A lease management solution is a software solution that aims to facilitate the management of leasing processes. With the overwhelming day-to-day tasks and processes that property managers have, a digitalized process is essential. Using a software that contains all the necessary features to complete property management leasing processes will leave property managers at ease and burden-free. Some property management software offers a wide range of features and modules for property managers, but having a lease management solution is definitely the most important one to look out for. 

This article covers why having a lease management solution is essential, what it contains, types of lease management solutions, pricing and payments methods, as well as integration capabilities. Keep reading to learn more about lease management solutions.

Why Look For a Lease Management Solution?

A lease management solution complements other property management features offered by property management software. Some software offer features, such as maintenance management and accounting capabilities, that supplement the lease management solution feature. If you’re a property manager looking for an easy way to digitalize your property management and rental processes, having this capability in your software is essential. So, as a property manager, why should you look for lease management solutions in a property management software? Here’s why:

1. Digitalization
   Using a lease management solution makes things digital & simple. Lease management is the most effort-consuming step in property management. Digitalizing this management process will facilitate the process and make it simpler for property managers, enabling them to handle all lease management tasks on one platform.
2. Hassle-Free Organization
   Using a lease management solution organizes things & spares you the hassle of paperwork. Everything would be clear and can be managed in its respective feature in the CMS or online platform. Paperwork is often overwhelming for many. Utilizing an all-in-one platform will include all the necessary documents and files in digital form. This will organize your working space, and relieve it of all the mess papers can make on desks. Not only will it physically organize your space, it will also organize your day-to-day working plans. Online content management systems that property managers use offer well-organized features that help them easily get their daily tasks done.
3. Time Saving (ex. Commuting time, phone calls, follow ups)
   Using a lease management solution will definitely save time for both property managers and tenants. Commuting time is inevitably the most time-consuming part of the process of meeting up in person. Sometimes, property managers and tenants need to meet to discuss small details or simply sign a contract. Using an online lease management solution will save time and enable a flexible schedule for both parties. Also, a complementary feature property management solutions have, alongside lease management, is the communication feature. This also saves time by creating a digital communication medium between property managers and tenants, therefore, reducing the time on phone calls and follow ups. 

What a Lease Management Solution Does

Now that we’ve covered why you need to look out for a lease management solution, here are some features of such a solution. The following features are what facilitate the day-to-day processes of property managers:

1. Digital contracts
   An online lease management solution relieves you of the task of writing contracts between you and your tenant. Instead, it will set a digital leasing contract, and renew existing ones. After the contract is created, the property management software sends the contract to both parties, requiring an e-signature. This saves time for both property managers and tenants, giving them the ability to sign the contract during their free time. It also creates the chance to have both parties sign, even if one of the parties is not present in the country. This could sometimes happen when an out-of-country prospect is looking for an apartment to rent in that country. 

2. Automated reminders
   With the contract being set digitally using an online platform, many other capabilities are done through that same platform. Managing dues is part of digital leasing, and therefore, the lease management solution will offer capabilities that reinforce the agreed-on dues. This is done by sending reminders to your tenants, reminding them of due payments. This feature also notifies tenants of important dates, such as lease starting and ending dates, as well as inspection dates to look out for. 

3. Revenue and Payment Tracking
   A lease management solution offers capabilities to track several things. For instance, property managers can track their rent revenue, while tenants can track unit vacancies, and so on. A big part of this is made possible using the dashboard that the property management software has to offer. With details such as revenue overview and revenue breakdown, property managers can easily track all the necessary revenue information and KPIs they need. 

Types of Lease Management Solutions

Offering a more detailed definition to the term, a lease management solution is a software that stores all the necessary leasing data that property managers need, including legal and financial data. However, there are two types of lease management solutions; cloud-based and offline. Which one is favorable for property managers?

A. Cloud-based 
A cloud-based property management solution enables the property manager to access his/her data and information anywhere and at any time. Having a cloud-based platform will relieve users of the stress of losing information, due to its constant automated back-up. Another pro for using cloud-based solutions is the enhanced security that comes along with it. Knowing that your data is securely stored on the cloud will relieve property managers of the constant worry of hacking and theft. Another concept when it comes to cloud-based software is the cost. When it comes to the cost, it goes without saying that there is a strong misconception, claiming that it is too expensive for many. Considering all the features and security that accompany cloud-based property management software, the price may not be as unbearable as many may believe. 

B. Offline
In terms of accessibility, having offline software is a disadvantage. Unlike cloud-based software, an offline one will grant the property manager access only in the workplace, exclusively on the device used. As for the stored information, using an offline software puts data at a higher risk of theft. Not only that, but the data is not automatically backed-up, therefore putting your data at risk in case of any mishaps. As for the pricing of an offline-based software, many believe that it is relatively affordable and better than that of cloud-based software. However, that is not the case. In order to maintain the offline software and its infrastructure, expand and improve it, property managers will be obliged to constantly pay. The cumulative amount due is greater than what they could have paid for a cloud-based software. 

Pricing Models

Using property management software means you’re using SaaS software. This means that the software is subscription-based. However, some property management and lease management solutions offer an alternative method of payment. The following are the two possible methods to pay for property management software:

A. Subscription
This method of payment is familiar to many individuals nowadays. Property management software is often subscription based. This means that property managers will have to pay monthly dues to benefit from the offered services. This payment method is an easy one, as the property manager will have his/her monthly dues automatically withdrawn from their accounts. 

B. One-Time Payment
This method of payment might be favorable to some property managers. With the overwhelming tasks property managers face on a daily and monthly basis, relieving themselves from further payments might sound tempting. This will lead to them resorting to one-time payment plans. However, a con to this method is the large amount they will have to pay. This con is amplified by the unguaranteed commitment of the property manager to the software. 

Integrating Your System to the Software

Some software offer integration capabilities. Such capabilities are complementary to the lease management solutions offered by the property management software. How important is it to look for integration capabilities? 

A. Integratable
If the software is integratable, rest assured that all of your systems, banks, and accounts will be integrated in the software. This makes the software an all-in-one platform, facilitating your processes. By integrating your work-related systems and accounts, you will gain a better perspective of how you’re professionally doing. Also, if you choose to opt for the subscription plan, alongside the digital rental collection, all of the payment processes will be automated.

B. Standalone
If the software is a standalone one, you will not be able to benefit from the many advantages of the integration capabilities. However, even though security is guaranteed, some property managers may not trust such capabilities, and opt for standalone software. 

RAY Lease Management Solution

If you’re looking for an affordable, reliable and powerful lease management solution, we recommend using RAY. RAY is a top-tier cloud-based property and lease management solution. With its web based management system and its tenant mobile app, RAY enables property managers to digitize their leasing and rental processes in the most user-friendly way. In addition to all of its many powerful features, RAY offers the best customer support out there through its friendly and professional customer support team. RAY is the perfect solution for the seasoned property manager as well as the property manager who is new to the PropTech industry. 

Make sure to check out RAY at https://getray.com/ and benefit from its exquisite features.