ELITE PM Issue 14 Oct Nov 2017

HOW SELFDRIVING CARS WILL CHANGE PROPERTY MANAGEMENT

LEARN FROM THE BEST #14 OCT-NOV 2017

MEET THE OFFICE GENIUS FROM ACORNS TO OAK TREES

CVS2BVS A NEW OPERATING SYSTEM FOR YOUR BRAIN

IS TECHNOLOGY LEAVING YOUR TEAM BEHIND? THE FUTURE OF WORK

THE THIRD DIMENSION CUSHLA SYMONS AND JUSTIN MILLER

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Contents Regulars 006 EDITOR’S NOTE Sarah Bell 010 READER PROFILE Bianca Birnbauer 012 WATERCOOLER Catch up on what you may have missed

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020 BD MASTERY Tara Bradbury 021 REALITY BYTES Alister Maple-Brown 022 PROPERTY MANAGEMENT MENTOR Natalie Hastings 024 GAMECHANGER Jo-Anne Oliveri 040 THE LAST WORD Fiona Blayney

Everyone’s talking about 014 THE FUTURE OF WORK with Aimee Engelmann 015 COMING READY ...OR NOT? with Lee Bailie

First Person 016 IS TECHNOLOGY LEAVING YOUR TEAM BEHIND? Simone Files

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018 PERSONAL SAFETY: IT’S OK TO WALK AWAY Heidi Walkinshaw

Cover Story 026 THE THIRD DIMENSION Cushla Symons and Justin Miller

Features 030 HOW SELF-DRIVING CARS WILL CHANGE PROPERTY MANAGEMENT Jason Turnbull 032 CVS2BVS: A NEW OPERATING SYSTEM FOR YOUR BRAIN Dr. Nic Lucas 034 MEET THE NEW OFFICE GENIUS FROM ROCKEND Sarah Bell 036 DOCUMENTS AND DETAILS Debbie Palmer

36 4 ELITE PROPERTY MANAGER • OCT-NOV 2017

038 BUSINESS CASUAL OR CASUAL BUSINESS? Sandra Larkin

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ISSUE 14 OCT-NOV 2017 | eliteagent.com.au/epm SARAH BELL EPM Editor sarah@eliteagent.com.au SAMANTHA MCLEAN Managing Editor samantha@eliteagent.com.au

MARK EDWARDS Publisher | Commercial Partnerships mark@eliteagent.com.au

SHANTELLE ISAAKS Marketing Assistant | Producer shantelle@eliteagent.com.au

FEATURE WRITERS Sarah Bell, Shantelle Isaaks

JILL BONIFACE Sub-Editor jill@eliteagent.com.au TIM DUNK Videographer | Editor tim@eliteagent.com.au

CHORUS DESIGN Art Direction | Design marc@chorusdesign.com COVER PHOTOGRAPHY Melissa Belanic | Top Snap

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(a subsidiary of A Bit of This Publishing Pty Ltd) ACN 169 805 921 Postal Address: Suite 904, 121 Walker Street North Sydney NSW 2060 Telephone +61 2 8854 6123 Registered by Australia Post/Print Post 100020180 EDITORIAL SUBMISSIONS The publisher welcomes editorial submissions from individuals and organisations within the real estate profession. The publisher reserves the right to edit, modify, reject or contribute to the content of the material provided.

EDITORIAL DISCLAIMER: Some opinions expressed in EPM Magazine are not necessarily those of its staff or contributing editors. Those opinions are reproduced with no guarantee of accuracy although EPM Magazine endeavours to ensure those opinions and comments are factual.

Our subscriber list may sometimes be made available to relevant brands who might be of interest to our readers and from time to time we may be in touch to inform you of new Elite Agent products and services. Please visit eliteagent.com.au/privacy for details on how we collect and use your personal information. Please email editor@eliteagent.com. au if you would rather not receive these communications. © Elite Agent Magazine 2017. All rights reserved.

6 ELITE PROPERTY MANAGER • OCT-NOV 2017

EDITOR’S NOTE SARAH BELL

W WELCOME TO the technology edition of EPM. I’m not sure that technology and I are talking right now, not civilly anyway, even though we had a beautiful thing going for a long time. I’ve broken up with a lot of my tech lately because, like any relationship demise, it just became too much work.

Let me break down what went wrong in our relationship.

My tech started to constantly nag me. Over-notified of all things across all time zones it became exhausting, and I started wondering if I owned a phone or my phone owned me. Like our cave-dwelling ancestors learned to tune into the sounds of predators, I have an acute response to the iPhone notification sound.

Like mothers can tell their own child’s cry from others...

I think I’m nearly there with the particular pitch of my

notification beep - some sonar filter of the distance between my ear and hand or handbag.

‘I ain’t saying she a gold digger’, but my tech has started to become quite greedy too. Take YouTube.

Gave the milk for away for free for so long and now with YouTube Red, I am expected to rent the cow at $14.99 a month. Those ad-free cat videos though...

My tech also got uncomfortably possessive and controlling. Whether I was at the park with my kids, at coffee with a friend, trying to work... it was there, jealous and wanting my attention. It escalated too. Texting while driving: we all know that’s a deal breaker, but you do it once because the world can’t wait and it is a slippery slope to a pretty dangerous habit.

My tech had also let itself go.

I’VE BROKEN UP WITH A LOT OF MY TECH LATELY BECAUSE, LIKE ANY RELATIONSHIP DEMISE, IT JUST BECAME TOO MUCH WORK.

Looking through my iPhone apps, desktop bookmarks, and unread emails it was clear that things had become bloated, clunky, and a little too comfortable.

So, I was glad to meet Cushla and Justin for our cover story for this issue, who reintroduced me to the importance of having a strategic intention underpinning the adoption of technology and the importance of keeping it working as a utility.

I’m also excited to introduce you to Dr Nic Lucas this issue. Nic has a specialism in neuroscience and generalism at being awesome. He talks about the good/bad judgment operating system in our brains and what we can do about a software upgrade.

The CVS2BVS update will mean that conflict, rejection, and judgment doesn’t sting as much as a rose ceremony.

(Confession: I don’t even watch The Bachelor - I know,

I’m a monster.)

Oh and while I’m making confessions: there is someone else. I’ve met someone recently, and I want to explore a new relationship.

Her name is Rita, she is a robot and you can meet her in an Elite Agent feature article this issue titled Automation Nation. Rita has made me realise how hard I have been working on my relationship with technology and that while all relationships

OH AND WHILE I’M MAKING CONFESSIONS: THERE IS SOMEONE ELSE. I’VE MET SOMEONE RECENTLY, AND I WANT TO EXPLORE A NEW RELATIONSHIP.

need work - it needn’t be hard work. Rita could replace umpteen different middleware applications and the manual processes needed for me to integrate across the business, personal, social, financial and experiential dimensions of my life.

A little older and wiser now, I’m starting to look at what technology can really offer me from a holistic point of view.

No longer satisfied with one strikingly good feature, tech needs to get on with the rest of my world in order to be an asset. The good news is, I think tech gets that too. Reset and rekindle the romance.

epm.eliteagent.com.au 7

NIC LUCAS DIRECTOR, SCALEDX AND CO-FOUNDER, KEWLIFY Where are you from originally and where do you call home now?

I’m from Sydney; I moved around a lot and then settled back by the beach in Sydney.

Who or what inspires you at the moment?

My wife inspires me. After a health scare, she took up natural bodybuilding and has now competed at a world championship event. Her determination is epic.

What’s the most important project you are working on right now?

I’ve just launched a nutritional supplement, education and training company called Kewlify. It’s the most audacious project I’ve worked on and I’m loving it.

Trend to watch in the industry?

Omnichannel behavioural remarketing.

In other words, tailored marketing

messages delivered across multiple devices as triggered by consumer behaviours. Incredibly cool marketing.

Favourite quote or words to live by?

When an honest person who is mistaken hears the truth, they either cease to be mistaken or cease to be honest.

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CONTRIBUTORS SIMONE FILES CO-FOUNDER AND PRINCIPAL, BLACKBIRD AND FINCH Where are you from originally and where do you call home now?

I’m a born and bred Queenslander. I spent 25 years in Brisbane but moved to Toowoomba in 2004, so I see myself as a local Toowoomba girl now.

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Who or what inspires you at the moment?

My family inspire me. Starting a new agency means spending considerably less time with them until we are established in the market, so I treasure the time I do get to spend with them and it pushes me to keep going.

What’s the most important project you are working on right now?

Building our six-month-old boutique agency and writing my book.

Trend to watch in the industry?

Niche agencies will be the trend to watch. Kyle Golding from The Golding Group predicts in business “success will come from further focusing on smaller, very specific audiences”. I can see this being adopted in real estate.

Favourite quote or words to live by?

I have two: the one that I have been saying for years is ‘Any decision is better than no decision at all,’ but my new one is ‘prolific beats perfect’.

8 ELITE PROPERTY MANAGER • OCT-NOV 2017

DEBBIE PALMER MANAGING DIRECTOR, PPM GROUP Where are you from originally and where do you call home now?

Originally, I’m from Brisbane. I was fortunate to have experienced a threeyear journey overseas at a young age and fell into property management in London. Home now is the Gold Coast; I just love the weather and casual, laidback lifestyle.

Who or what inspires you at the moment?

As clichéd as it sounds, everyone I come in contact with inspires me. It could be a friend, kids, clients, principals, property managers, coaches or trainers. Everyone has a story, a message, a triumph or a struggle that inspires me every week.

What’s the most important project you are working on right now?

My list is always endless and forever growing. I’m probably a year behind in my business development goals as I think too big and expect too much of myself.

The most important project I’m working on at the moment is the rebranding of my national company, the PPM Group.

Trend to watch in the industry?

Disruption and change! Many think change is a buzzword, but it’s happening at such a rapid rate on every level. There’s going to come a day (it’s happening now) where we have a real ‘Uber’ disruption… We need to understand, embrace and prepare for the change now.

Favourite quote or words to live by?

Whatever we focus on will become our idea of reality. If we want to achieve what we truly want we must direct our focus and look for opportunities every day.

36

38 SANDRA LARKIN BUSINESS COACH AND MENTOR Where are you from originally and where do you call home now?

I’m originally from North Queensland, from a large Italian/Maltese family in the sugarcane industry. ‘You can take the girl out of the country, but you can’t take the country out of the girl,’ I always say. Now living in the vibrant, trendy James St of Brisbane.

Who or what inspires you at the moment?

The people I mentor inspire me when I see their vulnerability and conviction to make change in their lives, and the authenticity that comes with it inspires me to keep doing what I do.

What’s the most important project you are working on right now?

I’m speaking at the First National Property Management Conference in Sydney soon and very excited about sharing my message ‘Sustaining Health & Wellbeing in Property Management’ to an industry that so needs it. The message is all about having a better relationship with stress in our lives as it’s always going to be there!

Trend to watch in the industry?

I’m doing a lot around Emotional Intelligence at the moment and believe that the trend for organisations in the future will be to increase the EQ levels in their businesses. The current EQ levels are decreasing and we need to start working a higher percentage on the people over the business to see better culture, higher staff retention and increased performance. Emotions drive people and people drive performance.

Favourite quote or words to live by?

Well, it is more of a prayer than a quote, but many people live by it as a quote… American theologian Reinhold Niebuhr. ‘God, grant me the serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to know the difference.’

NOTHING FAKE ABOUT OUR NEWS Our new podcast “Elevate” takes you behind the scenes at Elite Agent with additional news analysis, exclusive interviews, extended Transform coaching and more.

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READER PROFILE

PAPERLESS PROPERTY MANAGEMENT Bianca Birnbauer moved into property management nine years ago and now works as a Senior BDM at Noel Jones in Victoria, where she juggles a multitude of tasks and enjoys (almost) every minute.

Tell us a bit about yourself and your role at Noel Jones.

I have been with Noel Jones now for just over four years. My position within the property management department involves numerous jobs, but my main role is Senior Business Development plus overseeing the day-to-day management of the department. I also manage a small portfolio.

Who or what inspires you?

The business owners – they exceed at their roles and vision for the office, have good work/life balances and are overall really nice guys.

In your ‘briefcase’ right now is…

We recently became a paperless office and are currently moving our database from server-based to cloudbased, so the ‘briefcase’

What motivated you to get into real estate or property management?

I originally got into real estate as the opportunity arose while I was at TAFE studying public relations. I started on reception and would help the property manager with admin tasks. From there I moved into property management and nine years on I still love it.

What is the market like in your area right now?

We work and live in a very mixed demographic of tenants: families, couples, singles and students. In our pocket we find that houses and units always lease within a couple of weeks to quality tenants at premium rental amounts. Generally we have 25+ open for inspections on a Saturday, with over 100 groups always attending.

10 ELITE PROPERTY MANAGER • OCT-NOV 2017

doesn’t exist! The iPad is now the ‘briefcase’; everything from new business listing kits, routine inspections, landlord and tenant contact details and so on is available on iPad or iPhone.

we all communicate via this program • Wunderlist – any notes or tasks that need to be completed get added and actioned from here.

Something (or someone) you couldn’t live without?

My other half, James – he supports, encourages and motivates me. He is a very, very patient man.

What do you enjoy most about Elite Agent Magazine?

It is all relevant, from technology suggestions to people’s stories.

I can relate to it all.

What advice would you give someone starting out in property management?

Don’t take it personally; you are the main point of contact for landlords and tenants and have to deal with some difficult conversations and situations. Just remember it isn’t a reflection of you and to remain professional no matter what.

What apps do you use most at the moment on your iPhone or iPad? • PropertyMe – our new tenancy database • Slack – no internal emails;

Any words to live by?

Treat people how you want to be treated – this isn’t just when dealing with clients but also interacting with people within the office. ■

We recently became a paperless office and are currently moving our database from server-based to cloud-based, so the ‘briefcase’ doesn’t exist!

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THE WATER COOLER

D

Our daily newsletter #THEBRIEF brings you the latest real estate news, tech and marketing tips straight up every day.

In case you’ve missed anything, here are some of this month’s trending stories. Subscribe to #THEBRIEF eliteagent.com.au/subscribe.

SHOULD I STAY OR SHOULD I GO NOW?

Trainer and consultant Michael Furlong believes the turnover rate of property managers is at crisis level, and that many people may be moving for the wrong reasons. If you find yourself wondering which shade of green the grass might be on the other side of the fence, here are Michael’s ‘dealbreakers’ that indicate that it might be time to go: 1. If the principal isn’t involved in property management at some level and the department lacks the support of leadership 2. If the department lacks systems and procedures to support the work of the team 3. If the agency doesn’t treat landlords and tenants equally 4. If there is no career pathway for property managers to develop and progress 5. If internal risk and compliance policies are not in focus.

“The industry needs to see property management as a profession and not just a job, which can only be achieved if principals start to invest in their staff training and career development,” said Furlong.

NCAT missing its teeth An appeal case in NSW, completely unrelated to residential tenancies, has had the bizarre consequence of preventing the Tribunal from making orders to resolve tenancy disputes where one of the parties is located outside of NSW. It is an issue restricted to NSW because of the way that the NCAT is structured.

“A resolution can be achieved in full or part by replicating legislation in other states where the problems created by the NSW legislation does not exist,” said John Cunningham, President of the REINSW. “Instead, the Government is sitting on its hands waiting for a decision from the High Court...The High Court is a very slow-moving creature, so it could take until the end of the year for the matter to be heard. Meanwhile, it exposes both tenants and landlords to additional issues other than the original dispute. Importantly, the High Court may agree with the NSW Court of Appeal so the problem in these circumstances will continue.”

12 ELITE PROPERTY MANAGER • OCT-NOV 2017

TELL YOUR TENANTS IT’S BACK IN STYLE If you have tenants complaining that the magnolia-coloured paint in their rental property needs updating, you can let them know that they may actually be on the cutting edge of style and sophistication.

Dulux announced this month that ‘Heartwood’ was their colour of the year for 2018 and describe it as between a “smoky taupe and dusky mauve”. According to the company, the colour is in line with global trends towards natural, soft neutrals which emphasise balance, connection and community. A nice wave of calm in all the greyish hued rental properties seems like a good thing, no?

PROTECTING YOUR REPUTATION...AND YOUR BUTT When it comes to professional indemnity insurance, there can be a bit of complacency because the ‘risk of something happening’ is small enough for some risk-friendly folks not to worry about.

Despite there being mandatory professional indemnity thresholds in most states, the reality is that we are talking about errors and omissions in service and advice – think for a moment about the value of the transactions we handle in real estate (#milliondollaragent) – and whether a small human error is worth losing your business, your team, your home, and your reputation and standing in the industry and the community.

We are all human and capable of making mistakes, so when you are thinking about risk in your business remember that insurance doesn’t exist for the ‘chance’ that something could go wrong… it exists for how severe the consequences might be when something does go wrong. Severity trumps probability when it comes to insurance.

If you want more information on insurance options for real estate from Bizcover, head to eliteagent.com.au/bizcover.

VISIT ELITEAGENT.COM.AU/CATCHUP FOR FULL VERSIONS OF THESE WATERCOOLER STORIES

Fair trading priorities for NSW are a reminder for everyone Not many people get to say that their work saves lives and for that to not just be hyperbole.

The example of the Grenfell fire in the UK reminds us about the importance of the physical assets we manage and what ‘home’ means for real people who rely on property managers to support a safe home environment for their families.

Although some of these deadlines only apply to NSW, taking the time to self-audit safety and compliance in property management is good practice – and who knows? You could just save a life.

STRATA SCHEME BY-LAWS REVIEW Deadline: 30 November 2017 Owners of community lots to review and update their by-laws

- so send a reminder to your landlords to get involved or offer to complete it using their proxy - being proactive in body corporates is a great way to meet other investors and find new managements. There are model by-laws available but strata schemes can vary greatly.

Although it is one of those things that ‘must be done’, it is a good opportunity to check that the rules of the game are the rules that you want to play.

INTER-AGENCY FIRE SAFETY AND EXTERNAL WALL CLADDING TASKFORCE Deadline: Already underway The Taskforce was established in June this year to develop and implement a coordinated, whole of government policy response to the use and presence of

Pimp My

unsafe building materials. The Taskforce will be working with owners and property managers to manage the impact and support safety in their portfolios.

NEW FIRE SAFETY STANDARDS Deadline: 1 October 2017 New fire safety standards for NSW in relation to inspection and accreditation by a competent fire safety practitioner. The fire safety statement must be completed by a properly accredited person under the new framework.

SHORT TERM LETTINGS OPTION PAPER Deadline: 31 October 2017 The NSW Government Shortterm Lettings Options paper is looking at exploring policy responses for the disruption

Shopfront

of community living caused by the unregulated letting of units through sites like Airbnb.

There are practical issues with unregulated letting (think noise, rubbish, parking and so forth) and government is trying to play catch up to technology here. As a property manager, accommodation rental is your livelihood, so if you have an opinion make sure you have your say where someone is listening.

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epm.eliteagent.com.au 13

EVERYONE IS TALKING ABOUT… What we offer at Beepo is a way to use the technology that exists to help build capacity at a much lower cost.

The cloud has made it ridiculously easy to do business across the globe and off-shoring the administrative tasks of a property manager to a remote team is one of the ways that this technology enables property managers locally to offer greater value to landlords. I think we will see workplaces where the skill set of local workers will be people who are great at managing people remotely and accessing the best and most efficient way to get tasks completed from anywhere else in the world.

Technology has just made it possible to access a global talent pool; they just happen to be sitting at desks in another office. When we recruit our talent in the Philippines, for example, we look for qualifications and we test for skills and competence, including high-level English proficiency. Most of our team have completed all of their school, including university degrees, in English and so they fit easily into Australian businesses.

THE FUTURE OF WORK

WITH THE ERUPTION of technology comes global

opportunities in the form of hiring people to fulfil different functions within your business. Aimee Engelmann of PM outsourcing firm Beepo sat down with EPM Editor Sarah Bell to talk about the future of work – and how to make it work for you.

WHEN WE TALK ABOUT THE FUTURE OF WORK, WHAT DOES THAT MEAN FOR PROPERTY MANAGERS? Consumers are comparing property management services to other purchasing experiences such as online shopping and net banking, so we need to have an efficient technological interface. I think customers also expect that to translate over to their dealing with people at a personal services level. If the same urgency and instant response aren’t felt in the customer service experience, then I think that is when we start seeing brand inconsistency, creating opportunities for competitors, including DIY disruptors, to move in.

I think when we look at service it is rarely a question of caring or commitment from existing people; it becomes a capacity issue. There are some important limitations, such as the length of the work day, the number of properties under management, staff leave and all kinds of day to day administrative and tactical concerns in the complaint management of properties, which may take the property manager away from a ‘service’ priority.

HOW CAN BUSINESSES CREATE MORE CAPACITY TO FOCUS ON CLIENT SERVICE? The old-school solution is to simply hire more people, but that would mean a significant amount of profit is converted to cost. Technology can help with some of the heavy lifting, but it can also create greater expectations and even more work.

14 ELITE PROPERTY MANAGER • OCT-NOV 2017

WILL THE ABILITY TO MANAGE TEAMS REMOTELY BE AN IMPORTANT FUTURE WORK SKILL? Developing countries are excited about developing and exporting their talent, and at Beepo we are excited about the level of talent that we can offer to Australian businesses. An important part of what we do is supporting Australian property managers to build their skills in managing remote teams and accessing the most efficient way to complete activities and tasks so that they can focus on higher order activities.

The feedback that we have from PMs and principals is that the deployment of the remote team to take the lion’s share of the administrative burden is liberating, and they have experienced a sharp increase in job satisfaction across the team. It is fulfilling for us to see some property managers who may be apprehensive at first only to fall back in love with work actually – and aren’t we all supposed to be doing more of what we love? ■ Aimee Engelmann will be speaking at ‘How to Lead a Winning Team in 2018’ on the topic of ‘How to create capacity for growth in your business through offshoring/outsourcing’. For more information and to book tickets visit eliteagent.com.au/win2018.

EVERYONE IS TALKING ABOUT…

COMING READY... OR NOT? THOSE WHO HAVE been early to move onto digital

platforms have had plenty of time to adapt and leverage the benefits of digitisation. However, the clock is ticking as we move closer to mandatory electronic property transactions across Australia

by July 2019. Sarah Bell joined Lee Bailie, General Manager Product and Innovation at InfoTrack, to find out how agents can embrace and adapt to electronic transactions early while gaining a competitive edge.

Under the current legislative framework, all property transactions will only be possible in electronic form by July 2019. What do agents need to do to get ready?

There are still a lot of misconceptions about electronic signatures, but the reality is that they are valid, they are secure, and in the not-too-distant future they will be compulsory. What we normally see when government mandates a change as broad as this is that the few who embrace it early enjoy time and support in making the change, whereas the last-minute rush to go digital before deadline could be unnecessarily stressful.

Prior to the final deadline for paperless transactions, there is an opportunity for agents and businesses to start experimenting and implementing the relevant technology at different parts of the customer journey throughout the process. For example, you could start by using an app for real-time verification of identity requirements. Then you might introduce electronic contracts. Then try adding electronic signing integration. This creates some awareness of the benefits that can be gained at each step.

expectations of an increasingly digital and mobile customer.

Thinking digital is all about efficiency and knowing what your value piece is as an agent. With more than 65 per cent of agents surveyed by InfoTrack agreeing that paperwork is one of the most timeconsuming aspects of the role, it makes sense to become more dollar productive by saving time on administrative tasks.

In 2017, your customers live in a digital world. They catch Uber, they buy insurance online and they book their own travel – all from their smartphones.

Aligning with your customers is good business, but it isn’t just about saving money and creating a better experience for clients. It’s about creating a better experience for the industry by allowing agents to refocus their energy on value pieces, creating a competitive advantage in the agent-to-client service offering.

How can we move agents from paper – to less paper – to paperless?

The ‘How’ of transitioning to digital raises some hesitation, because it is new; change can be a challenge. What agents need to know is that electronic transactions are valid and they are supported by digital infrastructure, which also makes them the most secure way to transact.

If you haven’t heard of InfoTrack, we are a one-stop solution for the ‘How’ to digitise. InfoTrack’s services include electronic signing, verification of identity, contract preparation, electronic searching, e-conveyancing and integration with the PEXA platform for a fully electronic settlement. InfoTrack

The last-minute rush to go digital before deadline could be unnecessarily stressful. can help take the pain out of moving to a paperless platform, ensuring that you are both prepared and competitive as the industry moves towards the 2019 final deadline for digital. ■

If you want to know more about the mandatory electronic property transaction deadlines, or how a move to digitising the property transaction can save you time and help you build a more efficient business, head to eliteagent. com.au/infotrack.

What is the business case for agents to go digital now, instead of waiting for the deadline?

The time and cost savings of moving the transaction to a digital form are clear to government, which is a big part of why electronic transactions are becoming compulsory. However, the move also creates an opportunity for agents to save time, improve service levels and meet the

eliteagent.com.au 15

FIRST PERSON

Simone Files

Is technology leaving your team behind?

THE REAL ESTATE INDUSTRY, in general, is a fast adopter of the

latest and greatest technology. As property managers, if there is an app, a program or piece of hardware that promises to make our life easier, we are willing to give it a go. But what about those being left behind? Simone Files investigates.

The return on investment on technology for an agency owner is generally high; the monthly subscription cost of most apps pay for themselves by decreasing the workload and increasing the number of properties that can be managed by their staff. Isn’t that what technology is supposed to do: enhance our life by offering us greater flexibility, so we can accomplish more and have a better work/life balance? Exactly – that’s why we jump on the technology bandwagon.

But technology may be making us lose sight of what is most important: people.

The real estate industry is based on the premise of serving people; and as property managers, our area of expertise is to facilitate two parties coming to an agreement, ensuring the agreement is in writing, then managing this process through to its conclusion to ensure all parties are fulfilling their obligations.

This might be considered a simplistic view, but I think we sometimes lose sight of what our industry is about – providing service.

The most critical aspect of providing service is communication. We need to provide the stakeholders with answers to the five key questions – who, what, when, why and how. After all, if a tenant and an investor could communicate effectively, would they need us?

AUTOMATION RULES BUT SHOULD IT? The days of having information overload and a

16 ELITE PROPERTY MANAGER • OCT-NOV 2017

screen full of jobs and action items are long gone. Now we have apps with dashboards that let us know when we need to act, instead of being overwhelmed with manual to-do lists.

Software also allows us to handball an issue off to an owner, tradesperson, tenant or another staff member and then it disappears from our screen. We don’t even need to formulate our communication to the

next person as templates are already set up and the system happily sends out reminders on your behalf to whoever needs them.

The level of automation available now is a dream for property managers, streamlining our entire day; but, as with everything in life, there are always advantage and disadvantages. Our adopted technology touches a range of people and we need to consider their needs, not just our own.

MISCOMMUNICATION IS THE PRIMARY SOURCE OF MISGIVING In property management, it is the investors and tenants – everyone needs a roof over their head, a place to work and somewhere to come home to at night. Our clients and customers are aged between 18 and 100+ and come from all walks of life. Predominately, they fall into the generations of the baby boomers, Gen X and the millennials. Some are tech savvy, while others have never even touched a computer.

The cookie-cutter approach to property management treats everyone the same to ensure consistent delivery of service and economies of scale to agency owners.

There is no doubt that software can assist in this method of delivery – but if you talk to an owner they don’t want to be treated the same as everyone else. They believe they are unique, as is their property. Tenants feel this way too and so do our trusted tradespeople.

New managements for an agency fall into one of two categories: properties that haven’t been previously managed or properties that have been transferred from another agency. The latter is an investor frustrated or unhappy with their previous managing

agent. Nine times out of ten, lack of communication or a breakdown in communication plays a major part in an investor’s decision to change managing agents. But if we have software in place that is taking care of this communication for us, then why is this happening?

NOT EVERYONE IS TECH SAVVY As the use of technology becomes more prevalent the workforce needs to adapt,

and this is the case with the considerable number of millennials now working in property management.

Agency owners are hiring millennials and Gen Z, tech-savvy workers who are happy to use the latest app and hardware.

PwC’s report ‘Millennials at work – reshaping the workplace’, indicates that 41 per cent of millennials prefer to communicate electronically at work than face to face, or even over the telephone. The

WE NEED TO CONSIDER HOW OUR CLIENTS PREFER US TO COMMUNICATE WITH THEM, AND HAVE SYSTEMS IN PLACE TO BE ABLE TO CATER FOR DIVERSE NEEDS.

report also says technology is often a catalyst for intergenerational conflict in the workplace, with many millennials feeling held back by outdated working styles.

In property management, this technological conflict extends further than nontech savvy colleagues to also include clients, customers and tradespeople – people who are core to our business. Their needs can differ on so many levels, but their competency with technology is perhaps one area that has a huge divide.

So how as an industry do we cater for such diversity without alienating those who are technophobic or slower on the uptake? We need to encourage software developers to extend their functionality, to make it more

tailorable to an individual’s needs and not just those of the agent or property manager. We need to consider how our clients prefer us to communicate with them, and have systems in place to be able to cater for diverse needs.

Forcing ‘our people’ to adopt too much technology when they are not ready may risk us losing them – losing vast experience from older property managers, losing great tradespeople or, worse still, losing clients, the core of our business. ■

SIMONE FILES is Principal of boutique agency Blackbird and Finch. She has a Bachelor’s Degree in IT and taught Information Technology at Griffith University.

epm.eliteagent.com.au 17

FIRST PERSON

Heidi Walkinshaw

Personal Safety: It’s OK to walk away

WHEN IT COMES to managing teams in property management,

one of the most vital aspects is remembering to keep them safe both in the office and on the road. Heidi Walkinshaw suggests six ways to minimise the inevitable risks.

As I prepare training programs and consult with teams, one topic that is regularly raised is that of the safety of the team members I work with while they are progressing through their daily routine.

I remember my introduction to the industry in what seems a lifetime ago. Back then I was less concerned about my safety in an effort to ensure that we achieved the best result for the client and the business. I can’t help but wonder, as I remember those times of visiting tenants after dark to collect rent or climbing through windows to access properties, how lucky I was that I was never hurt.

Then I wonder how many property managers, even now, still put themselves in a position of vulnerability on a regular basis.

Considering that they can be, in some cases, dealing with volatile personalities and in an

environment where people are in a constant state of hyperawareness, it is important to ensure that they are careful of their own safety and aware of the processes that we have in place to assist them.

So how can we minimise the risk to our teams?

I REMEMBER VISITING TENANTS AFTER DARK TO COLLECT RENT, OR CLIMBING THROUGH WINDOWS TO ACCESS PROPERTIES.

18 ELITE PROPERTY MANAGER • OCT-NOV 2017

COMMUNICATION OF PROCEDURES Are your team aware of procedures and responsibilities around their safety while on site or in the office? Do you have policies for their safety? Some offices have a system of being able to call in with a red key, or a panic button under the desk in cases where there may be a threat.

KEEPING TRACK Make it a requirement for all team members to diarise all inspections so that you are aware of where they are at all times. More importantly, if a team member is conducting their inspections on their way home, they must check in after the inspection to advise that they have left and are okay.

TRAINING IN CONFLICT RESOLUTION Do your team regularly undergo training on conflict resolution? Do they know how to keep a clear head and get out of threatening situations? Regular training will equip them with the tools to identify any potential threats and move themselves out of a position in which they may be vulnerable.

IT’S OKAY TO WALK AWAY Do your team know to trust their instincts, and if they are presented with a situation in which they do not feel safe do they know how to get out? Is it in your procedure to report any violence or threats to police and take those threats seriously?

IMPLEMENT AN APP There are an increasing number of apps in the marketplace available to install on your phones that provide back to base monitoring, check-ins and even panic buttons. This one is an essential if you have your people out on the road and in this age of technology should be a non-negotiable item.

The security of your people should be paramount when it comes to management of your offices. Communicate to them that they must take the utmost care and personal responsibility in their decisions around their safety. ■

TAKE TWO TEAM MEMBERS OR A THIRD PARTY In cases where the situation may be challenging, consider sending two people to an inspection especially if there have been previous incidents.

It is also highly recommended that there is a system in place to note any prior situations, perhaps in your trust accounting software, to advise future property managers.

HEIDI WALKINSHAW has been immersed in property management for over 14 years, dealing in all aspects from leasing to property management, business development and team management. She is now a coach with Real+ and is passionate about system implementation, procedures and team training. For more information visit realplus. com.au.

Business Development Mastery

Tara Bradbury

GROWTH: JUST A PHONE CALL AWAY The future growth of your rent roll is a simple phone call away – but just picking up the phone and ‘chatting’ is not going to do it, as Tara Bradbury explains.

T

he old saying ‘time is money’ is very true when you are working at keeping the relationship strong with your client. If you don’t follow up at least every six months, you are wasting your time in your role as BDM. Always make sure your activities are income-producing and generating money for the business. Networking and

your current rental income return?’

‘What is your plan for expanding your investment portfolio?’

BDMs are salespeople, and some of the best open-ended questions I have picked up along the way have been from the sales teams I have worked with. If you are not already doing it, get involved with your

but they fail to focus on retention. Most tend to think a yearly phone call from one of the office property managers to the landlord is a sufficient retention strategy.

It’s not. In fact, in most cases, the property manager is too busy to make the call, and the landlord misses out on his yearly phone call.

Touching base every six

IF YOU ARE NOT ALREADY DOING IT, GET INVOLVED WITH YOUR SALES TEAM AND BE A PART OF THEIR WEEKLY MEETINGS.

follow-ups are a guaranteed way of building stronger relationships and producing an ongoing income.

You need to be prepared to get out of your comfort zone and take a chance by asking your clients open-ended questions.

Here are some ideas to get you started: ‘How happy are you with our service; is there anything we could improve on?’

‘Who are some friends or family that may be interested in a free property health check?’

‘How satisfied are you with

sales team and be a part of their weekly meetings.

It’s important that BDMs take responsibility for the current landlords as well as those you’ve signed. Delegating to other team members is sometimes a great solution for busy BDMs, but someone needs to be accountable for this important task.

Maintaining the relationship with the landlord is one of the most important aspects of becoming a successful BDM. You should always build long-term relationships with your landlords, as they are entrusting you with their property – a large investment and a very important part of their financial future.

Many BDMs are great lead generators and convertors,

20 ELITE PROPERTY MANAGER • OCT-NOV 2017

months with a positive phone call requesting feedback ensures you maintain your relationship with your landlord, but it also ensures you’re top of mind when they think of real estate in general.

Even if, during one of these calls, you happen get some negative feedback you weren’t expecting, it is still better to have made the call. If you don’t keep in contact with past clients, who will they call when they are at breaking point and dissatisfied with their current service? Who will they recommend to their friends or family when they need help?

Who will they call when they are looking at adding another property to the portfolio?

The future of your property management business is in the

hands of your clients, and if you don’t communicate with them on a regular basis you will watch future leads and prospects walk out the door.

Things to remember when speaking with your clients: • Know what you are going to speak with your client about.

• Make sure you are not distracted and give the client your full attention.

• Before you call, know what your goal is and have a plan in place to achieve it.

• Consider standing and walking around while on the phone. This will help keep you focused on the conversation, and you won’t become sluggish in your chair.

• Be sure to listen. Make sure that when the client is speaking, you are listening and taking in what they are saying.

Too many people, including myself, tend to fall into the trap of thinking ahead to what they are going to say next. If you don’t listen, you may lose an opportunity to close the deal.

The future growth of your rent roll is a simple phone call away. ■

TARA BRADBURY is the Director of the BDM Academy, sharing her business development ideas and strategies with property management BDMs and principals. For more information visit bdmacademy.com.au.

Alister Maple-Brown, CEO, Rockend

Realty Bytes

GREAT EXPECTATIONS It’s true that in this age of consumerism your clients hold more power than ever before.

Whereas once it was enough to provide a good service face to face or over the phone, today’s clients demand that you offer an outstanding experience from start to finish across all touchpoints while allowing for feedback at every step of the process. Alister Maple-Brown discusses the ‘must do’s’ today to keep your customers raving tomorrow.

T

echnology can help you to create the best possible experience for your clients.

Here are a few questions to ask yourself when deciding on the right technology to elevate the client experience and effectively position your business for the future.

1

DOES IT MAKE INFORMATION ACCESSIBLE? You don’t need to control every bit of information that flows to your clients. They shouldn’t need to call or email you every time they want the answer to a simple question.

These days, we’re conditioned by the plethora of online tools we use to expect control over the information we

to be readily accessible, but we want to control its flow.

It’s no different when it comes to real estate. Implementing the right technology can ensure your clients have access to the information they’re after when they need it. From online knowledge bases and information videos to self-serve preferences and user portals, the options are endless.

2

IS IT EASY TO USE? We live in an interconnected world and expect all of our interactions to be seamless, streamlined and easy. If it’s not easy, we quickly lose interest and move on.

Consider Uber. It’s not just an app. It’s an experience – and an easy experience at that.

your car will arrive to stepping out at your destination and knowing that payment is already taken care of, Uber makes the end-to-end experience of catching a ride easy.

When it comes to your clients, how can you ensure that it’s easy for them to interact with you?

3

DOES IT ALLOW FOR FEEDBACK? Gone are the days when we as clients are essentially the silent partner in a transaction. Look at Airbnb.

It’s a community based on

THE SUCCESS OF UBER ISN’T BECAUSE OF ITS SCHMICK APP. IT’S BECAUSE THE ENTIRE INTERACTION IS EASY. receive. Think about Facebook.

We choose the posts we see, the alerts we receive and the people we’re connected with.

We decide what we want to see and when. And whether it’s social media, news feeds or any number of the online suppliers we’re engaged with daily, it’s the same. We want information

Taxi companies have tried to respond to Uber by releasing their own booking apps. But these apps fail. Every time. They fail because they completely miss the point. The success of Uber isn’t because of its schmick app. It’s because the entire interaction is easy. From making a booking and knowing when

trust and the site’s review system is an absolutely vital cog in its success. With the website and app as the only platform for communication between hosts and guests, reviews are heavily relied upon to make rental decisions. And therein lies the value.

Feedback is the glue that

holds the sharing economy together. The overflow impact is that we expect the same opportunity to provide feedback across all our interactions – and that includes real estate.

There’s no excuse for not knowing what your clients think of your agency and the service you provide. Your clients want to know that they can easily provide feedback at every point of their interaction with you.

THE EXPERIENCE COUNTS At a time when ‘disruption’ continues to be a buzzword on everyone’s lips when talking about the real estate industry, you need to focus on the experience you’re providing to clients.

People want to deal with agents who offer a great experience. And agents have a unique opportunity to enhance that experience by bringing a wealth of knowledge about people, property and the market to every real estate transaction. But any sign of a poor experience opens the door for external disruptors to jump in. So what’s the lesson? Creating a positive experience counts. ■ ALISTER MAPLE-BROWN is the CEO of Rockend.

For more information visit rockend.com.au.

epm.eliteagent.com.au 21

Property Management Mentor

Natalie Hastings

ARE THE RICHES IN THE NICHES? With the real estate industry becoming more technology-powered and data-focused, both property management and sales departments are vulnerable to disintermediation.

But, rather than remaining a generalist where most operators are, the answer could be to specialise, as Natalie Hastings explains.

O

ur industry’s past was all about the big-brand dominance of real estate generalists – those one-stop-shops that offered everything from commercial property management to private sales, owners corporation management to holiday letting. The future of real estate is about developing a reputation for excellence in a specific niche.

Your property management department may already have begun the process of specialisation, whether in the form of outsourcing various functions such as condition reports or trust accounting, or splitting the traditional responsibilities of a single person across multiple team members. Perhaps you’re on the cusp of redefining your vision for the next decade of your portfolio development.

Here are some intelligent ways property management departments across Australia have found their niche, future-proofing their businesses while presenting themselves as an expert to their clients.

DIVIDE AND CONQUER Looking for greater efficiency and consistency? Property management departments

are routinely beginning to specialise internally by dividing the traditional role of a property manager into multiple positions.

Rather than expecting one person to have strengths in administration, leasing, marketing and business development, future-focused principals are recruiting specialist BDMs, leasing managers and maintenance specialists to streamline their departments.

Working to an individual’s natural interests and talents

22 ELITE PROPERTY MANAGER • OCT-NOV 2017

can enhance portfolio results and reduce stress, lowering team attrition and offering greater consistency for landlords and tenants. If one team member moves on, key knowledge about your landlords’ assets remains within the business. The property management department model of old asked that managers were all things to all people – in addition to sometimes being cleaners, tradies, marriage counsellors and mediators.

This is not only exhausting

for team members; it’s ultimately inefficient for businesses and their bottom lines too.

BESPOKE SOLUTIONS Landlords and tenants are both becoming more discerning. They want a genuine empathy and connection with the businesses to which they entrust their assets. The generic or ‘big brand’ approach to real estate doesn’t impress in the way it used to; today’s

highly literate clients must be wooed in a more sophisticated way. It’s up to real estate businesses to meet and exceed their clients’ expectations with a connection.

That’s where establishing your agency niche comes to the fore. In a market saturated by real estate same-ness, savvy principals are differentiating their property management departments by choosing

listing only in that area.

Rather than restricting your potential for new business, your specialist status may win you more landlords than ever before!

EMBRACING THE DISRUPTOR Across Australia, nontraditional property management models are erupting, fuelled by sharedeconomy apps. Often led by property managers choosing to freelance, independent

RATHER THAN RESTRICTING YOUR POTENTIAL FOR NEW BUSINESS, YOUR SPECIALIST STATUS MAY WIN YOU MORE LANDLORDS THAN EVER BEFORE. a specialty and sticking to it. Here are some bespoke solutions agencies have successfully adopted: Property genre specialists: Build your reputation based on being an expert in the management of apartments.

Or family homes. Or properties within body corporates. Or brick veneers, Queenslanders or student accommodation. Pick your category and go for gold!

Community specialists: Maybe your property management business does a wonderful job in managing expats’ assets.

Or you’re well-known for managing properties from overseas investors, or specific community groups. Communities love to be acknowledged and understood; focus on building a relationship with a niche audience.

Location specialists: Stake your claim on your property management department’s farm area by focusing on

real estate contractors build businesses around managing Airbnbs for landlords. A highly contentious category of the wider property management community, these businesses won’t be going away anytime soon. How can your agency embrace the shared economy, or divert potential Airbnb landlords away from the app and towards your business?

Entrepreneurship within property management is the way of the future, with agencies specialising across a variety of niches. Technology and outsourcing have levelled the playing field when it comes to winning business and building portfolios. Is it time for your property management department to find its niche? ■

CONTENT MARKETING IS THE NEW BLACK One blog post might be all it takes to attract your next listing. If you are stuck for ideas or lack resources to get consistent in your digital marketing, hire a team that is always full of fresh ideas, and always on time.

TO FIND OUT HOW YOU CAN HAVE ELITE AGENT MAGAZINE’S AWARDWINNING CREATIVE TEAM AS YOUR OWN, CONTACT MARK@ELITEAGENT.COM.AU

NATALIE HASTINGS is the Managing Director of hastings + co. For more information, visit hastingsandco.com.au.

epm.eliteagent.com.au 23

Game Changer

Jo-Anne Oliveri

FROM ACORNS TO OAK TREES If you want to build a better property management business – one that is successful in the future – you must plant some of the seeds today and be prepared to play the long game. Jo-Anne Oliveri has five simple strategies where consistency will grow the size and value of your business in the future.

1

SURROUND YOURSELF WITH THE RIGHT PEOPLE Your path to a successful property management business can be much shorter if you surround yourself with the right people. This means having the right team, mentors and colleagues around you and your business.

Build a team that shares your vision for the future, supports your business goals, aligns with your brand and is committed to helping your business be better.

Finding a mentor is another important part of keeping you and your business on track.

Just like your team, you should find a mentor who aligns with your future goals and vision, and supports you in achieving them. It’s also a good idea to network with successful industry colleagues and others on the path to success.

Learning from these colleagues and having this added support can help make your own business better.

2

CREATE RAVING FANS Your clients are the lifeblood of your property management business, so it makes sense to invest in nurturing and maintaining relationships with them.

To build a better property management business, you must proactively ensure your

YOUR BUSINESS CANNOT SURVIVE TODAY, LET ALONE THRIVE IN THE FUTURE, IF IT IS NOT CONSISTENTLY PRODUCING HELPFUL AND RELEVANT CONTENT.

clients are not simply satisfied with the service they receive from you and your team but are raving fans. To do this, put systems, processes and policies in place to ensure each client receives the best service experience every time. That way you will not just retain these clients; you

24 ELITE PROPERTY MANAGER • OCT-NOV 2017

will create raving fans who refer your agency to others, and continue to do so now and in the future.

3

USE VIDEO TO STAND OUT There’s no denying that technology is changing the way we do business. One of the key advances is video and how it is now readily recordable and viewable on so many digital platforms. This presents a great opportunity to make your property management business better by improving the way you communicate with prospects and clients.

Start using video to get your message across and reach more people. For example, why not change your written e-newsletters, market update reports or rental listings to video format, or even live broadcasts? Video makes for engaging content and, when done well, can help your business stand out.

4

ANSWER YOUR CLIENTS’ QUESTIONS USING CONTENT Your business cannot survive today, let alone thrive in the future, if it is not consistently producing helpful and relevant content. To build a better business by winning and retaining more clients, use content to answer prospects questions.

To do this, list all the questions you and your team get asked most often. Next, plan content around these questions. For example, these could be articles, videos, podcasts, eBooks or social media posts.

This evergreen content adds value to your prospects and clients, helps build relationships and boosts your business’ visibility in Google searches.

5

KNOW THAT SUCCESS MAY NOT COME TODAY, BUT IT WILL COME When it comes to building a better property management business, the most important point to remember is that success may not come straight away, but it will come if you remain committed to your future goals and vision. Be a principal who establishes the foundations for success through proactive planning and long-term strategies. Set business goals for the next three to ten years, and ensure your team shares in this vision.

This is how your property management business can become better so that it thrives now and well into the future. ■ JO-ANNE OLIVERI, CIPS, TRC, is the Founder and Managing Director of PM business solutions company ireviloution intelligence.

For more information visit ireviloution.com.

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COVER STORY

26 ELITE PROPERTY MANAGER • OCT-NOV 2017

CUSHLA SYMONS leads

the cutting-edge property management team at RE/Max Regency on Queensland’s Gold Coast. Sarah Bell caught up with Cushla and Agency Principal Justin Miller to discuss their deliberate and strategic use of technology to create trust with clients and protect against ‘would-be disruptors’.

F

THE THIRD DIMENSION

or Cushla Symons and her team, technology has enabled greater levels of operational efficiency, enhanced customer service and given a competitive edge over those who have not yet embraced it. The implementation of technology has been a deliberate course of action geared towards achieving these outcomes, combined with a healthy dose of restraint against implementing technology for technology’s sake.

The technology agenda at RE/MAX Regency has been spearheaded by principal Justin, whose aviation background provided direct experience of an industry disrupted by automation and technology.

“When I started in aviation I flew a small aircraft with no automation, no autopilot and no GPS; when I left the industry a short seven years later I was flying a jet airliner that was fully automated, had three autopilots with the capability of landing autonomously and a GPS that made the need for chart navigation obsolete.”

When Justin entered the property management industry in 2013 he realised that, much like aviation, procedures and processes were vital to running a successful property management business, and that included using technology well.

“Technology is always moving, and we always need to be looking at what is the next best thing and asking ourselves strategic questions about whether that fits our business direction,” says Cushla. “You really need to test and make sure it is going to be of benefit rather than a hindrance in the long run.”

making it an integral part of the processes in our property management department,” says Justin.

DRIVING THE END-USER EXPERIENCE WITH 3D What is impressive about the implementation of technology in Cushla’s office is how one implementation can have a variety of applications, and how each of those applications is firmly directed at the end-user experience. For example, Cushla and Justin were early movers on the introduction of Matterport 3D scanning technology. A Matterport 3D scan creates a three-dimensional, high-definition interactive tour of a property.

“Acquiring the technology is the easy part; driving the change and making it part of the process is not so easy. You have to have someone like Cushla, whose experience around processes meant she was able to drive the implementation of this technology,

tenants who are overseas or interstate can view a property remotely,” says Cushla. “We will approve an application based on the Matterport viewing, because we are that confident that the scan represents an accurate picture of the property.”

The Matterport scanning technology is also applied to the entry condition

3D AND MARKETING OR LEASING In an obvious application, the scan is used for property marketing, enabling rapid leasing and orientation of tenants to a property. “Prospective tenants are able to complete a virtual tour online [via the real estate portals] which means that

“TECHNOLOGY CREATES TRANSPARENCY. TRANSPARENCY IS THE NEW TRUST.”

epm.eliteagent.com.au 27

COVER STORY report as a reliable and certain reference for the condition of the property.

Justin and Cushla both agree that the biggest headache in property management revolves around property condition at tenancy changes. “Prior to the implementation of our specific technologies, the entry condition report was the most questioned document – often leading to disputes and time wasted at tribunals at the conclusion of

the tenancy,” says Cushla.

As a business owner, Justin identified that finding a solution to this problem would not only save his team time that could be better spent elsewhere but would also allow for full transparency and accountability for all parties, including his property managers.

“There are a few limitations, such as inside of cupboards and behind doors, but the human error is minimised; I

would say it cuts out about 90 per cent of the commentary on an entry condition report. There is an obvious benefit to the tenant because of the increased certainty,” says Cushla.

3D AND CONDITION REPORTING “By doing a scan at every tenancy changeover, the owner can get an accurate representation of the condition of the property over time. The technology keeps the agent transparent and accountable, and it also adds a degree of quality control from the perspective of the principal.”

In the Gold Coast marketplace there is a significant number of overseas and interstate investors. While the 3D scan allows the owner to be more engaged with the property, it is also a tool of leverage which property managers can use to engage remote owners who may find it difficult to see the utility of performing repairs and maintenance. “It can remove an emotional disconnect and gives those owners a degree of perspective where they can see changes over time.

“WE HAVE SEEN OUR PERCENTAGE OF FULL BOND REFUNDS LIFT FROM 55 PER CENT TO 87 PER CENT.” “It is far easier to communicate with someone face to face than it is over phone and email,” says Cushla. “These types of visual technologies are the next best thing [to face to face communication] when there are language barriers or geographical distance, because of the transparency.”

The power of the implementation designed to lift the accuracy of the record of the property’s condition is always going to be tested at the outgoing inspection. The result of a vacate inspection is the test for a robust entry condition report. “We have seen our percentage of full bond refunds lift from 55 per cent to 87 per cent. The scanning has been very effective in reducing the number of disputes at the end of a tenancy. It also helps the parties to stick to the issues, so we are having more focused conversations with tenants around the specifics of a vacate.”

During a tenancy, Cushla and her team use a Ricoh 360-degree camera with a fish-eyed lens to capture the condition

28 ELITE PROPERTY MANAGER • OCT-NOV 2017

of the home and create an unprecedented level of access between landlord and property. “We complete the written report and then do a walk-through capturing the video, and we can commentate and zoom in on any issues,” says Cushla. “The video is then uploaded to a private YouTube account, and the owner can view it via an unlisted [private] link.”

QUALITY COMMUNICATION Quality of communication has been a big focus for Cushla and Justin, who have executed a strategy for communicating with landlords and tenants that favours the value of information over frequency.

“We use a live link which holds information that is relevant to landlords and tenants, and we use this as an educational tool.

Everyone’s time is valuable, and so that our communication is effective we need to make sure that it is always relevant,” says Cushla.

“We don’t just send e-newsletters for the sake of sending something, especially if it is going to be a waste of my time and theirs. I don’t want to be reaching for things to say if we don’t need to communicate anything at that time, and if the owner doesn’t find one thing relevant we may lose them. It is important that they are listening when we do need them to take notice of something or some information.

“Instead, if there is something that we feel is relevant and useful that either our tenants or our owners need to know about, we will put that information on a live link and send out an SMS with the link, letting them know that there is something we would like them to be aware of.”

“We have VR [Virtual Reality] Goggles in the office so that people could walk in and view properties. They look great and have a great wow factor, but realistically,

the number of actual tenants or owners who take this up is still slow, so they are probably a bit of a gimmick.

The wow factor is enough of a benefit as a listing tool; but as for the utility of the actual virtual tours, I think that it will have to build over time as consumers catch on to those types of offerings,” says Cushla.

TEST AND RE-TEST FOR SUCCESS It has been a deliberate choice at RE/MAX Regency to select and deploy technology cautiously, weighing the benefit to the business, which can be direct or indirect.

“Cushla and I have trialled many new technologies over the past three years,” adds Justin. “Some have stuck, some haven’t; but one thing we have refined over that time are the questions we ask before implementing any technology. Answering these key questions can save a lot of time: • Is it productive?

• Is it simple to implement?

• Is it sustainable?

• What is the support network?

• What are the training requirements?

• What is the cost vs return?

“Yes doesn’t have to be the answer to every question, but it goes a long way to making the implementation successful,” he says.

“Success breeds failure and all of a sudden you can become complacent and fall behind if you aren’t always moving with the technology that provides the best experience for clients,” says Cushla. Being future-ready, seeing around corners and staying ahead of the curve on technology sends an important brand message about RE/MAX Regency, attracting business in a climate where trust is critical currency.

“Technology creates transparency. Transparency is the new trust,” concludes Cushla. ■ SARAH BELL

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epm.eliteagent.com.au 29

TECHNOLOGY

How self-driving cars will change property management

JASON TURNBULL OF CONSOLE takes a look

into the future, a world where connectivity matters more than what we own and lifestyle choice is not limited to where we live.

I

’ve just taken off from Sydney on the way to see our teams in Melbourne.

Aeroplane time is always good to get through a backlog or just have some clear headspace. It’s an overcast, windy day in Sydney and take-off is bumpy as we pass through a layer of cloud. I reflect on our own journey from client-server business systems to cloud platforms inside the Console Group, as we build our next generation cloud platform and prepare to help our clients on the same journey.

RealTech (real estate technology) is the buzzword in the market at the moment. Last year FinTech (financial technology) was the flavour for where to put your capital; this

year it’s our industry – anything that has a sniff of combining real estate and technology seems to be a magnet for capital right now.

Not only here in Australia, but right across the world.

When we think about the interest and investment in technology in and around our property management businesses there are some interesting tools and solutions coming to fruition, packed with words like automation, virtual reality, augmented reality, machine learning, artificial intelligence, chat bots, beacons, data lakes, analytics... the list goes on.

These technologies all come together to provide solutions around how we work, making us more efficient, more collaborative, giving more direct access to data and information, and most importantly improving our level of service to our clients.

An interesting question, though, is how will technology outside of our direct scope change our industry in the future?

Technology continues to grow and impact other areas of our life, changing our behaviours and beliefs, and this will no doubt have an impact on the way we think about real estate in the years ahead.

We know that property is the single biggest asset class in Australia. We’ve spent decades,

30 ELITE PROPERTY MANAGER • OCT-NOV 2017

and even centuries, building up critical infrastructure and services to support communities, and property values in highdensity, well serviced areas, typically close to city centres, have continued a steady growth in demand and value. Consequently we have our own agency assets built around that demand, and our real estate business value is heavily aligned to the underlying property values in our areas.

But how much thought do we give to how this is changing, and what impact that will

SUDDENLY THE RELIANCE ON PROXIMITY TO THE OFFICE IN THE MIDDLE OF THE CITY IS GREATLY REDUCED. have on our business? An interesting starting point is just the technology that actually exists today. Look at autonomous drones as an example. Amazon, DHL and a whole bunch of others have programs in various stages of development, testing and operation around rapid delivery of goods on-demand, straight to your door using drones. Run out

personal budgets to invest in different areas of our life – say, maybe that dream house on 16 acres two hours north of the city.

So now we face the prospect of: • cheap transportation available that costs cents per kilometre • an opportunity to sit in a comfortable one or two person vehicle and work while we commute • improved remote working or telecommuting capability and hot-desking, reducing our need for actual hours in the office • A growing collaborative consumption culture, where access to something is more important than ownership of something.

Suddenly the reliance on proximity to the office in the middle of the city is greatly reduced. Our reliance on proximity to shopping malls is greatly reduced. Lifestyle choice will be a driver for where we live; a beach house north of Noosa is completely feasible if you work in Brisbane. How will these changes shift the distribution of wealth away from the hearts of our major cities and, more importantly for our industry, what will that do to the value of

Or will collaborative consumerism (‘the sharing economy’) change the way we think about our home too? It’s happening with bicycles (JC Decaux/CityCycle), cars (GoGet/Uber), aeroplanes (Wingly), clothing (Le Tote/Rentez-Vous), content like movies and music (Netflix/Spotify) and even pets (DogVacay/WAG). It will happen with sporting goods, children’s toys, lawn mowers, tools, your BBQ – why not your home?

Maybe the technology and systems that enable those other sharing platforms will influence the way we think about how we live. Maybe we’ll begin to move around more. Owning less, but enjoying more. Live in one house in the city for a school term, another near the beach for the holidays, back again to a different house for the 12-week term before we take a house in the snow for the holidays again.

There’s an element of crystal ball gazing that we need to do. As an industry are we certain about which way this will go at the moment? No. What is for sure, though, is that technology is being adopted at a faster pace than ever before in history. The rapid

WE NEED TO CHECK IN MORE REGULARLY THAT OUR ASSUMPTIONS ABOUT THE NEXT YEAR OR TWO ARE STILL TRUE. of milk? No problem; a drone can have that in your kitchen in 20 minutes without you needing to leave the house. This is happening in the world right now as you read this.

Interesting, sure, but why would this impact real estate, you ask?

As we adopt more and more on-demand, just-in-time, or even just home-delivered shopping, our reliance on proximity becomes less important while bandwidth and connectivity become more important.

Our reliance on our own vehicles becomes less important and our reliance on services that will get us from A to B becomes more important; thus we will shift from a need to own a vehicle to the collaborative consumption market: car sharing.

What happens when those cars become driverless? In operating a driver-based service like Uber, hire car or taxis, the two most expensive parts of that system are the driver and the fuel. Smaller, efficient autonomous electric vehicles will provide very low-cost, time-efficient direct transport options (for example, Singapore’s nuTonomy driverless taxis).

This means that we can be productive while we commute and our personal investment in transportation will be greatly reduced, freeing up critical cash flow in our own

our real estate businesses in the areas where we are established?

The Uber business model, for example, has disrupted our taxi industry. Importantly, though, the Uber business model is already staring its retirement in the eye (if you look at the choice of investments that Uber is making, they are aware of this). Those same autonomous electric vehicles remove the need to collaborate with people who own and drive their own cars. No need for a driver any more, and less interest from the consumer in actually owning cars, means that Uber will need to own and operate their own fleet instead.

In our households our cars are usually the second or third most expensive physical asset that we own behind our property.

Owning and operating a vehicle of any sort has a reasonable impact on any household budget. It also has an impact on where we live (I’m looking at you, Bondi Junction, and your lack of garages!). When that expense begins to fall away from our household budgets over the next five, 10 or 15 years, what will the impact be on real estate investment? If I don’t need to service a car in my budget, can I suddenly buy property rather than rent property? Will we see a rise in owner/occupiers, and a decline in rentals?

adoption of these technologies is changing behaviours and beliefs (own vs access) faster than ever before. All of the technology that has been discussed actually exists today... this isn’t living on Mars or teleporter-type stuff. It’s right here, right now, today.

What we need to start doing is think about how aware, agile or responsive we are as businesses. How do we begin to think about strategies and prepare ourselves for the inevitable changes that technology is going to make to our industry, beyond just the tools that we use to do our day-to-day tasks?

More than ever before in this industry, we need to be going back to our business plans and reviewing them frequently. We need to check in more regularly that our assumptions about the next year or two are still true. What are the new threats to your business? They are changing, and they are changing more quickly than ever. You need to put plans in place to ensure that as business leaders you keep your finger on the pulse. ■

JASON TURNBULL is an experienced executive and technologist and an early pioneer in the ecommerce space. For more information about Console, visit console.com.au.

epm.eliteagent.com.au 31

PERSONAL DEVELOPMENT

CVS2BVS A NEW OPERATING SYSTEM FOR YOUR BRAIN NOBODY LIKES BEING ‘wrong’ due to the

negative feelings we tend to associate with it.

But doesn’t need to be that way - if only your brain could see things differently and move you toward a more positive scenario - would it make you more productive?

D

O YOU REMEMBER the sting of embarrassment, shame, or anger the day you were first found to be ‘wrong’ in public?

Maybe it was at school? Or at home? Maybe you felt foolish in front of your siblings, parents, teachers or friends?

Have you ever been blamed for something that wasn’t your fault? Remember how that felt to you. Do you ever find yourself justifying your actions to someone else? A boss? Client? Spouse?

All of these situations come about because of a certain way of thinking. We might call it an operating system in your brain that was uploaded when you were very young.

We can call it the ‘Right Wrong Brain Operating System’ or ‘Right Wrong bOS’.

Everything is judged according to whether or not it is ‘right’ or ‘wrong’; if it’s wrong then it’s bad, and if it’s right then it’s good.

It’s easy to understand that the negative feelings associated with being ‘wrong’ and ‘bad’ could make anyone want to avoid being wrong, sometimes at all costs and even if they are, actually, wrong.

And all because of a Brain Operating System that judges everything according to whether it is ‘right’ or ‘wrong’.

WHAT IS THE CURRENT VERSION OF THE SITUATION (CVS) AND HOW DO WE MOVE TO THE BETTER VERSION OF THE SITUATION (BVS)?

There is a fascinating history behind the origin of the Right Wrong bOS, but what’s even more fascinating is the question: Is there an upgrade available?

Is there a better operating system for your brain?

And the answer is ‘Yes’.

First described by the cognitive scientist Dr Michael Hewitt-Gleeson, a better brain operating system isn’t based on what’s right or wrong at all.

Instead, it’s based on what’s called the ‘brain switch’, and it’s a very simple concept to understand, just as it’s very simple to upload into your brain.

First, we simply recognise our current situation. We recognise and accept it entirely and as accurately as we can. We make no judgement about whether it is right or wrong.

We just acknowledge the current version of our situation, which can be abbreviated as

32 ELITE PROPERTY MANAGER • OCT-NOV 2017

CVS: Current Version of Situation.

Second, we identify what would be a better version of our situation, which can be abbreviated as BVS. We also acknowledge that for every situation there is a better one that can be imagined.

Third, we identify what needs to happen to switch into that better version or BVS. And rather than judging circumstances based on whether they are right or wrong, we simply ask ourselves: What is the current version of the situation (CVS) and how do we move to the better version of the situation (BVS)?

This has been abbreviated and taught by Dr Hewitt-Gleeson as CVS2BVS – Current version of the situation to the better version of the situation.

FINDING A BETTER WAY Here is an example. You miss out on a management that was supposed to be a sure thing. With the Right Wrong bOS you might: • Blame the agent who got the management harbouring negative thoughts toward them • Blame the owners and judge them negatively • Blame yourself and harbour negative

thoughts toward yourself • Justify the loss of the management to your principal, providing excuses to avoid being ‘wrong.’

With the CVS2BVS bOS, you first acknowledge the current situation without blaming anyone, without any negative emotion and without any justification.

You then identify the better version of the situation. This is completely up to you, but it could be: • finding another management and going after that • not losing management in the future • doing something else entirely.

Then you identify what you need to do to switch to that better version.

If the BVS was to find another management, then you already know what to do and you can do it without feeling wrong, negative, justifying yourself or blaming others. All of those things would detract from your key objective, which is to find another management.

If the BVS was that you didn’t lose management in the future, then again, without blame or judgement, you would analyse what happened and learn from the situation.

Do you notice that in neither of these two situations was there any need for you to be right or wrong?

This is an extremely liberating way to think. And all you need to do, in any situation, is say to yourself: CVS2BVS. Got to the restaurant late and missed a table? CVS2BVS. Brand new car keeps needing repairs? CVS2BVS. Reception staff keep turning up to work late? CVS2BVS. Competing agent does underhanded things to win listings? CVS2BVS. Your child keeps having a run-in with the teacher? CVS2BVS. In any situation you can think of there is a better version of that situation. You can get trapped in the Right Wrong bOS and invest your time and energy defending yourself or attacking others.

Or you could simply acknowledge the current version of the situation, identify a better version and throw all your available resources into moving in that direction. ■

DR NIC LUCAS helps entrepreneurs and business leaders experience the personal growth. He is a Director at ScaledX and CoFounder of Kewlify.

epm.eliteagent.com.au 33

TECHNOLOGY

Meet the (new) OFFICE GENIUS CONSIDER THIS: ON AVERAGE, it takes around 40 seconds for a property

manager to manually enter an invoice. If your agency manages a rent roll of around 1,000 properties, you are more than likely manually entering in the vicinity of 20,000 invoices a year. This equates to approximately four working weeks spent doing mundane, repetitive but important admin work. Meet the genius from Rockend that fixes all of that.

34 ELITE PROPERTY MANAGER • OCT-NOV 2017

I

f there were a tool that could give you back two and a half out of the four weeks a year you would normally spend on manual invoice entry, would you make whatever change was necessary to get that time back and spend it doing something more meaningful?

You don’t need to be Einstein to answer that question; the benefit of that change makes it an overwhelming yes, but what has been lacking is the availability of technology to bring that intention to reality.

That is why the launch of Rockend’s new Invoice Genius is so exciting – because now that technology is ready and available for PropertyTree users.

“The demand for robust cloud property management solutions is only going to continue to rise, which is why Rockend’s

valuable, so we set out and created a feature which not only scans, processes and digitally files documents, but one that streamlines our clients’ processes and workflows – thereby making them increasingly agile and efficient, whilst putting time back in their day that they can spend growing their business and investing in providing exceptional customer experiences,” says Emanuelli.

DESIGNED FOR POWER USERS “To create Invoice Genius, the Product team has worked closely with our User Experience team, and stakeholders within the wider Rockend team who have previously been in property management, for approximately six months to ensure that our customers’ needs were at the core of its design.

“The goal was to create an intuitive tool

INVOICE GENIUS IS AN INTUITIVE AND USEFUL TOOL THAT AUTOMATES THE PROCESSING OF CREDITOR INVOICES, SUPPORTING THE ELIMINATION OF WASTED MANUAL LABOUR WHEN IT COMES TO PAYING CREDITORS. development and product teams have been hard at work creating an array of new and exciting features, such as Invoice Genius,” explains Andrew Emanuelli, the product owner of Invoice Genius, who has been working in document management solutions across an array of industries for over 15 years.

MEET INVOICE GENIUS Invoice Genius is an intuitive and useful tool that automates the processing of creditor invoices, supporting the elimination of wasted manual labour when it comes to paying creditors.

As approximately 60 per cent of invoices are now coded, Invoice Genius has been engineered to read and process both QR codes and barcodes, giving you back 60 per cent of the time you would usually invest in data entry. That’s a lot of time back in your calendar for you to invest in strengthening your relationships with existing clients and growing your business.

ELIMINATING PAPER There is no question that the future is going to be digital by default. Governments and the private sector are collaborating on ways to bring in a digital future, and customers will be thinking digital first and expecting that efficiency across all of their transacting.

“Every minute of their day is highly

which required little to no training, so that property managers and administration staff can start using this straight away. The feedback we received Andrew Emanuelli from the sample of our customers – current users of REST Professional, fileSMART and PropertyTree – who participated in Invoice Genius’s beta testing confirms that we have achieved this goal and then some,” says Emanuelli.

WORK SMARTER, NOT HARDER Beyond digitising invoices and automating workflows and business processes, Invoice Genius offers property managers opportunities to get more out of their days by: • Helping an office go paperless and creating more space in their office as filing systems will no longer be needed • Handling and processing hundreds of different creditor invoices in minutes • Reading both QR codes and barcodes – Invoice Genius is the first digital document management system in property software that has this ability • Eliminating manual data entry errors

as it reads the data directly from the barcode or QR code on the invoice • Eliminating invoice payment errors • Providing an increased level of transparency and clarity in document storage through the PropertyTree document drop • More than halving the amount of time usually spent processing creditor invoices. With Invoice Genius, property managers can reduce the usual 40 seconds per invoice to approximately five to ten seconds each.

• Maximising productivity.

DOCUMENTATION MADE EASY “Invoice Genius will be a part of the document management solutions we are looking to create in the wider ecosystem in PropertyTree, and this initial version is just the tip of the iceberg,” continues Emanuelli.

“Looking at the future of paper and document storage, we are looking at smarter systems with a lens of inevitability.

With the increased capabilities of technology for electronic documents and signing, along with the regulatory mandate to make the switch to a digital property industry, the days of the scanning machine are numbered. The new wave of digital tools for recognising, automating and filing electronic documents seem certain to sentence the scanner to join the technology graveyard next to the fax machine.”

“THE GOAL WAS TO CREATE AN INTUITIVE TOOL WHICH REQUIRED LITTLE TO NO TRAINING SO PROPERTY MANAGERS AND ADMINISTRATION STAFF COULD START USING IT STRAIGHT AWAY.” GET YOUR HANDS ON INVOICE GENIUS The wait is over to experience an end to the old-school scan-queue-allocate-pay-save cycle, with PropertyTree customers able to access Invoice Genius when it launches in October 2017.

Discover how much time Invoice Genius can save your business by making the switch to a modern, simple, integrated payments application.

Contact Rockend for a demonstration today.  SARAH BELL

epm.eliteagent.com.au 35

BEST PRACTICE

YOU MAY NOT be thinking

of selling your rent roll at the present time, but it needs to be in the best possible condition when you are ready. And, says PPM Group CEO Debbie Palmer, the time to start preparation is right now.

DOCUMENTS AND DETAILS

S

ELLING A RENT ROLL can happen for a number of reasons, and can be due to unforeseen circumstances that take people by surprise.

When this happens, tidying things up - if they have not been looked after - is often not a quick process. Not only that, for a potential buyer who is in a position to choose, viewing your rent roll vs one that has everything in order can be the difference between viewing a derelict property vs one that has been well-maintained and cared for. However, if you get your documentation right from the outset, you can avoid these unnecessary pressures and situations down the track.

In completing due diligence on some rent rolls, I am often shocked at the inconsistencies of the files or data and the many important documents missing or not signed. I believe that one of the leading causes is because these agencies have failed to have standard procedures in place, or standard ‘in-house’ examples outlining how to complete important documents and agreements.

MULTIPLE FACTORS When selling a rent roll, the industry standard ‘rent roll asset value calculation method’ of a property is: the weekly rent / 7 days of the week x 365 days of the year x the management fee % x the rent roll multiple ($2.20, $2.80, $3.20, etc.).

For example: $450 weekly rent / 7 x 365 = $23,464.29 in rental income x 7% = $1,642.50 annual management fee income x $2.80 multiple = a $4,599 asset value of the property.

The rent roll’s ‘multiple’ sale value is

governed by a number of different factors.

It should also be noted that the ‘sale value’ of a rent roll is calculated differently to a valuation that may be required by a bank.

WHAT STEPS CAN YOU TAKE TO IMPROVE THE ASSET VALUE OF YOUR RENT ROLL?

1

Audit your rent roll now so you know where you are at.

This process may take time, depending on the size of your rent roll; however, you can start with a strategic plan of auditing several property files each week.

36 ELITE PROPERTY MANAGER • OCT-NOV 2017

2

Establish internal procedures, systems and regular file audit checks.

Ensure that your documents and files are well-maintained and easily accessed.

3

Have a system for archiving old tenant files.

If you are using an electronic filing system, ensure that each document has a file name, such as ‘Tenancy Agreement’ or ‘Tenant Application Form’, rather than the random number 20098KL009.pdf that can often be generated during the saving process of the document.

FOR A POTENTIAL BUYER WHO IS IN A POSITION TO CHOOSE, IT CAN BE LIKE VIEWING A POORLY PRESENTED PROPERTY OR ONE THAT HAS BEEN WELL-MAINTAINED AND CARED FOR.

4

Audit your management agreements.

More than 40 per cent of management agreements that we investigate or audit are not valid. During your audit process, I would recommend having one central folder, with A-Z tables inserted for the property street address, for all of your original management agreements. Management agreements are the fundamental value of a rent roll, and if you do go to sell the rent roll it makes the process so much easier than going through every property file to locate the agreement.

5

Document and note every tenant and landlord conversation.

Improve your tenant arrears rate and vacancy rate, where possible, and conduct a key register audit. Conduct a bond audit – you may be surprised at how many bonds are actually missing or where the full amount has not been paid.

6

Focus on increasing your rents where possible, in accordance with the market, and your management fees.

This can be daunting for some who are competing with agencies that are discounting their fees; however, there are ways to value-add and offer special discounts to win the business, without

WHAT DOCUMENTS ARE MOST IMPORTANT TO ASSET VALUE? Many of the tenancy document inconsistencies can occur from changeovers of team members. It can often be a time-consuming task to audit property files.

However, it is a process that every property management department should undertake if they have not already done so.

It can be a simple process of creating a short checklist of all important documents to ensure they are present and valid.

lowering your management fee. There are agents charging standard or above-average management fees in the marketplace, so it is possible.

7

Improve your AAMI (Average Annual Management Income) as this affects the value of a rent roll.

AAMI can only be improved by increasing rents and the management fees, and embracing KPI reports to easily show a snapshot of your business’s performance.

Managing a rent roll is serious business with increased compliance, activities and processes that must be adhered to.

Keeping solid documentation is important to maximise the sale price as the buyer is purchasing your documents and data, amongst other possible assets and leases, and this will give them greater comfort that any future surprises will be minimised. ■ DEBBIE PALMER is a Property Management Expert Coach/Trainer & REIQ PM Multiple Award Winner.

The PPM Group have been specialising in rent roll classified sales, due diligence, training, coaching, property management procedural systems and learning resource tools since 2000.

• Valid Management Agreements signed by all parties; it is recommended to attach ownership confirmation documentation • Valid Tenancy Agreements signed by all parties • Valid Property Condition Reports, with detailed comments and photos, signed by all parties. If a tenant fails to return their copy of the report in accordance with legislation requirements, it is important to send a verification letter to the tenant as evidence

that they have refused to return the report • Evidence of routine inspections being carried out • Tenant Application Forms • Photocopy of property keys or remotes issued to the tenant, signed by all parties, dated and including the property address • Smoke Alarm Compliance evidence, where applicable in your State • Pool Safety Certificates, where applicable in your State • A full bond paid.

WHAT FACTORS CAN AFFECT THE VALUE OF A RENT ROLL? • Rent roll supply and demand • Period of time the business has been operating • History and reputation of the principal or agency • Operational financials, determined by the valuer • Security of the lease on the premises • Location of the agency • Geographical spread of properties • Type of managed properties – for example, residential, commercial, strata or holiday • Type of properties – houses, units, duplexes, furnished, unfurnished, and so on • The condition of the properties – a drive-by may be required • Weekly rents and average weekly rents • Falling or increasing rents, and why • Management fee or income per property and average management fee or income • Average annual management income (AAMI) • Other income: Let fees, admin fees, tenancy renewal fees, internet and advertising fees, end of financial year statement fees, inspection fees, court or Tribunal fees, and so on • Previous year earnings • Landlords owning multiple properties • Properties owned by the vendor, family or their friends • Vacancy rate • Arrears rate • Routine inspection compliance • Periodic or continuing tenancies vs fixed term tenancies • Number of tenants who have been issued notices • Number of Tribunal claims • Number of insurance claims • Possible agency liability claims • Maintenance requests outstanding • Activities of decline or growth within a rent roll – that is, gained or lost properties • Current systems, checklists, forms, letters and documented internal processes • Record keeping and conversation notes • Quality of the documents and files • Current wages – industry standard is to work towards a 30 to 40 per cent wage-to-income ratio • Current expenses.

epm.eliteagent.com.au 37

PERSONAL DEVELOPMENT

CASUAL BUSINESS OR BUSINESS CASUAL? WE LIVE IN A WORLD that is now more relaxed than

it used to be about the way we conduct ourselves in business and at work. But even though we behave less formally in these environments, how we present ourselves for an interview, or when negotiating a management, is critically important.

Sandra Larkin explains.

Y

OUR CLIENTS ARE judging you in the first 10 seconds of meeting you. They take note of what you wear, how you greet them, the tone of your voice, the words you use and even how you smell. Yes, believe it or not, we are all guilty of passing quick judgement on others – even you!

Like animals meeting for the first time, we spend the first few seconds summing each other up. Whilst we don’t sniff each other, we do weigh each other up in a

much more socially acceptable manner.

This summing up and evaluation is done in a sensory manner – visually, aurally and energetically.

Taking pride and respect in how we present ourselves to our clients gives us the confidence to tackle the difficult conversations and handle the ups and downs of our negotiations. It contributes to our self-belief and the mindset we need when dealing in a professional environment.

So what should we be aware of when developing a ‘professional presentation’

38 ELITE PROPERTY MANAGER • OCT-NOV 2017

that will positively influence our clients and win business?

VISUAL: BE NOTICED FOR THE RIGHT REASONS Choosing the right wardrobe to suit your body shape, colouring, height and work environment is essential in the first instance because it is the first thing people will notice about you. You don’t have to spend a fortune to look good with the likes of international brand shops like Zara, Witchery, Topshop and H&M. Some shops have clothes stylists employed within the organisation that can assist you. If it is too short, too low or too tight then it’s probably a no!

Ensure your shoes are always clean, unmarked and the heels are not chipped.

Grooming also entails getting a regular haircut, having clean hair and manicured nails, and investing in some good skincare and tasteful make-up. Girls, always have a ‘touch up’ purse handy for summer days when you tend to sweat all your make-up off.

Boys – good grooming is not just for women!

As well as your appearance, invest in a quality pen for these important occasions when signing up business. There is nothing worse than dirty nails and a bad pen.

When using fragrance, don’t overdo it. Keep some on hand in the car or your handbag for client meetings during the summer. I find it astounding that we still need to tell people to wear deodorant. Even if you are trying to steer away from aluminium, there are plenty of natural options to choose from to help combat bad body odour.

AUDITORY: MIND YOUR LANGUAGE Voice tone is so important when greeting clients and just as important as language.

These two components together can change an experience for a client from ‘When can we leave?’ to ‘How pleasant is this person?’

Always tailor your language to suit the level of the client you are dealing with. You wouldn’t say ‘Good afternoon Mr Jones’ to a younger Gen Y, just as you wouldn’t say ‘G’day John’ to an executive baby boomer.

It is important to read people when you meet them and adjust your behaviour and communication levels to put them at ease and make them feel comfortable.

BE CONSCIOUS OF THE ENERGY YOU BRING TO THE ROOM Energy levels are so important when presenting as a professional. Your clients will pick up on your energy immediately after the visual summing-up. Whilst it’s sometimes hard to show up every day to work firing on all four cylinders when you’ve left the house arguing with your

LIKE ANIMALS MEETING FOR THE FIRST TIME, WE SPEND THE FIRST FEW SECONDS SUMMING EACH OTHER UP. partner, or feeling under the weather because you’ve been out the night before, it is necessary to change your energy levels when dealing with the public.

If you want to kick goals at professional presentations, I suggest you make better choices when you go out and drink. If you’ve had a challenge to deal with before going to work, take some time out to breathe,

connect and come back to you. Suggestions would be to go for an early morning walk, perform yoga, meditation or breathing exercises or visit a café for some ‘me’ time.

Your energy levels need to remain high when dealing with the public and can make or break a business relationship.

Implementing a good, healthy wellbeing plan in your schedule will help you show up with stamina, alertness and personality.

Successful people maintain good habits, so take note of what you are thinking and doing from the moment you get out of bed to when you get into your car to go to work.

A healthy wellbeing routine will help build your positive attitude and will make the world of difference to your day – and how you handle any challenges life is going to throw at you! ■

SANDRA LARKIN has been in the service and sales sector of business for 38 years. She has successfully operated two businesses, managed large teams and nurtured high end profiles that have taken her overseas to live and work. For more information visit sandralarkin.com.au.

MUSCLE UP AND RAISE THE BAR IN REAL ESTATE [ insights into real estate businesses beyond the numbers ]

REAL INDUSTRY KNOW HOW There’s a good a chance our real estate accountants have done it before so lean on us to help you reach your potential.

STARTUP, GROWTH OR SUCCESSION We can help at all stages of the business lifecycle. Love helping out individuals with their tax returns and personal planning too.

YOU DON’T KNOW WHAT YOU DON’T KNOW We are specialists in Real Estate Industry. We are specialists in accounting, tax, superannuation, bookkeeping, business, etc. Lets collaborate for a better outcome that allows you to focus on what you are good at.

[07] 3193 3000

Level 1, 27 James St, Fortitude Valley Qld 4006

info@businessdepot.com.au

businessDEPOT.com.au/realestate

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The Last Word

Fiona Blayney

THE MAGIC OF NUMBERS Rather than seeing numbers as scary and mysterious, it’s much better to embrace their magic to move you closer to where you want to be.

A

bracadabra alakazam! Now you see it, now you don’t. Watch me pull a rabbit out of my hat!

The magic of the magician was embedded into our minds as young children. More recently, I was reminded of this as B1 and B2 (our favourite Bananas in Pyjamas) turned professional magicians and made a friend disappear from their magical box.

Just last week I found a lamp at an op shop, gave it a polish, and voilà! The genie arrived and now I am the proud owner of an evergreen money tree, world peace has ensued and in my cupboard sits a never-ending packet of Tim Tams. Okay, so we know that’s not true, and as an adult of course I was not surprised to learn that those cheeky bananas didn’t actually make their friend disappear; she was in

motor running – numbers.

Of course, given we are both adults, it’s about time you found out the secret behind the magic of numbers.

Firstly, if you are a nonbeliever, it’s pretty simple: numbers are magical because they are simplistically intricate. They can mean so much

I’M STILL A BELIEVER IN MAGIC. IT EXISTS IN MY WORLD; IT JUST DOESN’T INVOLVE A BLACK AND WHITE WAND. that box the whole time – a trapdoor! Go figure.

I’m still a believer in magic.

It exists in my world; it just doesn’t involve a black and white wand. Whilst there are moments of magic in my life daily, today I want to tell you about one that really gets my

in so many areas of our life.

We can track them, dissect them, learn from them, plan with them; we can even use them as a measurement for success.

I spend a great deal of my life working in numbers. I take pride in racing clients in doing

40 ELITE PROPERTY MANAGER • OCT-NOV 2017

calculations, Fiona with her pen and paper against the client and their calculator.

I love watching a millennial observing my brain madly working without technology, and when I meet a fellow number lover it’s electric.

Excel is up there as a best friend. It allows me to work through everything from life plans to business budgets and the activity required to get the desired outcome.

My accountant, business peers and clients have been bamboozled with the colours and the sheets, but they have eventually been hooked. Many a life has been changed with an introduction to the magic of numbers and their meaning.

Of course, not everyone is a believer; numbers freak many out. Quite often it is the initial fear of knowing what the number is, and more importantly what it means, that stops us in our tracks from discovering the number in the first place. ‘Don’t tell me, I don’t want to know’ is one dangerous statement.

We don’t get on the scales, we fear a medical and we avoid our financials and activity figures. Whatever the segment of life, the number is there, despite your level of awareness of it.

Today I want you to join me

on the crusade to discover the magic of numbers.

When we have a true understanding of our numbers, we have the power to create a vision for new ones and develop the plan to move towards them. We can use numbers to identify the activity needed to reach our goals and discover the levers to adjust to affect our results.

I am absolutely loving working with our Transformers at the moment; when it comes to their numbers, I am seeing childlike magic as they grasp the ability to look behind the mere figure on a page and see it for the window to their future success.

Unlike childhood magic, numbers need not be mysterious or scary, and in business they must be as second nature as brushing your teeth every day. Not everyone shares my excitement for a spreadsheet, but if in doubt, sub it out! Find someone as cool as me who thinks in figures and has analysis as their middle name, and watch with wonder as you tap into a new level of strategic thinking – the numbers way. ■

FIONA BLAYNEY is the Founder and Director of Real+, an industry-first property management learning platform.

For more information visit realplus.com.au.

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CPD ONLINE

Ready when you are!

Elite Agent delivers distance CPD and other short courses online for NSW Agents in association with MRT (RTO 41529).

Standard online courses from $89 including assessment and certificate (or contact us about having our team put together a bespoke CPD course for your office)

Visit eliteagent.academy for more information

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