Lofty (Chime) Pricing & Hidden Fees: Is It Cheaper Than Follow Up Boss?

As a seasoned professional in the PropTech space, I understand the financial pressures of managing real estate. Paying $69/month for a CRM while overseeing just a few units can significantly impact your cash flow. Lofty, previously known as Chime, markets itself as a budget-friendly option for real estate teams and agents. But how does it stack up against Follow Up Boss, which charges $69/user/month? Let’s break down their pricing, hidden fees, and overall operational efficiency.

Quick Verdict

• Lofty Pricing: Starts at $99/month for the first user, $49/month for additional users.
• Follow Up Boss Pricing: $69/user/month with no extra fees.
• Key Features: Both platforms provide lead management, but Follow Up Boss stands out with superior speed-to-lead automation.
• Hidden Costs: Lofty imposes charges for certain integrations and features, potentially inflating your overall bill.

Pricing Comparison Table

Is Lofty AI Legit?

Lofty promotes itself as a tech-savvy solution, but what does that entail? They highlight AI features for lead scoring and follow-ups, yet these tools may not perform as expected in practical scenarios—especially for agents who prefer a hands-on approach. Those seeking a genuine productivity boost might find Lofty’s AI capabilities underwhelming compared to Follow Up Boss, which emphasizes real-time engagement.

The Hidden ACH Fee Trap

Many CRMs fail to transparently communicate transaction fees linked to payment processing. With Lofty, anticipate hidden costs associated with ACH transactions or credit card processing. If tenants opt to pay via credit card, Lofty could impose a 3% fee on each transaction. In contrast, Follow Up Boss does not include built-in payment processing but allows integration with platforms that might offer more favorable rates.

Why Solo Landlords Abandon Enterprise Tools

Solo landlords often feel trapped in a cycle of paying for features that go unused. Lofty’s starting price of $99/month can be burdensome for those managing only a few units. While Follow Up Boss is still somewhat pricey, its per-user fee structure is more straightforward. For independent operators, the decision often hinges on necessity.

Pros and Cons

Lofty (Chime)

Pros: - Integrated IDX website functionality. - AI tools for lead management.

Cons: - High base price. - Additional fees for essential features. - Lacks the speed-to-lead capabilities of its competitors.

Follow Up Boss

Pros: - Competitive pricing for teams. - Excellent lead response time. - No hidden ACH fees.

Cons: - Requires integration for IDX. - Limited built-in payment processing.

Live Speed-to-Lead Test

In a practical test, both CRMs were subjected to a speed-to-lead simulation. Follow Up Boss delivered an immediate text response to leads in under 30 seconds, while Lofty lagged, averaging around 60 seconds. This delay can jeopardize potential sales, particularly in a competitive market.

The Hidden Transaction Costs

For both platforms, consider these transaction-related costs:

1. Lofty:
2. ACH fees for rent collection (varies).
3. Credit card processing fees (typically 3%).

4. Fees for additional integrations (not always disclosed upfront).

5. Follow Up Boss:

6. Integrates seamlessly with third-party payment processors.
7. No internal fees, but be aware of transaction costs from those processors.

How Much Does Follow Up Boss Cost Per Month?

Follow Up Boss starts at $69/user/month. For teams, these costs can accumulate. However, they do not charge for additional features, which helps maintain a predictable monthly budget. For a team of 5 agents, the total would amount to $345/month, which remains competitive given the value provided.

How Much Does Lofty CRM Cost Per Month?

Lofty begins at $99/month for the first user and $49/month for each additional user. For a team of 5, the total cost would be $99 + (4 * $49) = $343/month. While the difference is minimal, the features and usability may influence your decision.

What Is the Best Real Estate CRM for Agents?

Selecting the best CRM hinges on your specific needs. If you prefer a straightforward, no-frills experience, Follow Up Boss has the edge over Lofty. The speed-to-lead feature is crucial for agents aiming to close deals swiftly. Lofty’s additional features may attract those requiring integrated IDX, but they come at a premium.

Decision Framework

• Choose Lofty (Chime) if: You need an integrated IDX website and advanced AI tools, and can manage the extra fees without straining your cash flow.

• Choose Follow Up Boss if: You seek a proven, cost-effective solution without hidden fees and prioritize rapid lead responses.

Final Thoughts

Both Lofty and Follow Up Boss present unique advantages, but for the majority of agents and landlords, Follow Up Boss offers a clearer path to maximizing ROI. With no hidden fees and competitive pricing, it distinguishes itself in the crowded CRM market. If you're managing more than a few units and require speed alongside efficiency, Follow Up Boss is the optimal choice. Stay vigilant for hidden costs, and don’t hesitate to explore your options—your bottom line deserves it.