Over the last couple of decades, we have seen a seismic shift in the way we interact with tenant services. Whereas in the past, paper checks for rent, maintenance requests, and lengthy lease signings were a highly manual and time-consuming process, it has now turned into a completely digital experience. Today, most tenants demand seamless on-demand services that are aligned with modern-day technology. But what’s next? Emerging technologies such as blockchain and cryptocurrency are starting to enter the conversation, and although the industry is just beginning to catch up, these technologies are starting to transform tenant services in ways we’ve never been able to dream of.
The Digital Revolution: How It All Began
The early days of digital tenant services were focused almost entirely on the idea of convenience. Online payment portals meant tenants no longer had to traipse around with checks or go visit the landlord’s office on a late Friday night. PayPal and early property management software let landlords get rent without hassle, tenants pay with a few clicks.
Then came mobile apps. Apps included payment systems, allowing tenants to pay rent, request maintenance as well as renew leases from their smartphones. It also automated the experience with reminders for the rent due date, automated late fees, and instant maintenance updates. By taking advantage of these advancements, they laid a foundation for a different age of tenant services; where technology was not a luxury, but a necessity.
The Rise of Smart Living
Tenant services have moved beyond payments and include other lifestyle enhancements. Keyless entry systems, smart thermostats, and app-controlled lighting are becoming more common in rental properties. Today’s tenants now expect their homes to be as connected as their devices. In response, property managers have been providing these amenities as standard features, making their units more appealing and making it worth charging higher rental prices.
There are even community-focused apps that allow tenants to book shared spaces, RSVP to building events, or even meet neighbors. They have changed the way a person sees the tenant experience, transforming rental properties into lively communities, rather than mere places to live.
Blockchain and Smart Contracts: The Next Frontier
As we look to the future, blockchain technology is poised to play a transformative role in tenant services. One of the most promising applications of blockchain is the use of smart contracts for leases. These blockchain-based self-executing contracts get rid of intermediaries like lawyers or notaries. Once terms have been agreed by both parties, the smart contract makes the automatic enforcement of them transparent, reducing the risk of a dispute.
Imagine a lease agreement that automatically takes rent payments out on the due date and imposes penalties for late payments in the contract. The immutability and transparency of blockchain records could also allow tenants to receive immediate refunds of security deposits upon the fulfillment of lease terms. It’s this sort of efficiency that isn’t science fiction, but rather becoming more and more feasible.
Cryptocurrency: A New Way to Pay
Another game-changing trend is the acceptance of cryptocurrency as a mode of payment in tenant services. Even though it’s still in the early stages, a few progressive property managers and landlords have begun accepting Bitcoin, Ethereum, and other cryptocurrencies for rent. It also gives tenants far greater flexibility if they work in tech or other international industries, and they might prefer to use digital currency rather than using a more traditional banking system.
Furthermore, cryptocurrency paves the way for international tenants, who usually struggle to exchange currency and transfer fees. In crypto, these problems are mostly eliminated, meaning that it’s simple for landlords to attract a worldwide collection of tenants.
However, cryptocurrency adoption comes with its challenges. The value of Bitcoin or Ethereum can fluctuate dramatically, and this volatility remains a huge concern. To offset this, some landlords negotiate to use stablecoins — tokens pegged to traditional fiat currencies such as the U.S. dollar to provide the stable value needed for transactions. Barriers to adoption include regulatory hurdles and the required education about the benefits and risks of cryptocurrency. So, as these matters are resolved, crypto will probably be a standard rent payment method in the future.
Final Thoughts: Embracing the Future
It’s quite clear how technology can improve the quality of life, not just the convenience of tenant services. Moving from the earliest stages of online payments to the recent developments with blockchain and cryptocurrency, we have continuously been pursuing a tenant experience that is seamless, secure, & personalized.
As we welcome these innovations, however, we mustn’t lose sight of our responsibilities as engineers and as humans. On one hand, property managers need to position themselves in emerging technologies that will increase ROI while on the other side, they must ensure they integrate and provide the privacy, sustainability, and flexibility required by their tenants. It isn’t just about adopting the latest tools, the future of tenant services is all about building and maintaining meaningful, lasting connections with the people who call your property home.
