Property managers who hone their financial knowledge give themselves the best chance to win more business, according to one agency boss.
Professionals Lithgow licensee Tina Case said her background in finance has made her a better property management professional.
“I had a landlord with a fee question the other day and I was able to easily show her that while it was only a 1 per cent cut for her, it was actually an 18 per cent cut for me,” she said.
“Financial know-how is absolutely imperative. You can stand behind your fees a lot better when landlords start talking statistics and you can answer straight back."
Ms Case told Residential Property Manager that knowing monthly statistics can give PMs a business edge.
“If you can say to someone, ‘My vacancy rate is x or my arrears rate is y – what did the other agency that you’re talking to say theirs was?’, you will sound competent and impressive.
“I use those stats a lot because I know not many others are doing it, and so stats can be used to win business.”
According to Ms Case, clients feel more confident when PMs are able to answer their financial questions. “Knowledge in finance gives you power,” she added.
Ms Case said that one of the best things that helped her build her financial knowledge was the trust accounting lessons she did during her licence course.
"I think new property managers aren’t involved in trust accounting because it’s left to more senior people, but it was really helpful for me when I started my licence to understand that, especially for those not working in trust accounting who might find it daunting.”
Ms Case said PMs should look into trust accounting courses to better understand their portfolios and address any financial concerns their landlords may have.