on schedule — saving time and money.

It’s great for check-out inventories, whether conducted by internal staff or instructed third parties. “It means there’s a lot more freedom as to when they can go and do that inventory,” and it’s also great for the customers, as the residents themselves can move in at whatever time of day they wish.

In other words, with smart access, everyone’s a winner.

Unlocking Self-Guided tours

Technology is also helping bring greater operational efficiencies to managing enquiries and viewings. First, Allsop Letting & Management Ltd is looking to stay at the cutting edge and is examining using AI for dealing with incoming enquiries, replying to leads, and ID verifications. Second, it’s using smart access to increase efficiencies via self-service, self-guided tours.

Showing potential customers around a property has traditionally been a costly process in terms of time and money, says Masters. “A big part of the journey from beginning to end is how you get in and out of the property and who needs to be there with you and how much it costs for that person to be there with you,” he says. Smart access, however, enables potential tenants to access the property for a viewing without having to take up the time of a staff member or third party, freeing up their time for other income-providing tasks or direct costs.

Whether using a code via a PIN pad, or the hardware-agnostic digital key software app Unloc or simply WhatsApp, technology is critical in driving those efficiencies. It allows for “a leasing journey that feels immersive and brand driven, while having little or no need to interact with a human agent working Monday to Friday”.

He observes that while self-guided tours have been common practice in America, the UK is more wary of technology, with many who would prefer to meet a person at the property or speak to someone on the phone. “We would never look to remove those options, but I want to get to a world where that’s the exception rather than the norm.”

20% Cost Savings

While admitting that more analysis work was required, Masters estimates that smart access is now saving Allsop up to 20% of an employee’s time — gains not to be sniffed at. The Unloc platform data indicates that residents are increasingly using the platform compared to their physical backups and even starting to share keys with guests and contractors.

It’s clear then that smart access is now crucial for efficient portfolio management. “If investors want us to manage it as cost-effectively as possible, we need smart access,” he says.

To learn more about how NSP Security can unlock the cost and efficiency savings you’re looking for, get in touch now.