As of last month, during the peak of summer heat, energy prices were up 33% year over year in the US. This is a welcome 9% decline from prices witnessed the month prior but is still a hefty increase homeowners and property managers must fork out on top of general operational costs.
What if we said there’s a way to guarantee lower energy bills regardless of inflation? Equipped with the right tech tools and software, property managers can increase the efficiency of HVAC systems to cut costs in a number of areas – even in summer. Let’s find out how…
A step-by-step guide to reducing energy costs this summer
Assess your current setup. How old is your HVAC system? If the answer is “I’m not sure” or “too old” you may want to consider upgrading.
Doesn’t paying for a new machine defeat the point of saving on costs you ask? In the short term, yes, but business isn’t about today or this week, it’s about long-term profitability. Even if your air conditioning unit is only ten years old, the US Department of Energy recommends replacing it for energy usage savings of up to 40%! You’ll soon make back the cost of installation and over time will be better off as a result.
How so? Newer HVAC models are designed to be more efficient. With an automated HVAC Management system installed in your rentals, you could save up to $250 annually per property. This is because the intelligent, IoT-connected technology has in-built monitoring sensors to help you safeguard against major damages or failures through proactive alerts when issues first arise.
Maintenance. Maintaining your HVAC machine is very important for its ability to work efficiently.
This doesn’t mean property managers need to constantly have machines serviced; this would be counterintuitive. Luckily, this responsibility doesn’t have to fall on your shoulders. Rely on automated HVAC software to tell you when your machine needs looking at. You’ll reduce the risk of issues escalating and potentially even save by cutting out unnecessary services.
Another important thing to remember is to have the air filters replaced and vents cleaned out regularly. A clogged-up system will have to work ten times harder to pull through the air – racking up unnecessary energy costs.
Integrate solutions such as a programmable thermostat for better control over the temperature in your properties. Go one step further and install tech-powered smart thermostats for cost savings of up to 23%, and access to your rental’s temperature data from wherever you are on an all-in-one connected property app.
Energy.gov states that simple habits such as turning down your thermostat when you’re away can shave as much as 10% off your annual energy bill. A Smart Thermostat HD has built-in geo-fencing technology, which bases its heating or cooling schedule on user location, helping residents conserve energy when they’re away. And, if you’re managing short-term rentals, a smart thermostat enables you to automate temperature set points based on occupancy.
The bonus of investing in smart home technology, like automated HVAC systems with connected smart thermostats, for your rental business, is people are willing to pay more for such home upgrades.
Our Property Management Insights report highlighted multifamily residents’ willingness to pay a premium of up to $20 per month (that’s $240 per year) for tech advanced homes. Add this to the potential $250 yearly savings on HVAC emergency maintenance and energy consumption monitoring, and property managers are looking at around an additional $500 per property.
So, don’t forget to advertise smart home tech upgrades in your property listings. You could even boost occupancy by attracting more potential residents – it really is a win-win situation.
With this simple four-step process, including retrofit property tech solutions, you’ll be able to combat rising energy costs and even turn a profit in what appeared to be a challenging time for property managers.
Whether it’s hot and your rentals need cooling down or in the middle of winter and you need to protect your assets against frost, a smart HVAC Management solution can help you cut down on energy consumption by using home automation systems to reduce usage, maintenance costs, and boost operational inefficiencies.
Want to know more about automated technology, like PointCentral’s Smart Thermostat HD? Let’s talk.