The commercial real estate (CRE) industry is competitive. As we navigate rising interest rates, lower transaction volumes, increasing expenses, and other effects of today’s unpredictable economy, commercial real estate technology can be used to help CRE firms effectively navigate the market and gain a competitive edge. A solid CRE tech stack can be used to track key metrics, unlock powerful portfolio data, scale operations, and drive cashflow.
In this blog, we’ll discuss the benefits of having commercial real estate technology in your tech stack, types of solutions to consider, and tips for choosing the right platforms for your firm.
What is commercial real estate software?
Commercial real estate software is technology designed to help commercial real estate professionals manage their portfolios, properties, and leases. It can automate and streamline various tasks such as asset management and tenant management, lease administration, and property management, making it easier to manage complex commercial real estate operations.
What are the benefits of commercial real estate software?
Generally speaking, commercial real estate software can provide several benefits for your firm including:
Enhanced Data Analysis
Commercial real estate firms can use software to consolidate, standardize, and analyze large amounts of data quickly and accurately. This functionality can help them identify trends, opportunities, and potential risks and then make informed decisions that can help drive cashflow.
With commercial real estate technology, you can automate time-consuming tasks involved in managing a commercial real estate portfolio, such as manual data entry and portfolio reporting. Automation can free up time so that you can focus on driving cashflow.
Centralized Data Management
Commercial real estate software can help you manage all of your data in one place. A centralized database can create ease for tracking and analyzing trends, monitoring vacancies, and managing lease renewals.
Increased Productivity and Accuracy
By automating tasks and streamlining workflows, commercial real estate platforms can help you and your team work more efficiently and productively. CRE tech can also reduce the risk of errors and improve the accuracy of your data and financial reports with automated data entry and other “checks and balances” functionalities.
Improved Internal and External Collaboration
Commercial real estate technology can help facilitate communication between team members, clients, and stakeholders. It can also provide a centralized platform for storing and sharing information, ensuring everyone has access to the same data. When information is owned entirely by one person or team, there is not an effective checks and balance system, thus creating room for error and minimizing the data’s reliability.
What are the types of commercial real estate software?
Now that you understand the benefits of commercial real estate software, let’s take a look at some of the tools that are available for your tech stack
Asset management software
Asset management software enables commercial real estate firms to report, visualize, analyze, and track properties in real-time for accessible, actionable insights that will optimize cashflow for faster returns.
Property management software
Property management software is designed to help property owners and managers oversee their real estate assets. It can help with tasks such as tracking leases, rent payments, maintenance requests, and accounting.
Portfolio management software
Portfolio management technology enables commercial real estate firms to effectively manage their properties and assets and attain insights, like peer-to-peer benchmark data. Software for portfolio management streamlines operations by collecting property and portfolio data and making it accessible and actionable.
Commercial real estate investor management software
Customer real estate investor management software is used to manage interactions with clients and prospects. In the real estate industry, this type of software can help agents keep track of leads, manage listings, and automate communication with clients.
Cashflow Management Software
Cashflow management software is technology that centralizes CRE property and portfolio operational and financial data for effective CRE asset management, monitoring, analysis, and reporting.
Commercial real estate investment management software
Commercial real estate investment management software helps investors and developers analyze the financial feasibility of real estate projects. It can calculate important metrics such as net present value, internal rate of return, and cash-on-cash return.
Commercial real estate marketing software
Commercial real estate marketing software is designed to help real estate agents and brokerages generate leads and promote their listings. This type of software can include features such as website builders, email marketing tools, and social media management.
Commercial real estate valuation software
Commercial real estate valuation software is used to estimate the value of commercial real estate properties. This type of software can use data on market trends, comparable sales, and property characteristics to generate accurate valuations.
How to choose the best commercial real estate software for your firm.
The best CRE software depends on your firm’s unique needs, challenges, and pain points. Here are seven steps you can take to help you choose the best commercial real estate software for your firm.
Step 1: Identify your business needs.
Start by identifying your specific business needs and goals. Determine what features and functionality you need, such as property management, leasing, accounting, and reporting.
Step 2: Research and compare your options.
Conduct research on different commercial real estate software options. Look for reviews and comparisons of different software programs to help you narrow down your choices.
Step 3: Consider the user interface and ease of use.
Look for a software program that has an intuitive user interface and is easy to use. You want a platform that your staff can learn quickly and that doesn’t require a lot of training.
Step 4: Check for compatibility and integrations.
Consider whether the software is compatible with your existing systems and software. Also, check for integrations with other software programs you use, such as accounting systems or property management software.
Step 5: Aim for scalability.
Consider the scalability of the software. You want a program that can grow with your business and adapt to changing needs over time.
Step 6: Check for client support.
Look for a software provider that offers excellent client support. You want to be able to contact them easily if you have questions or problems.
Step 7: Consider the costs.
Finally, consider the cost of the software. Look for a solution that fits within your budget while still offering the features and functionality you need.
Download the checklist 6 Signs You Need Asset Management Software to learn how asset management software can address your challenges, help optimize your cashflow for faster returns, and create additional value for your firm.
A commercial real estate platform, like Lobby CRE, can be a game-changer for your business. By streamlining workflows, improving accuracy, and increasing productivity, it can help you save time and money while growing your business. If you’re looking to build a solid commercial real estate tech stack, consider investing in one of the solutions listed above.