If you haven’t implemented a resident benefits package already, you might have heard the term being discussed more often as more companies are starting to implement them into their leases and business models.
As they grow in popularity, they’re becoming a standard in running and growing a property management company. It’s something that large multifamily companies (like GreyStar) have been implementing for years because they know that residents are willing to pay for higher levels of service and various added amenities.
Now, many in the single family space are offering flat fees or lower rates to bring more value through ancillary services in their resident benefits package. This increases revenue per unit for the property manager and increases the overall living experience for the resident.
In a time when residents are spending more and more time at home, an enhanced living experience is in high demand.
What is a Resident Benefits Package?
A Residents Benefit Package is an additional charge to the resident included on new leases that will give the resident added services. These added services vary from company to company, but they can include things like:
- Rental Insurance
- 24/7 emergency maintenance lines
- Filter delivery services
- Online portal access & mobile app access
- A virtual concierge for resident responsible home requests
- Smart home add ons and features
- Credit Reporting
- Utility Set Up
- And more…
At Latchel, we’ve made it easy to set up your package with a growing list of curated partners offering tangible financial value to the resident. All you need to do is turn them on.
In addition to programs like cash-back on rent and insurance policies, Latchel also includes up to $1,000 in cash reimbursements for resident caused damages so your residents know that they’ll getting more value than what they’re paying for in their monthly fee.
What is the typical monthly fee & how much can I increase revenue per unit?
This is something that can also vary from company to company depending on the market, property class type, and the amount of additional amenities included. Though, most resident benefit packages do not exceed a $50 monthly fee added to the lease at signing.
To learn more about the different types of services property managers typically add in their resident benefit packages, we recommend tuning into the below podcasts packed with great info:
25 Income Streams for Your PM Business with Marc Cunningham
Increasing RPU with Air Filter Delivery Services with Second Nature CEO, Thad Tarkington
How To Reach 25% Profitability and Beyond in 2021 with PM Profit Coach, Daniel Craig
How Does Implementation Work?
Most Property Management companies who have rolled out a resident benefits package include the package as a lease addendum in new leases and lease renewals, making it a mandatory resident charge.
Some companies who would like to implement the package on current leases to see more immediate results send out a notice to current residents noting the details of the added services and fees. They note that it will be added to their lease upon renewal or within a specific time frame (30, 60, or 90 days) depending on your state laws for changes in lease agreements. For all new residents, the benefits package is included in the lease at signing.
Most Property Management companies have a web page dedicated to the offerings of their specific resident benefits package. You can view an example here.
When you implement your Resident Benefits Package with Latchel, you’ll be provided with all of the templates and guidance needed for implementation:
- Lease Addendum Template
- Resident Notification & Resident Welcome Packet
- Owner Notification & Owner Benefits Materials
- And more!
How can Property Managers also eliminate costs with a Residents Benefit Package?
At Latchel, we’ve packaged our typical maintenance coordination services into a type of resident benefits package that our customers are using to eliminate their on-call maintenance costs, and generate additional monthly revenue through profit sharing.
We call this the Home Assistant Program.
With this, residents have access to an online portal and a personalized phone number that they can call into 24/7/365 to fulfill any in home need like: home cleanings, furniture assembly, tv mounting, dog walking, and more.
This includes any and all maintenance requests (including emergencies), as well as any other in-home need normally responsible to the resident. They also have a few other added benefits like:
- $1,000 in cash reimbursements on resident caused damages.
- A hub of extra benefits like cash back on rent payments, insurance policies, and bills, all available through their online dashboard and completely customizable by .
- Video based troubleshooting features to easily resolve emergency issues.
With Latchel handling the requests coming in from residents, Property Managers can shift their focus away from maintenance, but still keep an eye on any repairs taking place inside the home.
Latchel’s transparent software portal gives property managers a look into all the work orders in progress and handles end-to-end maintenance. Property Managers get the benefit of:
- Real time email notifications.
- Prioritization of your preferred vendors.
- A portal that syncs with most Property Management softwares, streamlining operational efficiency.
If you’d like to learn more about how to implement resident benefits packages, you can schedule a consultation call with our team.