Powered by MOMENTUM MEDIA
realestatebusiness logo
Powered by MOMENTUM MEDIA
Subscribe to our newsletter SIGN UP

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

news image

The ‘boss’ business model and why it no longer works

April 02, 2020Grace Ormsby

For collaborative leaders and valued teams, it’s always a good time to be in real estate, according to a network chief. ...

REB_top100agents
top 10 agents

1

ALEXANDER PHILIPS

Year of Experience: 17

Support Staff: 5

Residential Properties Sold: 208

Total Value of Residential Properties Sold:

$614,864,500

VIEW COMPLETE REPORT

Have you experienced sexual harassment or bullying in the workplace?

Yes, I've been the victim of sexual harassment
Yes, I've been the victim of workplace bullying
No
TECH MARKETING SALES BETTER BUSINESS PROPERTY MANAGEMENT
computer 850x400 How agents can best utilise proptech

With digital disruption showing no signs of slowing down, agents are being encouraged to utilise technology, rather than ...

searching the internet reb Real estate boss shares marketing tactics

The owner and CEO of an elite Queensland agency has revealed how being conscious of both print and digital marketing has ...

Kylie Davis reb 6 predictions for real estate in 2020

It’s the start not just of a new year, but a new decade. With the rise of proptech and so much technology enabling cha ...

Proptech Association of Australia reb New proptech association hits Aussie market

A new association has been rolled out which seeks to raise awareness of proptech within Australia’s real estate sector ...

Louis Christopher WEB How to analyse property data

Property data is undeniably a critical tool, but how does one navigate the abundance of information available without p ...

Graeme Hyde WEB What makes a high-performing office?

With 25 years of industry experience under his belt, Graeme Hyde understands the formula for a successful real estate of ...

Tara Bradbury WEB A completely paperless approach to property manage ...

Tara Bradbury launched Active Agents last year as a means of presenting an entirely paperless property management operat ...

James Lampropolous WEB A project marketer’s take on being a successful ...

As REB’s top-ranked project marketing agent with over 20 years of industry experience, James Lampropoulos advocates fo ...

Louis Christopher WEB How to analyse property data

Property data is undeniably a critical tool, but how does one navigate the abundance of information available without p ...

Graeme Hyde WEB What makes a high-performing office?

With 25 years of industry experience under his belt, Graeme Hyde understands the formula for a successful real estate of ...

Tara Bradbury WEB A completely paperless approach to property manage ...

Tara Bradbury launched Active Agents last year as a means of presenting an entirely paperless property management operat ...

James Lampropolous WEB A project marketer’s take on being a successful ...

As REB’s top-ranked project marketing agent with over 20 years of industry experience, James Lampropoulos advocates fo ...

Positive Mindset in Business reb The impact of a positive mindset in the business o ...

Let’s be real: running a business or an office is stressful. Here’s a quick rundown of some insights on keeping yo ...

Cameron Black reb Lies and statistics: Has the property market actua ...

It seems like there has been a huge change of sentiment in the last month as a confluence of factors has come together t ...

short 850x400 june2019 How to get that big win

Getting a big win is more than just sales. It involves strategic planning and setting goals, according to real estate bu ...

MeganSmith 050719 cropped Ray White’s Megan Smith sells $14m property in B ...

Ray White Balmain sales dynamo Megan Smith has sold one of the most expensive houses in Australia this year, with the pr ...

forrent house reb 1 Eviction freeze only fixes one side of rental equa ...

The government is being urged to implement immediate rental subsidies for tenants bearing the brunt of COVID-19. ...

Peter Koulizos reb Wage subsidy to ‘relieve financial pressure’ f ...

The federal government’s recent JobKeeper wage subsidy is set to significantly help relieve rental and mortgage stress ...

Bradley Beer reb New online calculator to ‘revolutionise’ prope ...

In what’s being described as a market-first, BMT Tax Depreciation has launched a new online calculator which it says w ...

Scott ONeill reb Strategies to help your tenant if they are affecte ...

Many businesses over the next few months will be forced to shut their doors to slow the spread of COVID-19. The importan ...

EVENTS
REB Awards 2018 logo 01 1
Real Estate Business Awards 2020

The REB Awards is the benchmark of success in the Australian real estate industry. It reflects not only the business astuteness of the country’s leading real estate operators and networks..

Learn more >
FROM THE WEB
Recommended by Spike Native Network

Why we’ll keep delivering for our communities in the face of COVID-19

alex

As Australia tries to keep pace with a rapidly changing business and social landscape in the wake of COVID-19, Momentum Media is leading the way delivering essential content to our communities, writes Alex Whitlock, director of REB.

Read more
Do you have an industry update?
rpm logo latest

The '5 Ss' of accelerated growth

19 August 2014 Bob Walters

To achieve sustained growth of your property management business (not just grow the number of properties) you should live by the 'Rule of the 5 Ss' in property management.

 

1. Structure

- Is your staffing structure going to cope with accelerated growth?

Advertisement
Advertisement

2. Systems

- Is the rent roll running like a well-oiled machine?

3. Strategy

- Is there a clearly defined set of goals, dates and strategies?

4. Service

- Do you provide a different or better service than your competitors?

5. Standards

- Is the performance of the rent roll and the individual team members accurately and regularly measured?

 

Structure

What is the best staffing structure to have?

Answer

There is no BEST or RIGHT staffing structure. There have been differing opinions for decades as to whether the most efficient structure should be pyramid, portfolio or some combination of the two.

Some experts believe the best staffing model is to employ property managers who have the total responsibility for all aspects of the leasing and management of clients' properties, including a responsibility for growing the rent roll.

This model has some attraction due to the 'holistic' nature of the property manager's role and the fact there would be a wide variety of duties undertaken by the property manager.

However, it is my view, that leasing and rent roll growth are now specialist areas that require different types of skills to that normally required of property managers. In a nutshell, today's property manager is primarily an administrator, while leasing and business development require a high level of SALES skills.

 

Systems

Accelerated growth without efficient systemisation is like trying to win the Sydney to Hobart Yacht Race in a row boat without a map - you'll sink not long after you start.

To claim any sort of efficient systemisation of your rent roll, you would need to be able to answer "yes" to all of the following questions:

1.     Do you have an up-to-date, written "procedure" for every repetitive process in your office?

2.     Do you have corresponding office "policies" for every procedure in your office?

3.     Do you have a matching set of checklists for each procedure in your office?

4.     Do you have a full set of standard letters/templates for landlords and tenants?

5.     Do you have a detailed set of job descriptions with key performance indicators for the property management team?

6.     Is there a set of checks and balances in place measuring individual performance and to ensure consistency of service in property management?

If you answer "no" to any or all of these questions, then getting your rent roll efficiently systemised should be your FIRST project when you finish reading this article.

 

Strategy

What's your plan for property management for the next 3, 6 and 12 months? Once again, using the Sydney to Hobart Yacht Race analogy, would you set off in the race without a plan, a map and a compass?

Sadly, most property management offices I have been into attempt to grow their businesses without a documented strategy. And they wonder why their businesses don't go anywhere, except around in circles.

You do not need to be an MBA to develop a plan for a property management business. Nor do you need some complicated multi-page business plan with SWOT analyses and the like. A one-page business plan with bullet points is just fine.

However, what you plan should have is at least the following:

•       Your goals

•       When you will achieve them

•       How you will achieve them

 

Service

What do landlord clients find frustrating about dealing with property management businesses?

•       Lack of communication

•       Errors in rent statements

•       Unauthorised maintenance

•       Unnecessary delays in leasing vacant properties

•       Phone calls/emails not returned

•       Staff turnover

•       Dealing with too many people in the management process

•       And the list goes on....

What do tenants find frustrating about dealing with property management businesses?

•       Lack of communication

•       Discourtesy

•       Unnecessary delays in maintenance

•       Errors in accounting for rents received

•       Phone calls/emails not returned

•       Staff turnover

•       Dealing with too many people in the management process

•       And the list goes on....

Recognise a trend here?

When a landlord or tenant complains about the service provided by your agency, what aspect of your service is it most frequently about? Communication.

So, you need to understand what landlords' and tenants' "hot buttons" are if you are going set the foundations of accelerated rent roll growth by providing world-class service.

There are four main things a client wants to know about your service:

1.     What are the benefits to me?

2.     How much will it cost me?

3.     When can I get it?

4.     Do you really care about me?

 

Standards

There are two types of standards that are critically important in the ability of an agency to accelerate growth in property management:

1.     Customer service standards

2.     Personal performance standards (key performance indicators)

Customer service standards

In the past, there have been perceptions by both landlords and tenants that the quality of service delivery in property management has been substandard or inconsistent. The best way to overcome this perception is through the development of a detailed set of customer service "standards" or benchmarks.

The purpose in the development of customer service standards is twofold:

1.     To establish a set of minimum service delivery levels. In other words, everyone in the property management team agrees to, and is required to provide a level of service not less than the established service standards.

2.     To provide agencies that use and abide by these service standards, with an opportunity to attract more new business compared with agencies that have no established service standards.

In considering whether to implement these service standards, it is important for you ensure you have the willingness of all property management team members to take "ownership" of them and abide by them.

The '5 Ss' of accelerated growth
BobWalters
lawyersweekly logo
FROM THE WEB
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast

Why we’ll keep delivering for our communities in the face of COVID-19

alex

As Australia tries to keep pace with a rapidly changing business and social landscape in the wake of COVID-19, Momentum Media is leading the way delivering essential content to our communities, writes Alex Whitlock, director of REB.

Read more
Do you have an industry update?
REAL ESTATE BUSINESS NEWSLETTER
Ensure you never miss an issue of the Real Estate Business Bulletin. Enter your email to receive the latest real estate advice and tools to help you sell.