Property management software is a technology system used by property managers to manage administrative and financial activities with a single click. Many property-related tasks and procedures, such as document storage and sharing, financial reporting, and integrated banking, can now be performed and managed in real-time using property management software.
The property management software market value was worth $ 1.64 billion in 2021, and it will reach $2.70 billion by 2030 at a 5.73% CAGR during the forecast period.
There are two types of property management software:
Features of property management software
While capabilities differ amongst software systems, the most significant feature is the ability to track and record all of your trust account transactions. It includes Workflow for billing, reconciliation, disbursements, and reporting. Some systems even include built-in automation to streamline operations, eliminate manual data entry, and reduce the possibility of human error.
Growth drivers
Rising demand for SaaS-based property management software
Cloud-Based property management software includes various benefits such as multiple property management, scalability, availability, and many others. Daily operations, such as building maintenance, lease tracking, accounting, and tenants, are managed by SaaS-based property management software. The SaaS market is gaining popularity daily, due to which more companies are incorporating SaaS technology into their respective business, according to DevSquad.
Apart from the growing demand for SaaS technology, demand for various property management software like onsite real page, Hilton PMS systems, remain property management software, synxis pm software, opera software for hotels, condo association software, and yardi voyager is also boosting the overall growth of the market.
Increasing demand for smart building projects
The concept of a smart city is the most prominent modern trend, combining smart mobility, smart economics, smart people, smart administration, smart environment, and smart living. Smart buildings are regarded as one of the most important components of a smart city.
Furthermore, the use of modern ICT technologies tends to ensure the fulfillment of present and future generations' needs and respond to difficulties related to innovation, efficiency, and competitiveness of public services and urban structure. As a result of the acceptance of digitalization in smart city projects, smart buildings, and smart properties, the demand for property management software is increasing.
Market segmentation
Deployment Insights
In 2021, the cloud segment recorded a maximum share of more than 58.00%, which is expected to grow significantly over the forecast period. Factors stimulating the growth of this segment are the increasing acceptance of cloud deployment among various end users, such as property managers, housing associations, and corporate occupiers. Scalability, ease of use, cost-effectiveness, and fewer tenant disputes motivate small, medium, and big businesses to use cloud-based property management solutions.
End-user Insights
In 2021, the property managers/agents segment held the largest market, with a revenue share of more than 36.00%. Over the projection period, the segment is expected to maintain its dominance by rising at the quickest CAGR. It is due to an increase in the number of commercial buildings and real estate developments worldwide.
The market for housing associations, which had the second-largest revenue share in 2021, is anticipated to experience a significant increase during the projection period. This is attributed to a number of difficulties that townships and apartments face, including registering renters, collecting money, and lease agreements, among other things.
Application Insights
With a market share of over 66.00%, the residential sector held a dominant position in the property management software market. This expansion can be attributable to rising real estate investment. The residential component is further divided into single-family homes, multi-family homes/apartments, and others. On the other hand, the commercial segment is anticipated to increase at the quickest rate during the projection period. One of the key elements influencing the category is the expanding commercial sector worldwide.
Regional Insights
In 2021, North America had the highest revenue share of more than 62.5%. It is due to the presence of major players in the region. The United States currently dominates the North American regional market due to an increasing number of hotel rooms in the country. In 2021, Europe held the second-largest market share. The presence of a large number of commercial and residential buildings and a high level of digitization in the region can be credited to the region's growth. From 2022 to 2030, the Asia Pacific market will develop at the quickest CAGR.
Key Players
