In property management, growth usually means “getting more doors.” But here’s the truth: not all doors are created equal. Some clients bring in steady revenue year after year, while others churn quickly and leave you with sunk acquisition costs.
That’s why the lifetime value of a customer (LTV) is one of the most important numbers in your business. LTV represents the total revenue you can expect from an owner over the full relationship. It becomes your financial guardrail for marketing, sales, and growth decisions.
When you know your LTV, you can:
Set a ceiling for what you can afford to spend to acquire a new client
Compare marketing channels based on ROI, not just lead volume
Identify the types of owners who are truly worth pursuing
Here’s a quick example: If your average annual revenue per unit is $2,200, your average tenure is 4 years, and your average units per customer is 1.2, your LTV would be:
$2,200 × 4 × 1.2 = $10,560
That number tells you exactly how much you can spend on acquisition while still keeping healthy margins.
But this is just the starting point. To really scale, you need to know how to calculate your own LTV, compare different portfolio types, and apply it to your marketing strategy.
That’s why we created our eGuide, “Scaling your property management business: The science of lead generation” Inside, you’ll find:
Worksheets to calculate LTV step-by-step for your business
Real examples of how different owner profiles impact long-term value
Insights on using LTV to set smarter budgets and drive consistent growth
If you’re ready to stop guessing and start scaling with confidence, download it today.