How many contacts are stored in your phone? What is the number of prospective clients on your email list? Accounting Software for real estate agents run a client-focused business. After all, your income comes from buying and selling properties for clients.
Dealing with clients on a daily basis opens the door to a new set of challenges for real estate agents: client data management. Without the proper data management policies and procedures, you could lose contact information, resulting in lost income and poor working relationships.
In this article, we'll cover the importance of client data management and five strategies to infuse efficiency and accuracy into your real estate business.
Why is Client Data Management Important?
Client data management is a crucial component of running a successful real estate business. For one, the right data management policies improve data quality. You never have to wonder if you remembered a phone number correctly or followed up with all potential leads. Instead, you always have up-to-date and consistent data to continue growing your client base.
Additionally, client data management can save you hours of time. From having a quick contact for a repair to giving clients the number of a lender right away, you no longer need to spend hours tracking down information. This frees up time in your busy schedule to pursue other activities, like attending a local marketing event or calling new leads.
In many states, client data management isn't just a suggested best practice; it's a requirement. Professional real estate agent organizations and federal laws require you to protect the sensitive information of your clients. Writing sensitive information on the back of a napkin won't cut it. You need the right safeguards and policies in place to collect, store, and secure your client's information.
5 Strategies for Effective Client Data Management
1. Prioritize Data Security
The first strategy is to prioritize data security. What controls can you put in place to secure your clients' information? This might include their address, Social Security Number, full name, email, and phone number. Storing this information in a physical file folder or on an unsecured network opens the door to potential risks, such as cyberattacks. When revamping your data management, be sure security is a top priority.
2. Review Old Information
The next strategy is to regularly review old information. It's not uncommon for a client to go uncontacted for months or even years. After all, how frequently are clients really selling or buying homes? On a regular basis, such as every six months or a year, review your client data for accuracy. Do you need to update an old address? How about get a new email? Touching base with your clients not only keeps you fresh in their minds but also ensures you have accurate data.
3. Leverage a Realtors Accounting Software
A Agent Expense realtors accounting software can make all the difference when managing client data. Not only can you ensure all real estate agent tax deductions are recorded, but you can also manage your client information. With client data in one place, you can easily review invoices, contracts, and communicate with your clients electronically.
4. Back Up Information Regularly
Data can get lost, especially if it's only stored on your local network. Regularly backing up data to the cloud or another electronic source helps avoid total data loss. For example, what happens if your phone randomly breaks? How will you access your contacts? By backing up your client data, you can protect the client information you worked hard to obtain.
5. Centralize Data Management
Another best practice for managing client data is to use a centralized location. Storing client information in different locations is not only confusing, but it can also lead to inaccurate data. For example, if you update a client's phone number on your cell phone but forget to update it in your client management software, you could give out the wrong phone number or contact an incorrect person. Using one location streamlines your data for efficient management and oversight.
Summary
Real estate agents deal with client data on a daily basis, making it important to have the right policies and procedures in place. If you're looking for a centralized accounting software designed for real estate agents, reach out to one of our team members at AgentXpense today to schedule your free demo.
