Digital locks for apartments?

Question

I am currently utilizing keys for most deadbolts and passage way door handles for my apartments. However digital/no keys sounds appealing.

What are the advantages of utilizing digital vs key locks? Are there particular locks that are preferred for ease of use and low maintenance?

Ronan Donnelly · Answer

Hi @Collin Schwartz, I always find it helpful to look at these decisions from the perspective of what the market wants. E.g. do you get the kind of tenants that care about and place a premium on investments in technology?

Stephen David Smith Jr. · Answer

I had to do detailed research on this specific topic for a commercial apartment development we are doing now in Lakeland Florida. In regards to benefits there are many articles on those however my attention goes to it being the first thing the tenant sees and is the security to their home. This brings a secure and premium feel to the property which makes rent turnover a breeze. More importantly I looked at how technology could not only improve lifestyle but cashflow:

(These are general numbers not associated to a specific product, please price your own product and charge +/- accordingly)

30 Unit Apartment

$150 deposit per 2 "smart keys" (returned if 2 undamaged keys are returned - kept if not returned)= $4,500 on deposit at capacity

$75 replacement - This will bring in a few hundred a year minimum on this property

(Make sure your replacement cost to the tenant is more than your key cost for the hassle of reprogramming and to be paid for your time and cashflow, consider it like a contractors markup for services)

If I pay $200 a lock I am in for $6,000. however in year 1 I receive $5k+in deposits or replacement fees that could be realized. Realistically the locks would pay for themselves within 3 years and would start putting money into the properties pocket after.

I hope this was helpful.