How to Turn Rising Operating Costs Into Strategic Advantage
Operating expenses jumped 7.1% last year. Rent growth? Just 1.1%. That six-point margin gap is real – and it’s probably not making your budget planning any easier.
At Rent.com, I lived this from the demand side. At HappyCo, I now work alongside operators facing this pressure daily. And here’s what I’m seeing:
Some property managers are stuck in a loop of short-term fixes.
Others are getting clear on what’s working – committing to smarter, more resilient strategies for the long term, instead of reacting to rising costs.
What’s Actually Driving Costs Up
This isn’t just about everything getting more expensive; it’s in those few specific cost centers that are compounding.
Here’s where we hear teams are feeling it most:
- Labor: Wages up 8–12%, with overtime now the norm
- Emergency repairs: Cost 3x more than scheduled work, happening more often
- Rush vendor calls: Last-minute work comes with a premium, especially without scheduling visibility
- Utilities: Up 15–20%, with no relief in sight
The teams gaining traction are the ones tackling these pressure points head-on, using them to guide smarter, proactive investments upstream.
What Winning Teams Are Doing Differently
It’s not every day you get to work with some of the most forward-thinking portfolios in the industry — teams that aren’t just adapting; they’re transforming the way they operate.
Here are just a few HappyCo partners who put this into action:
GoldOller unlocked the capacity of a full-time asset manager—without increasing headcount.
“We’re saving around 720 hours of senior management time while producing a more professional end result.”
— Leisl Spurlin, Senior Regional Manager
Maxus Properties launched its entire portfolio in just one week.
“Compared to other software programs, HappyCo was very, very easy to implement.”
— Alex Cuenca, Director of Asset Performance
Blanton Turner has turned asset strategy into profitability.
“The more we spend time on our physical assets and the analysis of what the buildings need and the residents want, the more profitable our projects are.”
— Heidi Turner, Principal & Cofounder
Adopting software is one thing. Harnessing an operational mindshift with partners who have your back is where the real gains are at.
Three Strategic Moves You Can Make Today
1. Prevent emergencies instead of paying for them
Emergency repairs can cost up to 3x more than scheduled work.
Our predictive workflows help avoid 75% of failures and reduce maintenance costs by 25–30%, resulting in annual savings of up to $ 100,000 per 1,000 units.
2. Prepare units before move-out, not after
Every vacant day costs between $50 and $ 100.
With a 30% turnover rate on a 10,000-unit portfolio, proactive turn planning can result in millions of dollars in NOI. HappyCo makes it easy to scope unit needs early and stay ahead.
3. Capitalize on real CapEx data, not gut instinct
Property teams spending $50–100M annually on improvements are ditching guesswork.
Condition-based planning avoids emergency replacements that cost 40–60% more, and delivers better portfolio-wide ROI. That’s what our platform enables.
Things Are Looking Bright (Yes, Even in Budget Season)
Teams are making system-level shifts that show up where it counts: in budget models, forecasts, and year-ahead planning.
At HappyCo, we’re helping operators go even further with:
Results you can see on the bottom line
HappyCo has reduced disputes by over 80% and increased recovery by 17% through improved documentation alone. That’s operational confidence — and dollars reclaimed.
AI that surfaces what matters in seconds
With JoyAI, gain portfolio and property-level insights – built directly into workflows – to budget with precision, not guesswork. It’s faster answers from smart data that talks back.
One platform balancing human and artificial intelligence
Inspections, turns, work orders, CapEx, analytics — all in one intelligent platform, plus a skilled human task force that can handle the tasks AI automatically routes.
Fewer tools, less friction, more execution, happier teams and residents – all met with the ability to do more with less and a better bottom line.
We Want to Hear From You
As you plan for 2026:
Are you just managing pressure, or turning it into performance?
At HappyCo, we’re here to help you seize the moment — and the 2026 budget planning season — to build faster, stay focused, and scale what matters.
Let’s connect. Let’s build what’s next.
Jesus Machuca Jr. is an experienced revenue executive with over 20 years of success leading sales, go-to-market strategy, and operational growth in SaaS and tech. At HappyCo, he unifies sales, marketing, and customer success to drive smart, scalable growth.
He’s known for turning new ideas into real results, building product lines from scratch, streamlining teams, and helping companies reach profitability. With a hands-on leadership style and a focus on performance, Jesus builds high-impact teams and revenue engines that last.
Jesus Machuca Jr. is an experienced revenue executive with over 20 years of success leading sales, go-to-market strategy, and operational growth in SaaS and tech. At HappyCo, he unifies sales, marketing, and customer success to drive smart, scalable growth.
He’s known for turning new ideas into real results, building product lines from scratch, streamlining teams, and helping companies reach profitability. With a hands-on leadership style and a focus on performance, Jesus builds high-impact teams and revenue engines that last.