Technology is advancing at a rapid rate in all industries, and real estate is no exception. Transaction Management Software is yet another area of real estate where new software is emerging. In this blog, we’ll explore the critical role of Transaction Coordinators, the pros and cons of using software, and how real estate professionals can minimize risk.
The Important Role of Transaction Coordinators
Transaction Coordinators play an important role in real estate transactions. The precision and workflows of an experienced Transaction Coordinator can improve efficiency. It can also help to avoid a lawsuit because of delays and missed paperwork that can cost clients money.
Using a Transaction Coordinator can help ensure a smooth-sailing transaction and a great customer experience. It also frees up time for brokers and licensees to focus on other important areas of their business. Transaction Coordinators have systems, checklists, and processes in place to ensure that transactions run smoothly — some use software and others use a more traditional approach.
What is Transaction Management Software?
Transaction Management Software can help to keep track of client details, deadlines, and documents. It enables the broker, licensee, or Transaction Coordinator to organize paperwork, easily access contact details and transaction information, and effectively monitor the transaction process. Being able to track transactions quickly, easily, and without searching an entire office for paperwork is a valuable asset to real estate professionals.
Pros and Cons of Using Transaction Management Software
Pros
- Because everything is electronic, authorized people can access information about a transaction quickly and easily via cloud-based software from anywhere. They don’t need to be in the office to check up on the status of a document or transaction, they can find what they need fast from wherever they are.
- Having all the information in the cloud provides a useful backup in the event of a fire, flood, or other disaster affecting your real estate office. It means you will be able to pick up where you left off in a different location and not lose valuable information and time.
- Many Transaction Management Software options offer other features over and above transaction management which are valuable to real estate professionals. For example, some solutions integrate with MLS listings and allow you to initiate a transaction directly from the MLS. Broader broker management software solutions can also provide a raft of features that can help brokers not only manage transactions, but also automate other common broker tasks.
- Transaction Management Software can minimize the chance of human error occurring. For example, a missed deadline or document.
- Online signing solutions reduce the need for in-person signings which is a huge time-saver and is a COVID-safe way to do business.
Cons
- As with other types of software, a limiting factor is the system is only as good as the information contained within it. It’s the old “garbage in, garbage out” adage. Software still requires professionals to input and upload the right information for the system to work well. Human error can still occur in the initial input of data and setup of a transaction.
- Not necessarily a con, but all software comes at a cost. Most software options offer a monthly subscription and many offer a discount if you subscribe annually.
- There are cyber security vulnerabilities in having all data in the cloud. You need to consider cyber security measures to protect your online data and systems to prevent a breach or cyber attack.
Options for Transaction Management Software
There are many options for Transaction Management Software, and transaction management is also a feature of many Broker Management Software solutions. To help decide what is best for your business, first review how you manage transactions now. Identify what the issues are (if any) that you face. What in your current process is causing challenges? Why are delays occurring? Are there common mistakes that happen in transaction management that you feel automation could fix?
Check out these popular options for Transaction Management Software:
- Brokermint
- dotloop
- Qualia
Lone Wolf Technologies (lwolf.com) also offers Transaction Management Software.
Protect Your Real Estate Business
Insurance is an essential part of any real estate professional’s risk management plan. Contact the team at CRES at 800-880-2747 for a confidential discussion today. As part of one of the largest insurance brokers in the world, we have access to more options than just about anyone, we can find you the best coverage at the best value.
Whether you are a real estate broker, licensee, or Transaction Coordinator, we can customize a policy (Errors and Omissions, Business Owner’s Policy) just for you. CRES can also provide specific Cyber Liability Insurance to ensure you are protected in the event of a serious data breach or cyber attack.
