When it comes to generating revenue in real estate, landlords are creative. Rent is not the only way to make a profit in your rental business.
Whether you’re adding services, renting another asset, or managing secondary revenue sources, you should have a way to integrate your bright ideas into your current rental management.
Property management software is the best tool for the job. While property management software is generally designed for managing units, many platforms offer the flexibility and versatility for customization. With high-quality software, you can integrate your favorite apps and start generating extra revenue as easily as you would normally collect rent.
If you haven’t started but are interested in adding revenue streams, rental property management software is for you too. First, consider your resources. What services or spaces are available to you? How can you monetize them?
Next, use your software platform to integrate the new revenue with your current rental management. With a little thought, adding revenue streams is constructive and profitable.
Here are six ideas for new revenue streams and tips for implementing them.
- Cleaning Services
Offering cleaning services is attractive, practical, and lucrative. Not only are many tenants willing to pay for cleaning services, but regular cleanings also help maintain the cleanliness and quality of your rentals.
If you manage large units or university housing, these tenants might be especially inclined to pay for cleaning services.
To add cleaning services as a revenue stream, first locate a reputable cleaning service provider. Once you’ve contracted out the work, decide on the frequency, price, and nature of the services you’ll offer.
You can charge tenants for cleaning the same way you would for a late fee. Your software can package the charge in the tenant’s monthly rent bill or incur it as a separate fee.
- Corporate Housing
Corporate housing is another opportunity to grow and varietize your rental business. This revenue stream involves renting out fully furnished units to businesses that use the space to house traveling employees.
Unlike traditional rentals, corporate housing requires that you furnish the units and include utilities. If you have extra furnishings on hand or the resources to buy them, renting corporate housing might be a good choice for you.
If you already use property management software, you’ll need to verify that the platform allows customization for corporate housing leases. You can then use your software to market the rental properties, post listings, and manipulate leases.
- Storage Space
If you have extra non-living space, you can maximize your profit by renting it out as storage space. Since you already own the garage space, shed, parking spot, basement, or other space, it takes little effort to yield income from your assets.
Your first step is to assess your unused space and review relevant laws for non-dwelling units. After preparing a contract, you can collect storage space rent from non-tenants through your property management software platform. You can also integrate with a different digital payment service, depending on the connections your platform offers.
Leasing a billboard is another popular revenue stream. You can sell advertisement space to local non-profits, businesses, and other organizations. Almost any extra space can be rented out for ads, including fencing, siding, front yards, and roofs. However, be sure to review zoning laws in your area to learn the rules for advertising.
After some advertising of your own (hang an “Advertise Here” sign), you can compose and sign formal contracts on your software as you would a lease document. Specify the price, duration, and size of the ad, and then collect rent via your software or connected digital payment service.
- Satellite TV
While younger tenants are likely to use streaming services, many will still prefer their traditional satellite TV. You can market to these tenants by offering satellite TV with your units. Satellite TV packages are an excellent lease upgrade.
Like cleaning services, satellite TV can be painlessly added to an existing or new lease. Once you’ve chosen a provider, installed the hardware, and advertised the amenity, you can collect satellite TV fees through your software or bundled directly with rent payments.
- U-Hauls and Trailers
If you’re especially committed to generating extra revenue, renting U-Hauls and trailers is another opportunity. There is no franchise fee, and they typically offer a 21% commission.
To add this revenue stream, you’ll need to apply to be a U-Haul dealer on the company’s website. Then you’ll complete the training, receive the trucks or trailers, and make up to $100-500 a month.
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Get Creative with Property Management Software
Property management software is an adaptable tool—there’s no reason you can’t use it for creative purposes such as additional revenue streams. Whichever route you take, you are sure to find property management software integral to your success.