Essential Benefits of Managed Services for Your Property
Why Investors are Using Managed Service Providers in 2024
By Fay Smith
Modern property management cannot do without managed services. Investors compare managed service providers (MSPs) to dynamos, citing their ability to clear the way for resources, render assets “bulletproof,” and exponentially increase property values. MSPs are typically defined in real estate as third-party providers of services related to property and asset management.
For example, MSPs may offer services like data entry, document management, some forms of accounting, lease implementation and management, rental management, and other boutique administrative functions.
In many ways, the primary benefit of working with an MSP is freeing up time for professionals and specialists within a company to dedicate themselves more intensely to their most effective activities.
For example, removing administrative duties from a top sales team could create an environment in which there is a potential for exponentially more deals each year because the team will be able to focus on converting leads instead of documenting and filing paperwork. Similarly, removing certain elements of data entry from a small company’s founder’s list of responsibilities gives that visionary more time to focus on client relations, strategy, and even marketing.
The Top 5 Benefits of Working with MSPs
Ultimately, MSPs positively affect business outcomes in five primary ways:
1 // Lower Total Cost of Ownership
An effective MSP can help you reduce the total cost of ownership (TCO) by creating and implementing innovative budgeting solutions. Working with an experienced MSP can help business owners lower monthly expenses to create a financial situation that is predictable and allows for growth.
2 // Streamlining & Control of Operations
Investors often work with MSPs to take control of their operations and eliminate unnecessary expenses and platforms. Integrated property management solutions make it easy to create and maintain a well-run business infrastructure. This applies to digital elements of your business as well as physical ones. Additionally, working with an MSP can give investors access to remote management capabilities and allow property managers to oversee multiple properties from a single platform.
3 // Enhanced Security and Compliance
Managed Service Providers (MSPs) shield your properties from potential threats by implementing a multi-layered defense strategy that addresses both digital and physical vulnerabilities.
4 // Cybersecurity
Property managers who prioritize cybersecurity to safeguard their investments are most likely to avoid the crippling financial blows that come with a security breach. MSPs leverage comprehensive IT management services to ensure that all aspects of your digital infrastructure are continuously monitored and optimized. With their cutting-edge cybersecurity services, you can rest easy knowing your digital fortress is constantly on the lookout for threats and receiving regular security check-ups to keep you compliant with regulatory standards.
5 // Physical Security
Managed physical security measures like access control systems and video surveillance safeguard both physical properties and the people living and working in them. For example, comprehensive access control systems prevent unauthorized entry and boost tenant confidence.
Focus on Property Values and Digital Benefits
Outsourcing IT and security functions to a managed services provider allows property managers to focus on core objectives such as tenant satisfaction, property improvements, and business growth. Working with an experienced MSP can result in higher tenant satisfaction thanks to some very basic (but vitally important) benefits: convenient access to speedy internet and reassuring safety features that provide real peace of mind. This boost in property appeal directly translates to higher occupancy rates and a happier tenant base.
Property values also may get a serious boost when you work with experienced MSPs, particularly those offering access to sleek energy-efficient systems and futuristic smart-building tech that transforms buildings into hubs of efficiency. Sustainability and cost savings go hand in hand. As you trim the fat from your operational expenses, you will watch your property value and ROI grow in tandem.
Expanding with Solutions in Sight
As properties expand, they need solutions that can keep up. Managed services deliver the flexibility property managers require to accommodate growing portfolios. MSPs offer customized plans that ensure seamless integration and consistent performance. Furthermore, as property portfolios grow, MSPs should be able to scale accordingly. Managing multiple properties and integrating new technologies can be a hassle. But MSPs are set up to accommodate your changing needs, keeping your management duties streamlined. Growing pains become a thing of the past with scalable solutions that expertly handle mergers and acquisitions, keeping operations running smoothly.
Managed services convert capital expenses into operational expenses, avoiding unexpected costs associated with hardware failures or system upgrades. This financial stability is essential for effective long-term planning and resource allocation in property management.
How to Know if Your MSP is Right for You
The best MSPs function the same way having a top-notch property management tech expert on speed dial should: They are always ready to lend a helping hand, whether you need guidance on implementation or ongoing support. You cannot predict when technical issues will strike, but with an MSP, you can count on fast and effective support — any time, day or night, so your property stays running at its best.
Staying ahead of the curve is a top priority for MSPs, so they regularly refresh their services with the hottest new technologies, enabling investors to offer residents access to cutting-edge technology. MSPs also may function as “expert guides” to new industry technology, helping clients separate the “nice-to-haves” from the “must-haves” when it comes to technology investments.
Conclusion
Let’s face it: You cannot do it all. Property managers who learn to prioritize and delegate can enjoy a refreshingly clear mind, ready to tackle the tasks that truly matter. Strategic infrastructure and service integration are key. Property managers who find a reliable managed services partner get a triple win: they streamline their workload, delight their tenants, and watch their property’s value soar.
