MAIN IMAGE: Johann van der Merwe, Managing Director, WeconnectU Intelligent Property Solutions
Advertorial
Property is one of the oldest and most successful long-term asset classes. It is also estimated to be responsible for as much as 10% to 20% of South Africa’s GDP, and was the single largest contributor to the GDP in Q1 2021.
As such a significant source of economic growth and influence, one would assume property assets would be managed with at least as much (if not more) care and skill as other asset classes. And yet, the general perception of the property manager’s role – for both rental and community portfolio managers – remains one of mere administration.
The reasons behind this are layered and complex but can generally be distilled down to a single root cause: the investment experience for property and other asset classes differs significantly.
Let us take your average financial asset for example. The investment experience begins with the asset manager assessing the investor’s risk profile and expected returns before developing a customised investment strategy. This strategy is then implemented, and its performance reported on quarterly, alongside other relevant information like market trends. ROI and strategy are also reviewed annually, keeping the investor fully informed and able to make sound investment decisions.
Now let us look at that same investor’s experience when it comes to their property assets. The management process starts with their property manager securing a tenant. The investor then receives monthly distribution statements, requests for money for maintenance, updates on any overdue payments and notification of annual rent escalation.
It all seems remarkably mundane and… administrative… doesn’t it? Certainly not terribly helpful from an asset performance perspective. And yet property professionals like rental and community portfolio managers are often the single greatest influence on the success of their investors’ assets. Being unrecognised and undervalued for this ability, however, is not just demoralising for property professionals, it also affects their ability to perform in this role.
So, let us look at what is causing this experiential shortfall.
First of all, the property landscape has become far more complex in recent years. Property professionals are navigating a new regulatory minefield while also juggling higher investor expectations than ever before. Their existing tools and processes – most of which were not even designed for the property industry to start with – can barely keep up with daily realities. They certainly cannot produce sophisticated, investment-level reporting.
The shortfall is not just on the property manager’s end, though. There is also a persistent lack of awareness amongst property investors themselves. Many fail to recognise the difference between being a landlord focussed on the “dollars and dimes” property rentals, and being an investor focussed on the big-picture strategy of optimal growth.
Thankfully, transformation is happening, and it is happening for both property professionals and property investors.
On the property professionals’ side, there is increasing awareness of the importance of technology in empowering service delivery. By embracing modern, purpose-built tools like WeconnectU to lighten the administrative load, property professionals are finally free to focus on delivering truly world-class asset-management experiences. They are shining a light on their strategic capabilities, and its paying dividends on every level.
Likewise, investors are becoming aware of the shortfalls in the experience they have been getting. They are actively seeking property professionals who go beyond the typically reactive administrative basics to optimise investment performance through proactive management. Compliance and operational value are baseline requirements – these investors are looking for next-level expertise that maximises ROI, reduces risk, guides portfolio growth, and informs investment decisions. And they expect complete transparency, throughout.
Supporting this kind of transformation is one of the biggest reasons we founded WeconnnectU. We are passionate about property, we are passionate about property investors, and we are particularly passionate about the professionals who unite the two.
We have over 1300 clients already leveraging our purpose-built software ecosystem to transform their property management services into true asset management experiences. That includes flawless compliance, seamless financials, consistent communication, and detailed reporting on everything from yield to capital growth and more.
Together, we are doing what it takes to close the gap between property assets and other asset classes. The property industry deserves it, the economy deserves it. Don’t you deserve it, too?
About WeconnectU
WeconnectU offers a truly end-to-end Property Management ecosystem that solves all the major challenges in Community Management, Rental Portfolio Management, and Inspections & Maintenance Management.
WeconnectU’s solutions have proven extremely effective at helping property professionals shift from reactive to proactive management, delivering a world-class asset management experience while building sustainable, modern businesses that are compliant, manageable, scalable, and profitable.
