Estate and rental agencies are becoming more technologically advanced, according to PayProp’s latest State of the Rental Industry report.
Seven out of 10 respondents said their agency was more automated at the end of 2024 than a year earlier.
And with increased rental growth giving rental agencies more ability to invest in tech, that seems likely to continue this year. A massive 94.5% of survey respondents agreed that PropTech is a worthwhile investment, and 80.5% and 74.1% respectively said it was more productive and cheaper than growing their workforce.
But what are they investing in – and how can they get the biggest impact?
What will be 2025’s top PropTech trends?
Agencies have already invested heavily in technology in key areas. More than 80% of survey respondents use automation to streamline accounting and tenant vetting. Rounding out the top three, 68.2% automate their marketing and communications. But the level of investment in these areas has been stable since 2023, and so rapid growth this year is unlikely.
In contrast, inspections and maintenance were big growth areas in 2024. Around 5% more agencies automated these functions than the year before. Agents often see these functions as thankless admin – according to David Hutchison, Director of Sales and Support at inspections platform Property Inspect, 70% of agents would rather not do an inspection unless they absolutely have to.
But inspections are a legal requirement, and with the right technology, they can be streamlined – and even made into a revenue-raising opportunity.
More agencies could also start using technology to value properties. Just 12.9% of respondents did so in 2024 – the first time this option was included in PayProp’s survey. But with tools like PayProp’s management reports making it easier to benchmark against local market rents, more agencies may do so in 2025.
