The pros and cons of being a digital landlord

The digital age has made many careers more accessible and easier, but that’s not to say that working as a digital landlord is an easy life. Looking beyond the income potential, the ability to scale your business, and the flexibility to work from anywhere and manage property globally, there are always some serious negatives to consider and manage. 

Read through property forums or social media accounts, and you will see many posts claiming that a person made their fortune in property management, all run from their smartphone. Just buy and read their 100-page “how-to guide” to see how you could do it too!

In reality, there’s a broad mix of landlords. Some are happy running their business purely through paper and the personal touch. Others adopt the basics of technology to help make things a little easier. And a mix of experienced pros and the younger generation go all-digital to maximise their productivity with minimum effort. 

Across each category, some are successful, while others find it too stressful. While going digital can be especially appealing to new landlords, it’s important to weigh both the benefits and the challenges before diving in.

The pros of the digital landlord 

The digital landlord can choose from many property management apps and services to make their business more efficient than traditional methods. Working digitally expands their reach, with some becoming global landlords. And boosts their operational speed – enabling them to react faster than rivals to:

  • New property market opportunities
  • Damage reports to limit the cost of repairs
  • Booming vacation property areas
  • Attracting new tenants, partners, and trades

The primary benefits for digital landlords when starting the business include lower overheads to keep costs down. That’s ideal for bootstrapped companies or individuals with limited free cash. Many apps are free, and landlord-management software as a service (SaaS) applications are available for a low monthly fee. 

Working with smart software, landlords can get notifications the second anything changes. From when a new desirable property comes on the market to changes in tenant circumstances that may require attention. And, all the way down to someone needing a replacement window that the digital landlord can arrange with a couple of button presses.  

As the business grows, digital landlords can work more flexibly, perhaps on the train to look at new properties or on the beach while considering their next masterstroke. They are never out of touch and always in control. 

Working online also makes it easier to diversify the property portfolio. Landlords can learn about new neighbourhoods and cities, or countries, plus local laws, regulations, and taxes or costs, all at high speed. Making Tax Digital, or MTD, makes it easier to file income tax while an AI can write your comprehensive reports to attract investors or brochure text to lure new tenants. 

Landlords can also find local partners to deal with the paperwork and trades, using your software, keeping potentially high-earning projects at arm’s length. With staycation or global vacation management businesses booming, using landlord software can help manage and grow distant business opportunities efficiently. 

All of this helps deliver a steady, passive, and growing income stream that can power your landlord business to greater heights with lower operating costs compared to your rivals. 

The cons of working as a digital landlord

The most obvious weakness of working as an all-digital landlord is that it is easy for anyone else to start up a similar business. Perhaps someone saw your success or is a distant competitor looking to muscle in on your area. Be ready to compete with newcomers, using your digital skills and marketing budget from your early success to outpace them. 


Another problem for digital landlords is the risk of missing out on word of mouth that traditional operators might hear. That might be about new investment opportunities, big-budget tenants or keen trades looking to partner with local landlords. Being digital doesn’t mean you have to focus purely on what’s on your screen, but there’s always the risk of missing out if you don’t pay enough attention to the word on the street. 

A growing issue for booming digital landlords is that the cost of what was originally cheap SaaS tools can quickly grow as your portfolio booms. You may need more features that are part of a more costly tier, or the monthly charges rise the more data you store on their service. Carefully budgeting and managing software costs or shopping around for better, lower-cost software are all key for digital landlords. 

Your digital operation is also at risk of the 99% uptime claims of your SaaS provider, broadband, or mobile network. Typically, the 1% of the time when they do break down or are inaccessible will be during a crucial moment. Even the most digital of landlords should have a backup plan to continue operations, especially if you’re scouting for property in distant locations. 

Similarly, there’s your vital phone or laptop breaking or being stolen or lost, and the gap between getting it fixed or a new one up and running. Add to that the risk of hacks, viruses, malware, and other digital threats, especially if you have workers or partners who are less technically adept. Just one bad actor can easily bring a small digital business down. 

Finally, a digital landlord is just as at risk as their paper-based contemporaries from the vagaries of market trends, stock market crashes, and a natural or local disaster, At that moment, people are more likely to appreciate the personal touch of a landlord providing help and support, rather than a distant cold email.  

However you approach the landlord business, going digital is great for many things, but don’t become a robot to your tenants and partners!