The verdict in three sentences
For a letting and property management agency running 1,500 units, a SaaS platform billed at EUR 1.80 per unit per month already costs about EUR 32,400 a year, and a 12 % annual price increase pushes the three-year bill above EUR 109,000. Custom software makes sense when your business rules (client money accounts, service charge reconciliation, landlord portal) force your team to patch the tool with spreadsheets and double entry. The right call starts with a costed discovery phase of 3 to 4 weeks before choosing between switching vendor, building fully custom, or a hybrid model.
What property management software must cover at 1,500 units
An agency with 1,500 units, whether in Nice, Manchester or Lisbon, typically manages 350 to 600 landlords, a mix of residential flats, commercial units and short-term lets subject to local rules. The software has to hold five business blocks, and that is where vendors really differ.
| Functional block | Requirement at 1,500 units | Risk if poorly covered |
|---|---|---|
| Rent demands | 1,500 invoices generated in under 10 minutes, email and post | Collection delays of 5 to 10 days |
| Rent reviews | Automatic indexation on anniversary date (CPI or local index), caps where regulated | 1 to 3 % of rent never reviewed |
| Service charge reconciliation | Apportionment keys per unit, on-account payments, annual statement | Tenant disputes, manual credit notes |
| Client money accounts | Ledger per landlord, monthly statements | Breach of client money rules, bonding or insurance exposure |
| Landlord and tenant portal | Documents, statements, repair requests, online payment | 30 to 40 % of inbound calls avoidable |
| Bank reconciliation | Statement import, auto-matching above 85 % | 2 to 3 days a month of manual matching |
Client money is the hard part. Whether it is a French financial guarantee, UK client money protection or a US trust account, regulators expect landlord balances to be correct to the cent at all times. A tool that cannot produce that report without spreadsheet rework exposes the agency at its annual audit.
SaaS vendor or custom build: the 2026 figures
Market vendors charge, as a 2026 order of magnitude, EUR 1.20 to 2.50 per unit per month (roughly USD 1.30 to 2.70), plus modules (portal, e-signature, document management) and sometimes data migration fees. Custom software requires an upfront investment and a fixed maintenance fee.
| Criterion | SaaS vendor (1,500 units) | Kolonell custom build |
|---|---|---|
| Entry cost | EUR 0 to 8,000 setup and migration | Complex application: EUR 10,670 to 22,870+, final amount in the quote |
| Year 1 recurring cost | EUR 21,600 to 45,000 (EUR 1.20 to 2.50 per unit) | Premium maintenance EUR 183 a month, hosting in the quote |
| Price increases | 5 to 12 % a year observed | No third-party indexation |
| Time to go live | 2 to 4 months with migration | 5 to 7 months, discovery included |
| Business fit | Vendor roadmap, requests often declined | Agency-specific rules (short lets, commercial, special mandates) |
| Data ownership | Export sometimes partial or paid | Database and code handed over |
| Main risk | Lock-in and uncontrolled increases | Quality of discovery and acceptance testing |
Custom is not always the answer. If you only manage standard residential lettings, a well-negotiated vendor contract remains rational. Custom becomes relevant when the agency combines several lines (management, short lets, block management) or when the portal is a sales argument to win new instructions.
A hybrid model also works: keep a proven accounting package for client money and build the portal, rent demands and repair workflows as custom modules connected by API. It is often the best risk and timeline compromise for a first phase.
A 5 to 7 month delivery plan
| Phase | Duration | Deliverable |
|---|---|---|
| Discovery | 3 to 4 weeks | Process map, rent review and service charge rules, migration plan |
| Design | 3 weeks | Portal mock-ups, client money data model |
| Build in increments | 12 to 16 weeks | Rent demands, service charges, client money, portal |
| Data migration | 2 to 3 weeks | 1,500 units, leases, balance history |
| Testing and parallel run | 4 weeks | Double rent run on a real month |
| Go live | 1 week | Cutover, training for 8 to 12 property managers |
The parallel rent run is non-negotiable: it lets you compare landlord balances from the old and new tools to the cent before cutover.
Mini case study
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Sophie runs a property management agency with 1,500 units. Her vendor charges EUR 1.80 per unit per month, so EUR 2,700 a month and EUR 32,400 a year, and has announced a 12 % increase.
- Year 1: EUR 32,400. Year 2: EUR 36,288. Year 3: EUR 40,643. Three-year total: EUR 109,331.
- Custom scenario, top of the complex range: EUR 22,870 investment plus EUR 183 a month maintenance, or EUR 6,588 over three years. Total: EUR 29,458, hosting priced in the quote.
- Indicative gap: about EUR 79,800 over three years, plus 2 days a month of bank matching saved.
Sophie still adds a 30 % safety margin on the custom budget for unplanned changes. Even with that cushion, break-even comes before the end of year two.
FAQ
Can custom software meet client money regulations?
Compliance depends on the rules built in, not on how the software is made. The specification must cover ring-fenced landlord funds, monthly statements and the client money reconciliation report your regulator or insurer checks at least once a year.
How long does it take to migrate 1,500 units from a vendor?
Allow 2 to 3 weeks if the vendor provides a full export of leases, tenants and balances. Check your contract's export terms during discovery, since some vendors charge EUR 1,000 to 5,000 for the extraction.
Does a portal really cut calls?
In agencies of similar size, a portal with statements and repair tracking avoids roughly 30 to 40 % of inbound calls as a 2026 order of magnitude. For 8 property managers, that frees several hours per person each week.
Can we keep our current accounting package?
Yes, that is the hybrid model: client money stays in the proven tool, and the custom modules post entries to it by API or file. This can cut the first phase from 5 to 7 months down to 3 to 4 months.
Who maintains the software after delivery?
Kolonell offers three maintenance levels at EUR 53, 114 or 183 a month, covering fixes, security updates and regulatory changes such as rent caps. The code and database belong to the agency.
Let's scope your project. We map your scope (rent demands, service charges, client money, portal) and a realistic go-live plan before any commitment. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
