A tech-focused property management company is betting on Las Vegas.
Home365 announced Tuesday that it has started to serve the Nevada city as of this month thanks to the acquisition of Pangea Realty & Property Management, which owns 300 homes in the area. In a statement, Home365 described Las Vegas as an “ideal” market thanks to a “high proportion of out-of-town investors” and “the high demand for single-family home rentals.”
The financial details of Home365’s Pangea acquisition were not publicly released.
Bay Area-based Home365 offers full service management for property owners. So, the firm will place tenants, deal with maintenance issues, collect rents and attend to all of the other tasks managers handle. All of those services are bundled into a single fee.
One of the things that makes Home365 unique, however, is that it comes up with its monthly fee using an artificial intelligence-powered algorithm. The system considers factors including the age, size, location and history of a property when determining what to charge. The result is what Home365 calls its “OneRate” monthly fee.
Prior to Tuesday’s announcement, Home365 worked with property owners in a number of other states including California and New York. But CEO Daniel Shaked told Inman that in those markets the company had so far offered a more limited product more along the lines of a home warranty.
The Las Vegas deal, then, marks the first time the company will begin providing a full service property management product.
Property owners and tenants both interact with that product via an app that is meant to facilitate communication. Tenants, for example, can report issues with their homes via the app and even send in video of problems. The app also tracks the progress of maintenance requests, shows where repair workers are and lets tenants rate their experiences.
The result, according to Shaked, is a system that saves “property owners up to 50 percent in costs and will help restore a sense of trust between renters and property owners.”
“Home365 offers an advanced way to refine communication between parties, improve overall customer service and assist landlords in what can be a very demanding and stressful business,” Shaked added.
Home365 has no minimum unit count, meaning that property owners with as few as one unit can sign up to have the company take over management responsibilities.
Additionally, Home365 provides property owners with a guarantee that it will cover rent on vacant units for up to one year.
Rent guarantees are an increasingly popular perk among management service companies. For example, Keyo — a Bay Area startup that also serves New York City — recently announced the “Keyo Guarantee,” which promises to pay landlords for up to two months if tenants break their leases.
In Keyo’s case, however, the company focuses on filling apartments and collecting rents rather than on full-service property management.
Shaked told Inman that Home365 has big ambitions. The company hopes to expand its more limited products that are already available in other states to full service management, and is currently in talks for deals that would bring Home365 to Arizona, Florida and Texas.
In the meantime, however, the firm is focusing on Las Vegas, with Shaked saying he expects growth in the region that should fuel a need for more rentals, growing rents and increased demand for Home365’s services.
“I believe that very soon this market will start attracting tech companies,” he explained. “And I think it’s a perfect metro for young people.”
How do you stay ahead in a changing market? Inman Connect Las Vegas — featuring 250+ experts from across the industry sharing insight and tactics to navigate threat and seize opportunity in tomorrow’s real estate market. Join more than 4,000 top producers, brokers and industry leaders to network and discover what’s next, July 23-26 at the Aria Resort. Hurry! Tickets are going fast, register today!
Thinking of bringing your team? There are special onsite perks and discounts when you buy tickets together. Contact us to find out more.