Finding ways to maximize profitability is always a challenge for multi-family property managers. Managing fixed expenditures like mortgage payments, property taxes, and insurance premiums is one thing. Handling variable expenses, including maintenance and repairs, utilities, and property improvements, is another beast altogether. Just when you think you’re getting ahead, unexpected expenses drain your pockets. You know you need to implement cost-cutting strategies, but where do you begin?
Incorporating energy-efficient upgrades in common areas and individual units is an easy way to positively impact operating costs. Beyond reducing energy bills and increasing property value, they make your properties more appealing to environmentally-conscious tenants. The result is long-term savings for you and a more comfortable, sustainable environment for residents.
If you’re looking for ways to trim waste, boost efficiency, and pave the way for a greener future, read on for a few cost-saving measures that will yield substantial benefits for your properties and the environment.
Proper selection of light sources, controls, and fixtures will improve performance and efficiency and help reduce the load on your electrical system. A quick and easy way to start is by incorporating energy-efficient LED lighting in interior and exterior spaces. Begin by focusing on high-burn areas where lights are on most frequently, including lobbies, common areas, stairways, and parking garages. Replace those using the most energy with LEDs, gradually upgrading elsewhere as your budget allows. Consider retrofitting existing fixtures with energy-efficient components and installing lighting controls and occupancy sensors in rarely or minimally occupied areas. Small changes like these will provide more sustainable, energy-efficient lighting without breaking the bank.
Remember, while the initial investment for installing smart lighting systems may be higher, the long-term cost savings easily outweigh the upfront expenses.
One of the most critical functions for multi-family property managers is ensuring heating and cooling systems operate optimally. A little preventative maintenance will go a long way to ensure systems are in proper working order, and regular checks will catch minor problems before they develop into costly issues.
Routinely changing HVAC filters every three to six months will increase efficiency and extend equipment lifespan. Take the time to remove dirt and debris from indoor and outdoor units, look for leaks, and replace thermostat batteries when needed. Consider installing a programmable thermostat to maximize performance, and inspect and clean water drains to prevent clogs.
Regular HVAC maintenance will improve air quality and keep properties safe by reducing fire and safety hazards. While you save money by avoiding expensive repairs, residents will appreciate knowing their living environment is well-maintained and optimized for comfort and safety.
Check appliances regularly and look for signs of wear and tear. Cleaning filters, lubricating moving parts, and inspecting connections will enhance the performance of your stoves, refrigerators, dishwashers, and washers/dryers. Schedule routine maintenance and repair items as needed to identify hazards and extend product lifespans.
Determine which appliances have the highest priority, research energy-efficient replacements, and budget accordingly. When purchasing, compare warranties and consider repairs and replacement parts to assess long-term implications. Comparison shopping will help you make informed decisions that align with your budget and maximize the value of your new investment.
Incorporating high-efficiency windows reduces drafts and noise and can substantially lower heating and cooling costs. They also require less maintenance and improve your property’s appearance, making it more appealing to potential renters. While it may seem like a significant investment, it’s a win-win. Residents will appreciate the improved indoor air quality while you reap the benefits of long-term energy savings and increased property value.
Utility expenses form a significant portion of multi-family expenditures, and the highest disbursement is usually the water bill. Assessing water consumption frequently and exploring opportunities to reduce usage and costs should be a priority. Check faucets and toilets regularly for leaks, and consider installing leak detectors and low-flow shower heads, toilets, and faucets, which use significantly less water than traditional fixtures.
Select native or low-water plants in your landscaping and consider installing a rainwater harvesting system to collect and store rainwater for later use. Flush out your water heater to remove debris and sediment and encourage tenants to support your conservation efforts. Whether raising awareness through distributed materials or offering incentives for those using less water, residents will appreciate your efforts in making green practices a part of their living environment.
Smart devices add layers of convenience and safety and offer different functionalities designed to elevate the living experience. From smart locks and detectors to thermostats and lighting, these systems are ideal for multi-family property owners who strive to differentiate their properties by offering elevated amenities.
Smart thermostats enable remote management of heating and cooling systems, so adjusting temperature settings, setting schedules, and monitoring energy usage is quick and easy. They can also control environments in vacant units, a huge cost saver, and track energy usage for future planning.
Smart lights transform living spaces, are easy to install, and can be programmed to activate at specific times, deterring potential intruders. Incorporating smart locks eliminates the need to distribute physical keys, rekey locks as tenants move out, and address lockouts. With keyless entry, booking self-guided tours is easy, saving money and resources better spent elsewhere. Simply generate a key code, let prospects tour properties when convenient, manage access, and track entry logs as needed.
As residents search for tech-enabled living experiences, multi-family property managers offering cutting-edge amenities will be one step ahead. Look no further than BeHome247’s unifying operations platform, offering a suite of home automation devices that save energy and help streamline multi-family operations.Schedule a demo today and check out our Resources Hub for additional ways to maximize profitability!