ELITE PM Issue 07 Aug Sep 2016

M R O F S N A R T O T TIME THE PM TEAM CHALLENGE CLOSING THE AIRBNB LOOPHOLE

LEARN FROM THE BEST #07 AUG/SEP 2016

THE ADVANTAGES OF CO-OWNERSHIP MAXIMISING YOUR BRANDING IN A LISTING PRESENTATION SAYING GOODBYE TO BAD HABITS

STRIKING THE RIGHTSABINA BALANCE ALDOUBY

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What the industry is saying Amy Sanderson, head of property management, LJ Hooker Global Rent.com.au is an obvious part of any marketing strategy to ensure that you create the largest pool of prospective clients for your investor client to choose from. It's equally important to make the journey a prospective tenant takes in order to become a tenant as simple as possible. Rent.com.au makes this journey a pleasant experience by providing an easy search platform to locate rental properties and by offering services that will assist in the moving process.

Darren Hunter – darrenhunter.com, National and International property management trainer, speaker and consultant In the last 6 months, Rent.com.au has gained some serious momentum with unique visitors and site hits. So if you've got a property for rent, you need to ensure it's also featured on this powerful portal, and promote it as a point of difference with prospective clients over your competitors that don't use it list to rental properties.

Deniz Yusuf, coach and mentor for BDMcoach.com.au Rent.com.au, in my eyes, is leading the way in helping agents in Australia.

Their presence at conferences this year has been a standout. Agents should be trying to maximise their investors’ income. Having a tool that can fill properties faster is common sense to me. 12 months ago, rent.com.au was just another portal, now with their specialty options and tools to help agents, they certainly have put their stamp on the industry, and are letting everyone know they are the real deal, and are here to stay.

Debbie Palmer, managing director for PPM Group Rent.com.au is the future of tenant sourcing and will be the one-stop-shop for all tenants, providing them with the solutions, services, content and information. They understand and are dedicated to the needs of tenants and property management departments to streamline the renting process for everyone.

Register now or speak to your Rent.com.au sales representative rent.com.au/agents

1300 736 810

agents@rent.com.au

Contents Regulars 004 FROM THE GUEST EDITOR Fiona Blayney 006 UPFRONT News from the Community 008 NUMBER CRUNCH 010 EVERYONE’S TALKING ABOUT PM Transform 018 PM MENTOR: HOW TO WIN FRIENDS Natalie Hastings

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020 BD MASTERY: HALF TIME SCORE CARD Tara Bradbury 021 REALTY BYTES Rockend rolls out new benchmarking tool 042 PM Q&A: Sarah Ferre, McGrath Leichhardt 048 THE LAST WORD Fiona Blayney

First Person 012 QUALITY TIME Sophie Lyon 014 THE ADVANTAGES OF CO-OWNERSHIP Bradley Beer 016 GETTING MOBILE Jess Kindt

Cover Story 022 STRIKING THE RIGHT BALANCE Sabina Aldouby

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Features 026 CAUGHT IN THE CROSSFIRE Interview with Matina Jewell 028 CLOSING THE AIRBNB LOOPHOLE Lisa Jemmeson 030 CHOICE AND CHALLENGES Virginia Brookes 032 BAKING BAD Martin La Touche 034 A COLLABORATIVE FUTURE Mark Woschnak 036 NUMBERS GAME PART 2 Ben White 038 G ETTING THE MOST FROM YOUR TRAINING INVESTMENT Sarah Bell 040 SAYING GOODBYE TO BAD HABITS Lisa McInnes-Smith 044 M AXIMISING YOUR BRANDING IN A LISTING PRESENTATION Cristel Stenhouse

40 2 ELITE PROPERTY MANAGER • AUG-SEP 2016

046 EFFICIENCY IN THE CLOUD Sarah Dawson

IOLANTHE GABRIE RUBY SLIPPER CONSULTANTS, ELITE AGENT REGULAR FEATURE WRITER Cover Story, Sabina Aldouby, Luxe Property

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SARAH BELL COO, LINKLEARN Getting the most from your training investment Where are you from originally and where do you call home now? I’m originally from Queensland, but I left after it re-branded from the Sunshine State to the Smart State and now I live in Melbourne.

What’s the most important project you are working on right now? I’m working with my Academic Director to create some higher education pathways for the awesome humans of this industry. This means agents can gain recognition for their business, sales and management skills in a formal framework that is understood by wider Australia. It can be a means of differentiation for them in a marketplace where we all run the risk of sounding the same.

Trend to watch in the industry? The focus on client journeys will determine who thrives and survives in real estate: so often our people struggle to meet service levels in a world that demands an ‘experience’.

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Where are you from originally and where do you call home now? I grew up in the Dandenong Ranges. Now I live in the People’s Republic of Moreland, north of Melbourne.

Who or what inspires you at the moment?

Nigella Lawson, Annabel Crabb and Helen Garner in equal measure. Strength and honesty of expression speak to my heart.

What’s the most important project you are working on right now? A book which explores Australia’s urban property culture over the past two decades, and further building my rather excellent digital strategy agency, Ruby Slipper.

Trend to watch in the industry? Social media of a higher quality being used to shore up both the fortunes of real estate brands and individuals.

CONTRIBUTORS SARAH DAWSON HEAD OF SALES, ROCKEND Efficiency in the cloud

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Where are you from originally and where do you call home now? Originally from the UK, home for me now is inner west, Sydney.

Trend to watch in the industry? Consumer demand for immediate response and information that is easily accessible is driving agents to look at alternative ways to communicate with clients. Cloud-based applications for agents and online access for customers mean reducing friction and provide an improved customer experience – and a more cost-effective solution for business owners.

Favourite quote or words to live by?

“There are only two times in life: now or too late” – Terry Hawkins.

MARK WOSCHNAK FOUNDER, RENT.COM.AU A collaborative future for portal evolution

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Where are you from originally and where do you call home now?

I was born in Tanzania, but moved to Australia at the age of eight and lived in Perth. I spent 18 years in Sydney before making the move back to Perth in 2006, where I’ve been ever since.

Who or what inspires you at the moment?

I’m inspired by the creative talent and support of entrepreneurialism here in Western Australia.

It’s moving to see the volume of innovation and support given by the government to drive momentum from people with good ideas.

Trend to watch in the industry?

It’s an exciting industry to be in right now. The way we communicate with our key clients and customers in a multimedia sense will be crucial moving forward, especially in relation to data and statistics reporting and updating.

Favourite quote or words to live by?

Persistence beats resistance.

epm.eliteagent.com.au 3

ISSUE 07 AUG/SEPT 2016

epm.eliteagent.com.au FIONA BLAYNEY – Guest Editor fiona@realplus.com.au SAMANTHA MCLEAN – Managing Editor samantha@eliteagent.com.au MARK EDWARDS – Commercial Partnerships mark@eliteagent.com.au MOIRA DANIELS - Deputy Editor moira@eliteagent.com.au JILL BONIFACE – Sub-Editor SHANTELLE ISAAKS – Marketing Assistant / Newsroom shantelle@eliteagent.com.au FEATURE WRITERS Iolanthe Gabrie, Tara Tyrrell CHORUS DESIGN – Art Direction/Design Cover photograph: Eric Chow, Top Snap

CONNECT WITH US @eliteagentmag

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ACN 169 805 921 Postal Address: Suite 904, 121 Walker Street North Sydney NSW 2060 Telephone (02) 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.

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4 ELITE PROPERTY MANAGER • AUG-SEP 2016

GUEST EDITOR’S NOTE FIONA BLAYNEY

O One of my favourite agenda items in our monthly company meeting is not targets, results or revenue; it’s actually ‘general business’. Why? I love the nature of opening the floor to the team to discuss whatever challenge that has come across their desk that month. Typically creating the space to share the nuisances paves the way to improving performance from the ground up. It’s the little things that can be the big things.

In last month’s meeting, the hot topic of discussion was internal communication.

It wasn’t what we were saying to each other; there was no in-fighting or people not communicating. It was ‘too much communication’.

Sounds like a good problem to have, right? Imagine a

team that communicates too much! However, in reality it wasn’t as cut and dried as this. The problem came in the form of too much internal communication through email.

Our team of Gen Ys and Gen Zs (yes, I’m now the only Gen X around here) were asking each other to ditch the email and talk more. It’s not an uncommon problem; with emails banking up each day through external contact, the last thing we need is the person sitting at the desk next to us adding to our growing to-do pile. We are all part of this problem, me included.

We discussed banning internal email all together, but it was decided that at times it has its merits; instead we are introducing email mindfulness.

We are encouraging picking up the phone to someone in another office if you don’t want to walk in and, of course, if you want to get face to face go for it. Perhaps at the next meeting we’ll be discussing ‘interruptions’ but at least we are moving towards connecting.

Connecting – gee, what an appropriate segue.

You’ve hopefully noticed that this year’s ARPM theme is CONNECT + ENGAGE + EMPOWER. The art of connection is at risk of being lost if we fail to adjust our

styles of communication across all platforms, including the physical one. At ARPM this year we bring to the table discussion around improving our connection with ourselves, our clients and our colleagues.

Despite the fast pace of life we will identify the opportunity to engage with the world around us in an authentic way through mindfulness. Team this with the journeys and stories of our speakers, and there is no doubt our attendees will be empowered to be a better version of themselves.

Just as I wish for this year’s ARPM attendees, I hope that as you turn the pages of this edition of EPM you will also connect with our content, become engaged in the opportunities and feel empowered to enact change.

As I write this, I have found myself distracted with the technology that surrounds me: beep, ping, ring… Perhaps Sophie Lyon’s words on focusing on the task at hand

will come in handy for us all.

Now, where was I? Of course, it is the technology solutions behind those beeps that Jess Kindt is counting on to drive the mobile property manager of the future. Who knows, the possibility of running your portfolio from the beaches of Bali may become a reality as you disburse work and play across your day? That’s exactly what I did for a week last month; my 10 nearest and dearest friends decided to take themselves and their 10 children away to celebrate our 40th birthdays together, so with my crew there were 24 of us in Bali – National Lampoons!

Given the timing, there was no way I could stop working in the lead-up to ARPM, so it was remote work for me. Perhaps I took Jess’ concept to a new level, and hopefully I didn’t get too much sand in my laptop.

By now you will be aware of the forthcoming Property Management Transform

With emails banking up each day through external contact, the last thing we need is the person sitting at the desk next to us adding to our growing to-do pile. We are all part of this problem, me included.

program; I’m proudly taking the role of Super Coach and Partner. Perhaps you’ve taken the title as one of our Transformers, or the ‘Dirty Dozen’ as we are likely to be affectionately calling them.

We’ve taken into account Sarah Bell’s thoughts on how we all learn differently when developing the Transform program this season. With a variety of coaches, topics, delivery styles and mediums across the next 10 weeks, we’re working with offices and professionals around the country to bring them the education, insights and support to help transform individuals and businesses. I am so excited to be a part of the project.

Speaking of multimedia

learning, did you know you can access the back issues of this magazine, plus current content, video interviews and much more online? Visit eliteagent.com.au for more information. Call me oldfashioned, but I love holding a printed magazine in my hand, physically thumbing through its pages, for days on end. I carry it with me in my bag for those spare moments (mainly on planes) so I suppose Elite really is living its teachings.

Now, where did I leave that beach towel? I’m off to a meeting.

epm.eliteagent.com.au 5

UPFRONT

LEARN FROM THE BEST – VISIT EPM.ELITEAGENT.COM.AU

BOLSTERING TENANT ENQUIRIES WITH RENT.COM.AU In an increasingly competitive and fluctuating market, the need to build your online agency profile is more prevalent than ever.

Since its establishment in 2007, and particularly in the last 12 months, Rent. com.au has undergone a period of rapid and exciting growth. The site continues to gain momentum with 707,772 unique visitors in May 2016.

With traffic doubling over the last year, some 5.5 million renters and landlords have used the site and page views have increased by 48 per cent. As Rent.com.au approaches 100 per cent of agent content with more than 8,500 offices registered, there’s a noticeable shift in agent interaction and engagement.

LANDLORD INSURANCE AND AIRBNB The latest trend in short-term stays is tenants subletting rooms or whole tenancies on popular sites such as Airbnb. This practice can significantly impact on your insurance policy.

It is not uncommon for tenants to sublet a room, whether they advise their landlord or property manager or not. Airbnb has increased the ease with which they can sublet the entire property, particularly if they are going away and don’t want to lose their rental home altogether. If you or the landlord are advised of the tenant’s desire to sublet the property, it is in your best interests to consider your client’s needs thoroughly. You will also need to determine whether the change in the tenancy arrangements will affect their insurance.

Any changes to the tenancy arrangement will need to be legally documented with a new tenancy agreement. You should also discuss them with your insurer or broker, as most landlord insurance policies include a clause that does not allow subletting.

A property manager’s worth

National and international property management trainer Darren Hunter said Rent.com.au is the first real contender in the property marketing space to have a unique selling point: “Promote your use of Rent.com.au as a point of difference with prospective clients who don’t already use it to list their rental properties,” he said.

“If you’ve got a property to rent, make sure it’s featured on this powerful portal.”

So what’s your point of difference? If bolstering tenant enquiry and empowering your brand is key to your agency’s growth, Rent.com.au has a number of listing upgrade options available to make you a suburb leader.

For more information visit agents.rent. com.au.

6 ELITE PROPERTY MANAGER • AUG-SEP 2016

Property managers are an extraordinary group, with skills and experience across business development, marketing, accounting, asset management, relationship management... and then there’s crisis and conflict resolution.

Many of these skills are learned at work, through work or for the purpose of work, but it can be difficult for property managers to demonstrate their value to potential landlords, or even potential employers.

So how do you stand out and get the recognition you deserve?

To understand what appeals to potential vendors or employers when they are weighing the worth of a property manager, you need to take a walk in their shoes.

For a potential landlord, it is difficult to distinguish what makes a good property manager. For a

However, the issue is broader than just exclusion; subletting dramatically increases the risk of damage to a property and also blurs the lines of responsibility for that damage. In the case of subletting via Airbnb, any damage caused by a guest of the tenant may result in a claim being made by the property owner. The tenant named on the lease would find themselves responsible for damage caused by their guest.

Standard home and contents insurance will not protect against many of the risks that landlords face.

Whether it is loss of rent due to an absconding tenant, malicious or accidental damage, or a whole range of other circumstances including tenant hardship, the RentCover range provides peace of mind to property owners - and has done for over 25 years. For more information please visitrentcover.com.au.

EBM’s advice about insurance is provided for your general information and does not take into account your individual needs. You should read the Product Disclosure Statement and Policy Wording prior to making a decision; these can be obtained directly from EBM. For more information, or to quote or apply online please visit rentcover.com.au.

potential employer, it’s even harder to differentiate between two ‘senior’ property managers.

One of the best ways to distinguish yourself as a professional property manager is to bear a professional qualification.

Becoming a Fully Licensed Real Estate Agent builds trust from your potential vendors and gives you the confidence that comes with professional personal branding.

Upgrading to a Full Real Estate Licence Qualification can be simpler than you might think. If you have experience working as a property manager, LinkLearn can recognise and assess the learning that you have gained during your work and help you with upgrading your professional qualifications without classrooms or exams.

If you aren’t already licensed and you’re struggling to get the recognition you deserve, head to LinkLearn.com.au/epm and speak to one of their career development officers to help you make your experience count.

For more information visit linklearn.com.au.

Put more cash back in your client’s pocket Add value to your existing service Gain a competitive edge Encourage new listings and grow your rent roll

UPFRONT

LEARN FROM THE BEST – VISIT EPM.ELITEAGENT.COM.AU

NUMBER CRUNCH RENTER FEEDBACK RENTERS’ ATTITUDES TO RENTING IN AUSTRALIA – RENT.COM.AU SURVEY

Australian renters who:

Are happily renting and don’t want to buy a home

26.8% McGrath Central Coast – redefining maintenance efficiency Leading managing agency McGrath Central Coast, led by Mat Steinwede and Jaimie Woodcock, has combined both cloud technology and creative thinking to achieve exceptional efficiencies, improved customer service, robust KPI reporting and better audit trails of every maintenance task.

Previously a portfolio-based office, the move to create a centralised maintenance team for their multiple office locations has been a win for the agency. The new structure creates enhanced efficiencies across each maintenance lifecycle stage.

Tenants and property managers enjoy the use of free agency-branded apps or web portals to lodge maintenance requests. This self-populates new tasks, with photos, in their cloud-based dashboard, ensuring no job is missed and accurate job information is created. Maintenance specialists then allocate the job as required to the landlords, trades suppliers and so on in a few simple mouse clicks. Property managers also enjoy access to the status of all job information from any internetconnected device, including Smartphones, tablets and PCs. Matthew Bull, Head of Department, explained, “Using the Maintenance Manager software that works with our trust system, we have seen a significant reduction in job completion times, greater accountability with our tradespeople and improved satisfaction among our landlords.”

With the automation of reminders and courtesy communications, customer service levels to landlords and tenants are increased by providing regular job status updates. As all parties are kept better informed there is a large reduction in the volume of inbound and outbound calls, creating cost savings and enhanced efficiencies.

The more effective control of trades suppliers in terms of accreditation and selection is also a critical component of the total maintenance solution adopted by the agency. This includes all trades suppliers being accredited for annual licence and insurance checks being outsourced to the Maintenance Manager software team, at no cost to the agency.

The comfort of knowing all trades are verified provides a significant risk mitigation strategy for the business.

“We are now in a position using the software whereby we are implementing service contracts with our tradespeople, improved reporting and other measures, such as auto-population of approved invoices into our system, that allow maintenance not to be the burden it once was,” added Matthew Bull.

For Maintenance Manager software information visit mmgr.com.au.

8 ELITE PROPERTY MANAGER • AUG-SEP 2016

Aspire to buy a house and not rent long-term

30.8% Don’t believe renting is an accepted lifestyle choice in Australia

81.8% Think their rental payments should be tax deductible

76.6% Think discounts should be given to good tenants

95.6%

EVERYONE’S TALKING ABOUT…

LEARN FROM THE BEST: THE PM TRANSFORM PROGRAM

TIME TO TRANSFORM: THE PM TEAM CHALLENGE THE SALES AGENTS HAVE

had their turn, and the property management community let us know it was time for them to have theirs. We have designed a team program for our four offices ready to take up the challenge: Adelaide Hills Real Estate (SA), Zelle (NSW/Vic), Property Management HQ (NSW) and R&W Marrickville/ Hurlstone Park (NSW).

OUR PM TRANSFORM teams have won some amazing prizes, including ARPM 2016 tickets (with flights and accommodation for Zelle and Harcourts Adelaide Hills), six months’ access to Real+ online for the whole office, a look at some of the new technology tools available to property managers and eight weeks’ coaching from the best in the industry, plus other tools to help them grow their businesses in the next 12 months.

Property Management Transform is brought to you by our major partners Rockend, Real +, ARPM 2016 and realestate.com.au.

AIR DATE

COACH

TOPIC

25 Aug

Fiona Blayney, Real+ (Head Coach)

Getting ready for growth, smarter goals, understanding where your business is at

1 Sep

Alister Maple-Brown, CEO, Rockend

Technology today vs the future, the cost/profit challenge, how technology drives business innovation

1 Sep

Fiona Mott, Product Manager, Rockend

Using technology to create and measure business success

8 Sep

John Knight, Business Depot

Drivers of value in a rent roll, organic vs acquisition, determining, refining and improving your profit formula, creating a culture that does not tolerate waste [principal focus session]

15 Sep

Charles Tarbey, CEO Century 21

Personal experiences and tips from one of Australia’s largest rent roll/franchise owners

15 Sep

Julie Davis + Neil Williams, Agent Dynamics

Are the right people in the right positions? How you can maximise team performance and improve culture, getting the team in flow [principal focus session]

22 Sep

Hannah Gill, Managing Director, Independent Property Management

Getting the appointment, nailing the listing presentation, plus other tips learned along the way

29 Sep

Samantha McLean

Social styles selling; make anyone like you

6 Oct

Sarah Bell, COO, LinkLearn

Double lesson: Part A – The middle man: understanding conflict resolution, the process and its outcome. Part B – Outcomes: working with third parties, advocates and tenant bodies

13 Oct

Fiona Blayney, Real+ (Head Coach)

Where are the obstacles now? The PM myths: what needs to break and why?

20 Oct

Richard Bray, Product Manager, realestate. com.au

How to market rental properties online, best practice in the open for inspections and tenant applications

27 Oct

Tanja M Jones, Mindset and Leadership coach

The empowered leadership model, including the six leadership practices inspired by leadership expert Brendon Burchard [principal focus session]

3 Nov

Sophie Lyon, Jellis Craig

Managing for growth, having the right resources ready at the right times [principal focus session]

10 Nov

Josh Cobb, CEO and Founder, Stepps

The social property manager; how to generate more management leads online and in social media; Why you should embrace negative feedback and the power of content marketing

17 Nov

Bradley Beer, CEO, BMT

Understanding the investor mentality in the current economic climate

17 Nov

Phil Oakes, PropertySafe

Redefining maintenance efficiency while managing risks

Highlights 24 Nov/1 Dec

Thought Leaders’ Roundtable

Reflections on the big lessons from PM Transform and looking into the future of property management

Highlights 24 Nov/1 Dec

The PM ‘Amazing Race’

The team challenge ‘with a twist’ that will see our teams compete for the inaugural PM Transform trophy

To follow Property Management Transform visit eliteagent.com.au/transform

Fiona Blayney

Richard Bray

Sarah Bell

10 ELITE PROPERTY MANAGER • AUG-SEP 2016

Fiona Mott

Bradley Beer

Alister Maple-Brown

Extend your brand and service with We take care of your clients and you get all the rewards.

Call 1300 554 323 Email partnersupport@connectnow.com.au Visit connectnow.com.au

Your own group of Account Managers.

A dedicated Partner Support team.

Quality service.

Connection guarantees for your clients.

Access to energy deals for your business and home.

Our rebates, bonuses and incentives take the cake.

Transparent reporting.

Single point resolution.

FIRST PERSON

Sophie Lyon

Quality time

WHAT’S THE DIFFERENCE BETWEEN an average property

manager and an amazing property manager? Many will answer: communication. But how can you be a great communicator if you are constantly rushed off your feet? Sophie Lyon takes a lesson from a gentler pace of life and reveals how to make every moment count.

I had a birthday recently.

Not a significant one but, scarily, I can see the big 5-0 from where I am standing now. So that started me thinking ‘where did the time go?’ and musing on the significance of time in so many aspects of our lives.

Everyone complains about how time-poor we all are, but I think we miss an important point when we do that. Being time-poor doesn’t just mean that you rush through things to try to get more done in your day. It should mean that we try to focus on making the time we have count. It should mean that, but rarely does.

Every interaction you have, whether with a friend, family member or client, should be 100 per cent focused on the task at hand. So rather than calling – or worse, emailing – a client with the old ‘here’s the issue, tell me what you want to do’, we should take time to consider what information the client might need in order to make that decision.

If we take the time to research what has occurred, what the options are, what the possible outcomes might be and the implications of each scenario, we go into a conversation with a client bringing value to the interaction and making the most of that time for both parties. Even if the client doesn’t want all that information, at the very least we will sound confident, reliable and solid. Dependable.

A trusted adviser.

COMMUNICATE, DON’T COMPLICATE Not all of us are skilled in the art of political responses, where you answer a question with something along the lines of ‘I’m so glad you asked me that question, but before I answer that, let me tell you this…’ There’s lots of that going around in

12 ELITE PROPERTY MANAGER • AUG-SEP 2016

the media right now!

Likewise, whenever you are working on an issue with a client, update them regularly.

Unfortunately, in the absence of information people make things up to fill the void. Even if it is nothing more than a quick call or email to advise the client that you are working on the problem and give a time frame for when you will have the answer, it avoids the client calling you to chase things up, feeling left out or forgotten.

When you are speaking with someone, slow down and listen to them. Don’t just wait

I USED TO WORK WITH A GUY WHO WOULD FINISH YOUR SENTENCES FOR YOU, BUT BE WRONG! DON’T ASSUME YOU KNOW; WAIT UNTIL YOU DO. for your turn to speak. I used to work with a guy who would finish your sentences for you, but be wrong! Don’t assume you know; wait until you do.

Apparently Bill Clinton was a master at this, having the ability to make each individual feel like the only person in the room when they were speaking to him. Having tried it myself, I know this can be quite hard, especially when there is a lot going on where you are (or, in my case, you’re an easily distracted Gemini: ‘oh look, a fluffy cloud!’). However, if you keep working at it you will master the skill and your relationships will improve, along with your ability to recall conversations or events as though you were totally present at them.

GET BACK TO COMMUNICATION BASICS Back in the Dark Ages before email, mobiles and so on, there was time to consider things more fully and fewer instances of being put on the spot or pushed for an immediate answer. Therefore, if you need time to think something through, tell the client you need to look into it and discuss their time frame.

Usually, if you ask someone when they need it by, it’s rarely immediate and they can give you time. I’m a huge fan of phone appointments as well; they cut down on ‘phone tag’ and allow both parties to be ready for the conversation. Beware though, you will be expected to come prepared – but at least you will have had time to do so!

Spending time thinking, prepping, studying, learning or writing is valuable. We are all caught up in the immediate, the noise, the pressure, the grid... shut it down, block it out and take some time to remember why you do this job. What do you want to achieve? Take the time to make that happen.

As they say, time is precious; by giving this precious resource to your clients, you create a relationship with them that’s based on trust. Believe me, there’s nothing better. ■ With more than 25 years’ experience, SOPHIE LYON has a proven track record in property management and has led a number of businesses to new heights through her strategic yet people-focused approach.

Professionally active and widely respected, Sophie is a past Director and Vice President of the REIV and a regular speaker at real estate industry events throughout Australia and overseas.

epm.eliteagent.com.au 13

Bradley Beer

FIRST PERSON

The advantages of co-ownership

TREND ALERT: JOINING FORCES with friends or colleagues to buy

an investment property may make good financial sense and also bring tax benefits for everyone. Bradley Beer explains.

Given the current economic climate, it’s not surprising that investors are joining forces with friends, colleagues or family members to purchase investment properties.

Beyond the advantage of increased purchasing power, co-ownership also allows investors to share the burden of corresponding expenses involved in holding the property and to take advantage of additional depreciation deductions.

A depreciation schedule, which allows investors to claim available deductions for the wear and tear of the building and plant and equipment assets contained, helps investors to reduce their tax liability and therefore increase their cash return.

However, did you know, when co-ownership applies, the deductions for plant and equipment assets are usually higher as a specialist quantity surveyor is able to apply depreciation legislation by ownership percentage and provide what is called a ‘split schedule’? In a split schedule, rules such as the immediate write-off and low-value pooling are used to increase deductions for each owner.

In a standard depreciation schedule prepared for one

owner, an immediate writeoff allows owners to claim the full value of any asset which costs less than $300 in the financial year the asset is acquired. When there are two owners or more, an immediate write-off applies to any asset in which each owner’s interest in the asset is below $300. For example, in a 50:50 ownership split both owners can write off assets totalling $600.

Low-value pooling allows owners to add low-cost assets with an opening value of less than $1,000 and low-value assets with a written down

value of less than $1,000 into a low-value pool. This method means these items can be claimed at an increased rate of 18.75 per cent in the first year after acquisition and 37.5 per cent from the second year onwards.

However, in a situation where there is more than one owner, a quantity surveyor will apply pooling rules to each owner’s interest in the assets. For example, in a 50:50 ownership split they can pool assets less than $2,000 in total.

The following example shows how depreciation deductions for hot water

systems and heat-light and exhausts will be improved using a split report for two owners with a 50:50 ownership interest.

By obtaining a split depreciation schedule, the first year claim for each owner went from $162 to $356 and the second year claim went from $168 to $221.

A hot water system purchased for $1,450 can be depreciated using the low-value pool, while the heat-light and exhaust unit valued at $440 can be written off immediately as a $220 deduction for each of the owners.

The increased depreciation deductions become more significant when accounting for all the assets typically found within an investment property. Quantity surveyors can also take into consideration any number of owners or ownership percentage, from 60:40 to 1:99 or even four owners at 70:15:10:5. ■

BRADLEY BEER (B. Con. Mgt, AAIQS, MRICS, AVAA) is the CEO of BMT Tax Depreciation.

For more information, visit bmtqs.com.au

WITHOUT SPLIT DEPRECIATION SCHEDULE – 50:50 OWNERSHIP INTEREST Total operating cost

Depreciation rate

Total first year deductions

First year deductions for each owner

Second year deductions for each owner

Hot water system

$1,450

16.67%

$242

$121

$101

Heat-light and exhaust

$440

18.75% first year 37.5% second year onwards

$83

$41

$67

Asset

WITH SPLIT DEPRECIATION SCHEDULE – 50:50 OWNERSHIP INTEREST Total operating cost

Opening cost each owner

Depreciation rate

Hot water system

$1,450

$725

Heat-light and exhaust

$440

$220

Asset

Deductions in this example are based on full financial year.

14 ELITE PROPERTY MANAGER • AUG-SEP 2016

First year deductions for each owner

Second year deductions for each owner

18.75% first year 37.5% second year onwards

$136

$221

100%

$220

NA

FIRST PERSON

Jess Kindt

Getting mobile: Work is something you do, not somewhere you go RECENT YEARS HAVE SEEN the rise of the ‘new-age property

management client’ who has access to information at the click of a button. To withstand this client’s rigorous expectations of property managers, Jess Kindt explains that luring in top talent with flexible working arrangements is the way to go.

Haven’t we seen a dramatic shift in property management over the last decade? Business hours have held little reference or relevance since the introduction of mobile phones, providing clients with the ability to contact you at any time from anywhere.

Since the birth of mobile devices, the internet and, more recently, cloud-based trust accounting software and property management inspection apps, property managers and leasing teams now have the ability to run their tasks on the go in order to meet these increased communication expectations.

We are seeing fewer clients face to face, with most conversations occurring over the phone or via email or text message. We also know that tenants are most likely to visit an online real estate search portal as a first point of call when finding suitable rental accommodation, rather than physically walking from agency to agency collecting rental lists. Our business is

becoming almost completely web and phone based.

As our industry is being revolutionised by our ability to run our property management businesses from anywhere, this has created some fantastic opportunities for real estate offices to recruit truly amazing staff.

STAFF ARE SEARCHING FOR FLEXIBILITY Just over 12 months ago, my agency hired a property manager to manage a portfolio of about 145 properties. I knew her well as I was a previous client of hers and we remained in contact over the years. I was desperate to get her on board with us. She carried over seven years’ property management experience and is one of the loveliest, most professional property managers I have come across in my career.

After many years of approaching her, begging her to work for me, she finally jumped on board with our agency. Not because we

16 ELITE PROPERTY MANAGER • AUG-SEP 2016

WE NEED TO KEEP OPEN MINDS IN OUR INDUSTRY AND REALISE THAT ARRANGING FLEXIBLE WORKING CONDITIONS IS NOT THE FUTURE – IT’S THE NOW. offered her more money. Not because we, in her opinion, would offer her a better work environment. There was really only one reason that drove her to leave her old agency behind and start anew with us: flexibility.

After working for another company for the past six years, she had recently returned from a short period of maternity leave. She was working three days a week in the office and two days per week at home managing a large portfolio. Unfortunately,

her business now wanted her to go back to working fulltime in the office, five days a week, but due to ridiculously high day-care fees, she was unable to commit to this arrangement.

BE RIGID AT YOUR OWN PERIL By refusing to continue the flexible working agreement, they lost one of the most loyal, committed and hard-working property managers in the industry. We snatched her up instantly on the provision she would work one day every week at home, as per her request – and that we would ensure she was completely set up with the IT capabilities to allow her to do this.

We had not offered this kind of arrangement to a property manager before, but we all agreed that there was little reason why it wouldn’t work, based on the cloud-based solutions

We focus on the importance of matching the right Candidates with the right Clients, every single time!

we have here at Place. We set a strict structure and made clear our expectations around this arrangement; as a result, we conduct regular portfolio audits and have set precise key performance indicators to ensure we can monitor from afar.

Twelve months on after joining our agency, our mobile property manager has received numerous property management awards and, until very recently, was managing close to 200 properties without assistance whilst continuing to reach full KPIs at the end of each month.

Amazing! We are yet to receive one single complaint from any client since her commencement and her portfolio continues to remain in outstanding condition. She also absolutely loves working for us.

As a mother of two boys myself, I know that flexibility overrules any other factor

when choosing employment.

Through my network stretching over 13 years, I know that there are hundreds of property managers, business development managers and leasing consultants who have the experience, the drive, the mentality, the work ethic and the professionalism to make any business successful.

However, due to their inability to commit to nine-to-five office hours, they may miss an employment opportunity.

We need to keep open minds in our industry and realise that arranging flexible working conditions is not the future – it’s the now. Don’t miss your opportunity to snatch up your next most valuable employee; recognise talent and keep it flexible. ■

We unite talented individuals with outstanding companies whilst providing an incomparable service to both our Clients and Candidates.

For all your Real Estate needs across the board from Front Office Manager to Licensee as well as all your Property Recruitment needs, our team of experienced recruiters are here to help you.

JESS KINDT is Head of Property Management Operations for Place Estate Agents in Brisbane.

epm.eliteagent.com.au 17

Property Management Mentor

Natalie Hastings

HOW TO WIN FRIENDS AND INFLUENCE PEOPLE: THE REAL ESTATE EDITION DALE CARNEGIE’S SEMINAL WORK How to Win Friends and Influence People sits on the

bedside table of many an agent. Named one of Time’s 100 most influential books, it has sold over 30 million copies and has lessons for all of us in the industry.

H

ow to Win Friends and Influence People has undoubtedly helped plenty of real estate professionals improve their communications and relationship skills. Building upon Carnegie’s evergreen self-help classic, today we present How to Win Friends and Influence People: The Real Estate Edition – helping agents break down the barriers between the public and property professionals.

CHANGE THE PUBLIC’S PERCEPTIONS It’s no big secret that estate agents aren’t number one on the popularity list when it comes to public perception.

And whilst many of the public’s accusations are unfair – that agents are all dishonest, that they artificially push up the price of properties and so on – the onus is on all of us as an industry to be professional, avoiding unconsciously falling into negative stereotypes.

Let’s talk presentation first.

The most prevalent stereotype of an agent is that of a smarmy, schmick individual, jetting around the suburbs in an ostentatious vehicle. Think very carefully about the way you present to the public as

first impressions do matter.

Is your attire that of a trustworthy person who respects the gravity of their role, or is it more like partywear for a cocktail event?

Fellas, leave the ultra-slim suits, thin ties, gelled hair and pointy tappers for Saturday night.

Ladies, put aside the bodycon dress, heels that make you totter and Kim Kardashianworthy contouring for fun times with your girl squad. And whatever you do – don’t leave your sunnies on your head (or worse, on your eyes) when you’re conducting OFIs. Your professional capabilities and skills should shine – not your fashion gaffs or immaturity.

WIN CLIENTS BY ADDING RESPECTFUL VALUE Nearly everyone dislikes being cold-called or door-knocked.

Let’s face it: it’s pretty invasive.

And it’s even more offensive to be asked by a perfect stranger, apropos of nothing, if you’d like them to sell your home.

For most people, this is a deeply personal question and

an invasion of their privacy.

The reality is, property professionals need to prospect and we ultimately need to ask that question.

We don’t, however, need to keep employing dinosaurera prospecting techniques that the public revile. Rather than ringing at inopportune moments, think about the timing of your prospecting calls and their content. Forget a scattergun approach to this important process; instead call during business hours and have something meaningful to share.

Service is what we can offer our clients to win their business – building loyalty, earning their trust through genuine assistance. Don’t ask them off the cuff if they want to sell their home.

Rather, offer them information that is relevant to their own investment. Diarise to follow your prospects up in a suitable timeframe and, if you’ve had a good conversation, send them a thank-you card to remind them of your existence. And not the

YOUR PROFESSIONAL CAPABILITIES AND SKILLS SHOULD SHINE.

18 ELITE PROPERTY MANAGER • AUG-SEP 2016

branded cheapies, either! Be memorable in every good way – including your stationery and handwritten notes.

BE FRANK FOR FRIENDSHIP Good vendor or landlord relationships mirror the complexity of any long-term friendship. There are always ups and downs – but for friends to go the distance, they occasionally need to speak frankly to one another. Honesty is the best policy, even if it’s painful to deliver bad news.

Too often, agents avoid telling vendors and landlords unvarnished market feedback in a timely fashion. And it’s not because they’re dishonest – it’s because they want to avoid hurting their client or causing ill feeling. Unfortunately, avoiding your client’s shortterm disappointment or anger at bad news results in Taylor Swift levels of Bad Blood. It also means that transactions take longer, affecting the bottom line for all parties involved. Real talk is the best policy with your clients, always. ■ NATALIE HASTINGS is the Managing Director of Hastings + Co. For more information, visit hastingsandco.com.au.

Manage property like it’s 2016… anywhere, anytime.

FIND OUT MORE TODAY www.propertytree.com | 1300 778 733

Business Development Mastery

Tara Bradbury

HALF TIME SCORE CARD: ARE YOU ON TRACK FOR 2016?

TAKE A MOMENT to step back and review where you are spending your time, ensuring

that it’s on the areas that produce the real results.

I

t seems like only yesterday when I put pen to paper and wrote my goals for the year ahead. Like many of us, I’m now taking the time to review my current achievements. I find this can be a very confronting and rewarding experience – depending, of course, on my performance over the last six months.

This time is a great opportunity to gain feedback from another team member, a personal mentor or an individual who leads by example.

For business development managers, I highly recommend reviewing these points and discussing them in your next team meeting.

1

TIME MANAGEMENT Where you spend your time between 9.00am and 5.00pm is critical for anyone focused on rent roll growth. This is your key time to prospect and secure new opportunities for the agency. Make sure you spend 80 per cent of your time on the phone and in face to face meetings and 20 per cent on administration duties.

2

ACCOUNTABILITY Whether you have a personal mentor or are accountable to a team leader, no one likes to be micromanaged. If you want

to be better than the person you were yesterday, you need to be prepared to take a risk and share your goals out loud.

By sharing this information you will find yourself feeling guilty when targets are not achieved and question where you are spending your time, as you don’t want to disappoint the person who is aware of your vision.

LIKE MANY OF US, I’M NOW TAKING THE TIME TO REVIEW MY CURRENT ACHIEVEMENTS.

3

EXTRAORDINARY CLIENT SERVICE Know your ‘why’ and the service you can provide to support your clients’ needs. Understand that customer service is a culture, not a checklist, and can change rapidly as your team grows – especially if not properly monitored.

Don’t let negative behaviour get swept under the rug or tolerated just because you are in fear of having to replace a team member. If someone in your team is unhappy and displaying signs of negativity,

20 ELITE PROPERTY MANAGER • AUG-SEP 2016

pull them aside and ask open questions with compassion.

One bad egg in a team can destroy many years of high quality customer service within seconds.

4

DELEGATING AND SUPERVISING As you grow the property management department you will find your systems and procedures will adjust with each team member who comes on board.

We are very lucky to be in an industry that is developing at a rapid pace and has many fantastic tools to help speed up the process across all aspects of property management. This allows us to have full-time business development managers sign 10, 20, 30, even 40-plus managements per month. It is important that you continue to review each individual’s job description, ensuring every team member is aware of the role they play and the impact they have on your agency’s rent roll growth path.

5

WEBSITE This is now your ‘Director of First Impressions’ and if not reviewed, can be damaging to your brand and lead generation pipeline. In fact, at least 90 per cent of people will scroll past within seconds

if your website is hard to find or unappealing. Why is it that so many businesses build a fantastic website, which in the first few months draws a lot of business, then forget to update the information?

If you are building and forgetting, you are just wasting your time. If you don’t have the time to ensure your website is managed and updated with new information, delegate the task to one of your property management department members. Hand the responsibility to them and set yourself a task to follow them up. Make sure they update staff changes, office structure updates, add testimonials and, if you move your office, update the address details.

They should add any new information about your products or services and the BDMs should write a few blogs that will provide value-added information to investors.

Now is the time to prepare for a strong finish to your year by reflecting back on the first six months.

Make the appropriate adjustments to ensure 2016 finishes with a bang! ■

TARA BRADBURY is the Director of the BDM Academy. For more information, visit bdmacademy.com.au.

Realty Bytes

Alister Maple-Brown, CEO, Rockend

ROCKEND ROLLS OUT NEW BENCHMARKING TOOL I’M PLEASED TO ANNOUNCE a new product which sits within Rockend’s core service

offering. Our latest development, realbenchmark, is a cloud-based business intelligence solution for Rockend’s REST Professional clients.

T

he new platform boasts a oneclick, highly visual dashboard that allows property managers to easily compare and analyse their KPI data results in one place. Being cloud-based it is accessible on any device; you just need an internet connection.

This product has been developed under the guidance of the realbenchmark product manager, Fiona Mott. Her extensive experience in the real estate, and specifically property management, sector has contributed to the valuable business insights this KPI business tool provides.

After speaking with numerous clients it became apparent that a KPI and benchmarking tool was something many of them were after. “There was a real opportunity to enhance the existing KPI reporting in REST Professional and create something that was visual and super-easy to use. The

meaningful outputs from the data jump out at you from the dashboard. It’s that easy.

The simplicity of it is great; our users don’t have to do anything,” says Fiona Mott.

“It’s a direct reflection of what’s happening in REST Professional.”

A select group of 50 existing REST Professional clients have been trialling the product and have provided positive and supportive feedback, so we knew it was time to make the product available to the wider REST client base.

“Realbenchmark’s weekly and monthly reporting, along with its ease of access anywhere, anytime, via the cloud, is reflective of the needs of today’s property management industry which, like so many others, is moving at a rapid pace.“ Everybody wants everything at their fingertips, Mott says. “You can view your properties gained or lost, leasing activity and maintenance; any of the KPI metrics realbenchmark

reports on. Not only understand but see how you’re performing, plus the graphs can be customised based on your needs.”

The benchmarking element inside realbenchmark means you can take your own KPIs and compare them to other similar businesses and the industry via simple filters. “So you really can compare likefor-like businesses, as well as understand where the industry average is at,” says Mott.

We are looking forward to rolling out this business intelligence tool across our REST Professional customer base. ■

Coaching on the future of property management technology, ALISTER MAPLEBROWN and Fiona Mott will give our PM Transform participants a sneak peek at realbenchmark. Stay up to date at eliteagent.com. au/transform.

THE BENCHMARKING ELEMENT INSIDE REALBENCHMARK MEANS YOU CAN TAKE YOUR OWN KPIS AND COMPARE THEM TO OTHER SIMILAR BUSINESSES AND THE INDUSTRY VIA SIMPLE FILTERS.

epm.eliteagent.com.au 21

COVER STORY

22 ELITE PROPERTY MANAGER • AUG-SEP 2016

STRIKING THE RIGHT

BALANCE

AT THE HELM OF MELBOURNE’S exclusive Luxe

Property estate agency, Sabina Aldouby is about balancing efficiencies and relationships – values which are reflected in the thriving property management-centric business she directs. Iolanthe Gabrie sat down with Sabina to learn more about her 20-year career in the property management category, and why Luxe Property’s old-school endto-end service has future-proofed her business in a real estate environment of constant change.

S

ABINA’S REAL ESTATE CAREER began in 1996 after she decided to leave a nursing degree. “I got halfway through my degree and felt I didn’t have the passion for it. I went to my career counsellor and said ‘What am I going to do with my life?’ She suggested real estate and I thought ‘That’s it! That’s what I want to do!’

“I started my career with a very small agency in the CBD. I was there for four years before I was headhunted by Mirvac, who were ramping things up in Melbourne. I set up their rental department based on property developments they had coming up for settlement. I did that for another four years; during this time I had my first child and went back to work. That was easy: I loved what I did.

“Then I got pregnant with my second. By this time, I was approached by Australand – they saw what I’d developed in property management as a value-added service to their clients. So I went to consult with them whilst I completed my real estate licence part-time, ultimately unsure of whether I’d use the qualification. I decided it was time to create a little business from home – just word of mouth, family and friends. I had five clients; it was a hobby, called Real Estate Essentials. This was 12 years ago. I built that up to about 40 properties.”

Sabina’s hard work and diligence were noticed by another developer. “They had a lot of developments coming up in Melbourne and were interested in value-adding for their clients. We formed Luxe Property together; that was in 2006. Initially it was me looking after things, but it was soon time to expand.

“A couple of years into Luxe Property we thought, ‘How will we ramp this up?’ So we thought we’d explore purchasing rent rolls. At this stage we were at 150 properties, so thinking about integrating 300 properties in one hit was a big challenge. Interestingly enough, within 12 months we acquired six rent rolls. Currently we have 1,300 properties under management; of these around 800 are from rent roll purchases.”

As any property manager who has incorporated purchased rent rolls will know, this process can be taxing on any business. “There were lots of challenges associated with completing due diligence on those rent rolls,” notes Sabina. “We learned the hard way. We implemented steps to ensure we were dotting i’s and crossing t’s, so by the time we purchased the sixth one we were a well-oiled machine.

“Along that journey there were the challenges of employing staff, and making sure our systems and procedures were watertight. That led us to where we are today. Luxe Property went from two staff to 12 very quickly. We also have clients who want to sell, so we’ve established a small sales team too.”

Luxe Property has a wide cross-section of property in their care, from one and two bedroom apartments through to executive homes worth $2,000 per week.

Does having such a variety of stock present concerns?

“In that mid-section there’s a lot of new development stock which can come with challenges, particularly when a landlord’s investment value isn’t sitting at the level

“IT’S IMPORTANT THAT WE FIND THE BALANCE, ENSURING THAT PROPERTY MANAGERS HAVE A TOUCH POINT WITH CLIENTS AND THAT IT’S NOT ALL TECHNOLOGY-BASED.”

epm.eliteagent.com.au 23

COVER STORY they expected it would. We really work hard to condition clients’ expectations.

In terms of the area we look after, we decided we couldn’t efficiently service clients all over Melbourne. Instead, we service within a four to 10 kilometre radius of the CBD. Any further and efficiencies just aren’t there. We also think our clients would suffer for us not being in their areas regularly.”

With sharp modern branding, Luxe Property’s identity is carefully curated, representing their unique service proposition. “We don’t look at ourselves as typical real estate agents,” says Sabina.

“Our core asset is our rent roll. Not many agencies have a director who is solely focused on the rental department. I’m a resource and knowledge base for our property managers.

“As any property professional knows, no two days are the same. No two problems are ever the same. A property manager with five years’ experience might not always have all the answers, so for us it’s about collaborating with senior property managers to give them the process required to remedy a situation that’s extraordinary.”

Talking of the extraordinary, are there any differences when leasing properties in the luxury category? “The days of relocation agents doing interstate or international transfers are few and far between. We need to look at other ways to attract individuals to luxury properties.

Whether we’re targeting major companies directly or using online marketing, we make sure we’re pricing appropriately to minimise vacancies.

“People are paying a lot of money to live in luxury properties and their expectations can be quite different. Some in the industry think that high-end properties are really easy to look after: you get a great tenant,

it’s set and forget. That’s not necessarily the case. Really simple maintenance items are expected to be addressed very quickly, as many luxury property tenants feel like they’re living in a serviced apartment environment.”

Sabina prides her business on its ability to balance old-school human service with technology. “I’m old-school in terms of our business structure. For landlords and tenants there is one point of contact.

There’s been a recent shift towards having leasing consultants, property managers and maintenance managers. I’m a big believer that clients want one point of contact. There’s accountability in such relationships – property managers need to see things through.

“We offer end-to-end management; our property managers have all resources available to them to ensure that they follow through the leasing processes, the admin processes and any maintenance and communication with clients throughout the tenancy. That’s something which sets Luxe Property apart from other agencies.

“The main attribute of good property managers is that they’re control freaks.

They want to do everything themselves.

They want to be the person at the open for inspection; they want to help select

“THINKING ABOUT INTEGRATING 300 PROPERTIES IN ONE HIT WAS A BIG CHALLENGE. INTERESTINGLY ENOUGH, WITHIN 12 MONTHS WE ACQUIRED SIX RENT ROLLS.”

24 ELITE PROPERTY MANAGER • AUG-SEP 2016

the tenant because that’s the person that they’re going to be dealing with throughout the tenancy.

“It’s interesting to see the shift towards technology that’s being pushed to property managers, supposedly to save them time.

I believe there’s a balance in that: some things can save you time, others cause a hindrance in efficiencies. Something I created many years ago is Luxe Property’s routine inspection report and condition report, which is something we’ve built for the iPad. It’s branded, it’s concise. And then property managers drop in specific photos of maintenance items to discuss with landlords if they are not at the inspection.

“For me, it’s important that we find the balance, ensuring that property managers have a touch point with clients and that it’s not all technology-based. When clients can log into technology independently and obtain financial statements and the things they need, they don’t ever need to speak with their property manager. I don’t want to go too far down that pathway, as there’s no returning point. It’s a balancing act that’s important to maintain.”

So how much time does Luxe Property invest in social media marketing? Sabina is unequivocal. “Social media can be done really well, or really poorly. Often agents on social media are just shoving new listings down your throat. Luxe Property presents a mix of thoughtprovoking content and sharing interiors that we admire – even if they’re not always representative of the properties we list. We mix up our social media with listings we have available, creating an awareness of the brand.”

Highly involved in local real estate industry bodies, Sabina has been on the Property Management Chapter Committee for the REIV for the past year, and is also part of the subcommittee for the Residential Tenancies Act. Being conversant with laws and trends as they shift is clearly key to Sabina’s success in building a 12-strong team of passionate property professionals. So how is the future of property management looking, according to Sabina?

“For a business that remains focused on providing a significant point of difference for their clients, the future is bright. There’s been a shift towards smaller operators focusing on property management. I don’t think that’s a bad thing – there’s enough business for all of us in this industry. The focus should be on providing an end-to-end service that you can be proud of.” ■ IOLANTHE GABRIE

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FEATURE INTERVIEW

CAUGHT IN THE

CROSSFIRE

COURAGE, DEDICATION and strength: Major Matina

Jewell has shown all of this and much more throughout her life. Now an inspirational speaker and author, Matina served for more than 15 years in the Australian Defence Force Academy as a UN peacekeeper. She has led troops in the Gulf, worked alongside US Navy SEALS and experienced gruelling conditions. Speaking at ARPM 2016, she knows firsthand about performing under immense pressure and making crucial decisions. Here she offers some amazing words of advice, relevant to business and life.

26 ELITE PROPERTY MANAGER • AUG-SEP 2016

I

N 2006, MATINA JEWELL’S life changed forever while on duty, with a car accident in the ancient Lebanese city of Tyre. She was thrown onto the bulletproof windscreen of her vehicle, the impact so strong it broke her back in five places and ruptured her diaphragm. Evacuated to hospital, it wasn’t long before she heard that her teammates back at the UN compound had been killed in an air strike.

Matina writes about her experience in her book Caught in the Crossfire, a true insight into her life as a peacekeeper in the war-ravaged Middle East. The book tells the story of coping against the odds, making decisions to determine your success and questioning your thinking. It is also the first book in Australia to contain QR code technology, allowing readers to step into the story: by scanning a barcode symbol with their phone they can watch videos taken while Matina was in the Middle East.

When Elite Agent caught up with Matina recently, we were inspired. First we wanted to know what led her to a career path with the Armed Forces.

“During my schooling I had been looking at different career paths, but a pivotal point for me in deciding what I actually wanted to do with my future was that I played a lot of sports. I represented Australia in a couple of sports, 10 sports at state level.

[And travelling to places like China] gave me a whole new perspective on life outside of Australia,” she says.

“It made me far more appreciative of the privilege I had. My Chinese opponents would ask me if I’d ever seen stars at night, because it was something that they had never seen for themselves!”

Matina returned from that experience with five career goals: to travel overseas, to help disadvantaged communities, to be in a team environment, to be a leader and to focus on something that was a combination of sporting and academic. The ADFA ticked all the boxes and, with an added goal of becoming financially independent at the age of 17, the drive to succeed in the Armed Forces outweighed the surprise her parents initially felt.

“I remember their parting words were, ‘There’s no way you’ll see military action as a woman’ and here I am, five overseas missions later and having almost lost my life.

I could have died so many times.”

Along with serving in a number of war zones around the world, Matina was the first woman to qualify as a Navy diver, despite being in the Army; she was also the first woman to qualify to fast-rope out of helicopters to board smuggle ships

– something that is usually reserved for Special Forces but which became a necessity at the time.

“I was given the opportunity to do things with my career I’d never imagined, and at the same time I was in a leadership role with soldiers looking at me to provide the example, to leap out of that helicopter and lead my team in extreme environments.”

Given the path her career led her on, there is little doubt that at some point Matina was terrified of what lay ahead or, more accurately, around the corner. So what advice does she have for managing fear?

“The most terrifying situation I’ve ever been in was in Lebanon during the 2006 war. We were surrounded by Hezbollah guerrilla forces and in a split second it went from monitoring a peace agreement as an unarmed peacekeeper to suddenly being thrown into full-scale warfare where Israeli fighters had attack helicopters,” she says.

“As a leader, you’ve got to put aside your personal fear. You need to be able to put your emotions aside so you can keep operating and keep being decisive: making decisions, managing the risks at the same time and being able to keep clarity around what you’re doing.

“You’ve got to say, ‘Okay, yeah. I’m terrified, but that’s not helping. I have no option. I have to keep making decisions.’

Otherwise it’s more likely that a worst-case scenario will occur.”

“MY ADVICE TO PEOPLE GOING THROUGH TOUGH TIMES IS TO FOCUS ON YOUR PURPOSE, AND IF IT CAN HELP OTHERS IT DOES HAVE A DOUBLE POSITIVE. IF YOU’RE A LEADER AND YOU NEED TO BUILD RESILIENCE IN YOUR TEAM, TRY AND FOCUS ON A NEW SENSE OF PURPOSE.” Although it’s a far cry from stepping into a war zone, as a property manager you’ll still face adversity that challenges your role and your mindset. If you want to be a leader in your profession, Matina offers the following tips.

“It’s the little steps. Most people in business don’t go suddenly from doing nothing to overnight business success. It’s a process. It’s the learning opportunities that come along and having that courage to make the most of it and keep positive about what’s happening around you. Keep the momentum moving forward, find your sense of purpose and hang on to it.”

In property management, leadership is key to success. According to Matina, there are three key skills required for someone to be a great leader, regardless of the industry they work in.

1. Effective delegation and empowering others to carry out your vision.

2. Effective communication with your

“IN A SPLIT SECOND IT WENT FROM MONITORING A PEACE AGREEMENT AS AN UNARMED PEACEKEEPER TO SUDDENLY BEING THROWN INTO FULLSCALE WARFARE.”

team so there’s crystal clear alignment of the leader’s vision.

3. Knowing your team so you can draw on individual strengths and weaknesses to make the team as strong as it can possibly be.

No matter the industry, you need to be agile, brave and willing to tackle change – even if that change leads you in an uncertain direction. And when it comes to facing challenges in life, Matina says you need to focus on the incredible opportunities that come from extreme adversity.

“I hit absolute rock bottom after I was injured so I know what it’s like, but my advice to people going through tough times is to focus on your purpose, and if it can help others it does have a double positive.

If you’re a leader and you need to build resilience in your team, try and focus on a new sense of purpose.”

And with focus and positivity two of her best traits, Matina is putting them to further good use by becoming an ambassador for Thankful Foundation, an Australian initiative partnered with the United Nations, that seeks to empower women and children around the world.

“There are a number of aspects to it: looking at everyday activities and shifting our mindset into one that’s more positive; to be thankful for the things that we have, rather than striving for other things or focusing in a negative way on all the things we don’t have, or are yet still to achieve or attain,” she says.

“As a society, we need to raise our children and ourselves to become more appreciative of what we have, to look at what’s happening around the world and realise how very fortunate we are to be in Australia.” ■

INTERVIEW: SAMANTHA MCLEAN WORDS: TARA TYRELL SCAN THIS QR CODE TO WATCH MATINA IN ACTION AS A UN PEACEKEEPER DURING HER TIME IN THE MIDDLE EAST.

epm.eliteagent.com.au 27

BEST PRACTICE

CLOSING THE AIRBNB LOOPHOLE

LISA JEMMESON EXPLAINS THE DETAILS behind the

recent Victorian Supreme Court decision in Swan v Uecker, often referred to as the ‘Airbnb case’, where it was found the tenant could not sublet their residential property on short-termstay websites.

BACKGROUND The landlord rented her two-bedroom St Kilda apartment in August 2015. The parties entered into a standard form Residential Tenancy Agreement for a period of 12 months. During the currency of the lease, the landlord became aware that the tenants were subletting the property through a short-term rental site, Airbnb. The landlord issued a termination notice. The matter remained in dispute, and the landlord made an application to the Victorian Civil and Administrative Tribunal (‘Tribunal’) for an order of termination, purporting that the tenants breached the lease by subletting the property. The tenants conceded that the property was listed on Airbnb but disputed that the listing on the website and occupation by guests breached the Residential Tenancy Agreement. The tenants were represented by the Tenants’ Union of Victoria.

WHAT IS AIRBNB? Airbnb is a website that facilitates shortterm stays of properties and rooms. The website boasts over two million listings worldwide and operates in 191 countries.

The site is popular because it is easy to use and offers ‘hosts’ the ability to purchase insurance to cover damage to the property, and also a liability insurance if an occupier was injured on site. All money is collected by the website, and the host is charged approximately three per cent of the cost of the booking.

FINDINGS AT FIRST INSTANCE When the matter went before the Tribunal at first instance, the Member dismissed the landlord’s application for termination on the basis that the tenant was not ‘subletting’ the property. In the reasons for the decision, the Member stated that “Airbnb is to the residential tenancy market what Uber is to the taxi industry –

28 ELITE PROPERTY MANAGER • AUG-SEP 2016

unregulated and controversial.” There was a finding that “the use by the tenants of the rented premises as an Airbnb amounts to a licence and not a subletting; as such the landlord is not entitled to a possession order.”

WHAT IS THE DIFFERENCE BETWEEN A LEASE AND A LICENCE? This question goes to what we ‘give’ someone for value in respect to land. The ultimate ‘giver’ is the Crown – either the Commonwealth or State Crown. They possess the ultimate title which allows them to make laws regarding land, including laws about tenancy.

The Crown may ‘give’ a fee simple interest in land, or ownership in land. This ownership allows a landowner the right to control who occupies and goes upon the land. This ownership is subordinate to the Crown. Therefore, the Crown can still reserve rights as to minerals and can

THE TENANTS CONCEDED THAT THE PROPERTY WAS LISTED ON AIRBNB BUT DISPUTED THAT THE LISTING AND OCCUPATION

BY GUESTS BREACHED THE RESIDENTIAL TENANCY AGREEMENT. DECISION IN THE SUPREME COURT The landlord contended that the Tribunal made vitiating errors in respect to three questions at law, one of which was regarding the finding that Airbnb guests were not given exclusive possession. The Supreme Court found that “the Airbnb Agreement for the occupation of the whole of the apartment is properly to be characterised as a lease between the respondents, the tenants and the Airbnb guests for the period of occupation agreed between them. It follows that their entering into this agreement is, having regard to their own tenancy of the apartment, a sub-lease.” Consequently, the tenants were found to be in breach of the provisions of their lease, which did not permit subletting without the written authorisation from the landlord or the landlord’s agent. compulsorily acquire the land. A landlord has ownership in the land.

The landlord can ‘give’ a tenant a leasehold interest in the land. The Residential Tenancy Agreement transfers from the landlord to the tenant the exclusive right to occupy the land. The tenants may exercise this right against the world at large, including the landlord; the exception to this rule is in regard to the Crown and a mortgagee in possession with orders of the Supreme Court.

The next interest in the land in the hierarchy is a licence. A licence is a contract that ‘gives’ someone the right to go onto the land; however, it does not give exclusive possession, which is the right to occupation against the world at large.

The case therefore was that the tenant was subletting the property, which was a breach of the lease. The finding in the Tribunal was that a subletting did not occur when the tenant listed the property

on Airbnb because there was not a disposition of a leasehold interest. Rather, there was just a licence to occupy and subletting requires a lease, not a licence.

GROUNDS OF APPEAL There were three grounds of appeal against this finding: “Was there any evidence or other material before the Tribunal to support the finding that the tenants were able to access the rented premises during each Airbnb stay?”

“When determining whether a person has exclusive possession of a premises, is it relevant to consider whether that person can be made to leave the premises if they stay longer than the period that has been agreed for them to stay?”

“When determining whether a person has exclusive possession of a premises, is it relevant to consider whether the premises is a person’s principal place of residence?”

WHAT DOES THIS MEAN FOR PROPERTY MANAGERS? As it stands, a property manager can reasonably assert to a tenant that the listing of the entire property on Airbnb would contravene the lease, although Justice Clyde Croft did caution that this case should not be seen as a judgement on all short-term operators. In addition, subletting is a policy exclusion in most landlord protection insurance policies; unauthorised subletting could void the policy. If the property manager was aware of this fact and did not take action to terminate the lease, they could be found to be in breach of contract with the landlord and likely a tortious action could be commenced against the agency. ■ LISA JEMMESON is a Senior Associate with Jemmeson & Fisher. For more information visit jemfish.com.au.

epm.eliteagent.com.au 29

HUMAN RESOURCES

PROPERTY MANAGEMENT

is a career that is rich with options.

Where will you go next? Virginia Brookes outlines the possibilities for the years ahead.

LEASING OR PROPERTY OFFICER You’ve landed your first role in property management and you’re learning the ropes.

This is your first real chance to see where your strengths lie and what you enjoy.

Do you relish the administration and problem-solving part of the business, which includes processing repairs, working through sometimes problematic situations and building solid, long-term relationships with your clients? Or do you prefer the sales side of property management, where you are out and about showing properties, negotiating leases and inducting tenants into their new homes?

If you enjoy the relationship-building, administration and problem-solving parts

BEAR IN MIND THAT A DEPARTMENT HEAD ISN’T JUST A SENIOR PROPERTY MANAGER WHO HAS BEEN RUNNING PORTFOLIOS FOR A LONG TIME. of property management, then you are sure to head down the property manager’s career path. If you enjoy the sales side it looks like a career in leasing or even business development is the right path for you; this can also set you up for a career in real estate sales.

PROPERTY MANAGER You will need to spend a good year as a property officer learning the ropes before you are ready to step into a junior property manager’s role. This period will see you working under the guidance of a senior property manager, generally managing a smaller portfolio so you can learn on the job.

Once you’ve become more familiar with the legalities of property management and have mastered the skills of multitasking

CHOICE AND CHALLENGES: WHERE WILL YOU GO NEXT? and prioritising, you are ready to take on the task of a larger portfolio without so much guidance. In time you will grow into a property manager then eventually a senior property manager, where you will have a larger portfolio, more responsibility and perhaps even a junior under your wing to train and mentor.

DEPARTMENT HEAD This is the highest you can go in property management before taking on a larger team-leader role in a corporate – or you may decide you want to go into business on your own. Bear in mind, though, that a department head isn’t just a senior property manager who has been running portfolios for a long time.

A true department head understands the compliance and financial issues of property management and is able to set KPIs around all parts of the business, including growth.

You will also be required to train and mentor staff whilst having the resilience to deal with any escalated issues that come into the department.

This is generally a very well-paid position that can earn you an income well into six figures, so if you are serious about your property management career I suggest doing lots of internal and external training, learning as much as you can from seniors along the way.

30 ELITE PROPERTY MANAGER • AUG-SEP 2016

LEASING AND NEW BUSINESS If you chose to stay on the path of leasing and new business, a similar career path to property management is on offer.

Once you have mastered the art of leasing or business development there are many larger agencies that have Head of Leasing or Head of Growth roles. Here you will be responsible for the growth and development of this side of the business. Again, you will understand all compliance and financial issues, and have a demonstrated ability to train and mentor staff to ensure profitability and growth for the department.

Whatever path you choose in property management, you can guarantee you will be able to build yourself a solid, personally rewarding and financially stable career.

Work hard, constantly upskill and put yourself out there – the sky’s your limit! ■ VIRGINIA BROOKES is the Director of Resolver Recruitment and Temp Talent; Resolver Recruitment is a specialist Agency securing permanent staff for the Real Estate and Property industries. Visit resolverrecruitment.com.au. Temp Talent is a specialist Temporary Agency securing part time, casual and contract staff for the Real Estate and Property industries. Visit temptalent.com.au.

Technology can pull us apart, PropertyTree brings us together.

FIND OUT MORE TODAY www.propertytree.com | 1300 778 733

BEST PRACTICE

BAKING BAD:

Hidden dangers for property managers METHAMPHETAMINE, ALSO KNOWN AS ICE, ‘P’, or crystal meth, has become a

major issue for the housing industry in New Zealand and many states of the USA. It’s growing in use throughout Australia due to the ease with which it can be manufactured and the profits to be made from its sale. Martin La Touche of Narcotect describes how the increasing use of meth is affecting the housing rental and sales industry in Australia, and how you might be able to spot a drug lab.

A

USTRALIA MAY not be fully gripped by the ‘meth epidemic’ yet, but it’s already happening in several suburbs with the police busting labs every week. However, even the police admit that they realistically only discover one in 10 labs, which means that for the 750 labs closed down in 2015, 7,500 may have gone undiscovered. Were any of these operating at one of your clients’ properties?

WHAT IS METHAMPHETAMINE AND WHY IS IT SO DANGEROUS? Unlike most other illicit drugs, meth is 100 per cent man-made and is created by using a number of highly toxic chemicals to alter the molecular structure of the base ingredient. This process, known

as cooking, generates solid, liquid and gaseous waste which contaminates any surface with which it comes into contact.

For every kilo of finished product there are 10 kilos of waste which, due to the generally unscrupulous nature of the industry, most cooks will dispose of in less than ideal ways – often down the nearest sink or toilet, or just tipped out in the back garden.

In addition to solid and liquid waste, it is the poisonous fumes produced by cooking or smoking meth that will go on to cause the most issues far into the future.

A common method used by smokers is for a group of them to cram into a small room so that they can share the fumes. Known as ‘hot-boxing’, this method ensures that the room will become highly contaminated.

32 ELITE PROPERTY MANAGER • AUG-SEP 2016

And when this occupant leaves the house and a new family moves in, who usually occupies the smallest rooms? Children and babies.

In addition to the contamination from fumes, there is also the danger to young children from chemicals that may have been spilt on carpets, since children tend to spend more time at floor level. Basic cleaning will not remove these toxins.

WHAT’S INVOLVED IN CLEANING A CONTAMINATED PROPERTY, AND HOW MUCH DOES IT COST? Even after a clean, unless performed by trained professionals, there may still be dangerous levels of contamination present.

These toxic chemicals can continue to leach out of surfaces for many years.

Remediation costs vary depending on

the level of contamination.

For low-level contamination, pre-testing and clean-up may end up cost costing $3,000 to $5,000, including a re-test on completion to ensure that the property has a clean bill of health.

For medium to high-level contamination, it may be necessary to remove and replace all floor coverings, wall and ceiling linings, appliances, and fittings such as toilets and sinks. Depending on the value of the property the cost could range from tens of thousands to hundreds of thousands of dollars. In the worst case scenarios, the entire building may have to be demolished and rebuilt.

If you purchase a contaminated property, you then own the problem. If your tenants are cooking or using meth in your property, you own the problem.

WHAT ARE THE SIGNS OF METH USE OR CONTAMINATION? There are a number of signs that meth has been cooked in a house. These are the obvious indicators such as blackedout windows, chemical containers lying around, dodgy electrical work or strong chemical smells.

However, more commonly, there will be no obvious signs at all.

Meth labs are relatively compact and simple to set up and take down. It doesn’t require much effort for an occupant to assemble their lab in the kitchen, spare bedroom or garage and cook up a batch over the weekend.

They can then disassemble the equipment and pack it away. A quick wipe down, and an unwary property manager or agent would be none the wiser.

There have been a number of cases where landlords, on discovering that their property has been used as a meth house, have carried out a quick renovation and repaint to cover any signs of contamination and put it on the market.

Paint and wallpaper will not stop the toxic chemicals leaching out over time. Unless the surfaces are cleaned fully, the toxins will continue to be a major health hazard for any occupant for many years to come.

HOW DO I DETERMINE WHETHER THERE IS CONTAMINATION PRESENT? There are several ways a property can be tested for the presence of meth.

The most common way, until recently, was to have a professional testing company take various samples from areas most likely to be contaminated. These samples would be sent to a lab and analysed for the presence of drug residue to determine at

what level the contamination is.

Although highly accurate, this form of testing is expensive and timeconsuming, as each sample is taken from a relatively small area, a 10x10cm square. In addition, tests need to be carried out by a trained technician.

Newer test methods, using chemically treated swabs, are more cost-effective and can be used by an untrained person to produce a result from within a few seconds to several minutes, depending on the type.

HOW DO I PROTECT MY PROPERTIES AND MY CLIENTS? The meth problem has reached epidemic proportions in New Zealand and is steadily growing in Australia.

In recent testing of houses in a New Zealand State House complex, a quarter were found to have evidence of meth contamination. Housing NZ is currently spending $12 to $13 million a year on remediation.

Many landlords, including the New Zealand social housing agency, are now including clauses in their tenancy agreements stating that regular testing will be carried out.

The use of meth is not limited to any particular socio-economic group. Users are living in the poorest areas to the most expensive areas. This includes top-end rental properties as well.

Using the New Zealand situation as an example, testing rental properties for meth contamination is likely to become normal practice for a property manager carrying out inspections, and property owners will request that this be done to protect their investment.

WHAT IF A TEST INDICATES POSITIVE FOR CONTAMINATION? The first thing to consider is your own personal safety. Even small amounts of the chemicals can cause health issues, including headaches, nausea and dizziness, after short-term contact.

Use medical-grade rubber gloves when taking samples and ensure these, and any test products, are disposed of safely.

If a test indicates a positive result, the immediate course of action is to leave the premises. If there are occupants of the house, they should also consider leaving, especially if there are small children or people with existing health issues.

From here on, the distinction between who should be notified and who has to be informed becomes a little blurry.

Firstly, and most importantly, a quick test kit should not be relied upon as

a conclusive test for meth and other drug contamination. They are only a presumptive indicator. Therefore, further testing will be required.

If contamination is suspected, a specialist testing company should be engaged to carry out lab-quality testing to determine that the samples are actually meth and what levels are present.

The disclosure requirements for an agent and owner are clear in that full disclosure must be made to prospective tenants or purchasers if an agent is aware of the house’s history. An independent test company’s final sign-off would be helpful if the place has been cleaned.

CONCLUSION Meth is a growing issue throughout Australia. Its use is not restricted to any one socio-economic group or suburb.

The chemicals used to manufacture it and produced when using it are highly dangerous to people and pets who

THE POLICE ADMIT THAT THEY ONLY DISCOVER ONE IN TEN LABS, WHICH MEANS THAT FOR THE 750 LABS CLOSED DOWN IN 2015, 7,500 MAY HAVE GONE UNDISCOVERED. come in contact with its residue. And once contamination has occurred, it is extremely costly to remedy the problem.

Anyone with an interest in ensuring that a property is and remains contamination-free, including property managers, agents, landlords and future tenants, should make themselves aware of how to spot the tell-tale signs and what methods can be used to test a property before becoming yet another victim of this dangerous drug. ■

Narcotect business owner MARTIN LA TOUCHE has seen firsthand the growth of meth-contaminated property cases in New Zealand, and the impact it has created on the housing market there. Narcotect supplies cost-effective, simple-to-use products to detect contamination by illicit drugs. For more information please visit narcotect.com.au.

epm.eliteagent.com.au 33

SPONSORED com.au, we look forward to doing more for the advocacy of renters, supporting the property management industry and providing more services within the renting process as a whole.

YOU MUST BE PRESENT At PPW, the consensus among the industry was that being present on portals like Rent.com.au is a necessity.

More than ever, it’s critical to have solid online strategies to reduce vacancies and ensure property owners’ capital returns are optimised. Looking at rentals on the Gold Coast, for example, there might be 16 pages of property listings. But agents who upgrade their listings to a top spot with Rent.com.au own that number one position and receive, on average, seven times the views and a significant improvement in the click-through rate.

Listings cannot afford to get lost on page three or four, or worse, page 16.

A COLLABORATIVE FUTURE FRIENDS OR ENEMIES? With an emphasis on change

and growth, founder of Rent.com.au Mark Woschnak envisages a new era of collaboration between the property portals and agents.

I

RECENTLY ATTENDED the 2016 Property Portal Watch (PPW) conference in Bangkok, together with leaders from top property portal companies around the globe. This was an opportunity to speak about our portal product, Rent.com.au: the challenges associated with raising capital and building strong relationships, and lessons we’ve taken on board since our ASX listing 12 months ago.

There were several key takeaways from the event, which reiterated ‘why we do

what we do’ in this business. There was a general focus on the importance of data and its collection, the shift to transactionbased online business, audience profiling and understanding the need to survive in a changing world.

Australia has seen a considerable cultural shift towards renting in the past 10 years.

Previously, renting was seen as the poor cousin to buying your own property, but it’s now becoming a respected lifestyle choice, evidenced in the growth in revenue coming out of property management. At Rent.

34 ELITE PROPERTY MANAGER • AUG-SEP 2016

WORKING WITH AGENTS Rent.com.au is fast moving towards a vision of being ‘the home for renters in Australia’ – the place to search for property, services and advice for renters, but similarly, an opportunity to better improve enquiry results for listing agents and private landlords. Here’s the clincher: the property management industry has experienced and will continue to experience a significant shift.

Many assume that property portals are working towards eliminating agents and facilitating direct interaction between the consumer and the agent. This might be the case in many parts around the world where different dynamics exist between portals and agents, but we see agents and property managers as our biggest customer group, and we will strive toward providing the best range of services possible for property managers.

Australia stands out for its strong vendorpaid and agency-based relationships with clients, as distinct from other parts of the world, and as such this is a good working

THE FUTURE IS A COLLABORATION OF SERVICES AND WORKING TOGETHER WITH VARIOUS PROVIDERS OF DATA, LEADS, SERVICES, BRANDING AND SYSTEMS.

model to enhance, not break. We see our business model as a marketplace for all participants within the rental industry, and not as a stakeholder trying to cut one group out.

So interaction, in this instance, remains key. Rent.com.au provides a necessary platform for the agent and renter to interact. As a portal operator, we don’t intend to enter into the world of managing property, and this is where property managers retain their expertise and relationship skills in dealing with renters and landlords and maintaining those relationships.

DIY LANDLORDS AND THE NEED TO STAY COMPETITIVE There will always be a segment of the market that wishes to manage property privately, and many different businesses will provide services to this sector. This means that agents must stay competitive, lean and profitable and work with the portals and the services they offer to help do so. The future is a collaboration of services and working together with various providers of data, leads, services, branding and systems.

Because portals will have the consumers’ attention and trust as a primary and first port of call in the search and listing process, they will be able to market to and directly influence what consumers see, think and do. The key for agents is to be prepared and positioned in the best way that suits their brand in their area on those portals, because this is where consumers are making decisions and gaining first impressions. Agents should be looking to maximise portals and their respective strengths.

WE ALL NEED TO EVOLVE Amazon CEO Jeff Bezos once said in an interview, “What’s dangerous is to not evolve, not invent and not continuously improve customer experience”. It’s an adage every agent in Australia needs to take on board. We are moving in a world where access to information is gradually becoming easier, and data or listing

information alone cannot remain the unique selling point of why a renter goes to see an agent. There is so much more to it now, such as area credibility, quality of products provided, professionalism of service, relationship management.

Someone looking to rent a property has many choices available, so the challenge now is to address those key facilitators that will drive them to your property and the services you offer and how they will stay with you thereafter.

That in mind, it will be crucial for property managers to consciously adopt new practices to survive in a changing world. One great theme is how to save time for your customers and how to learn more about them. It’s a strong value-add which an agent can provide. Don’t drag a potential tenant to a rental you’re not confident they’ll like – they’ll lose trust in your sense of judgment and won’t return.

Next, give as much information as possible.

For example, in your online listings, tell renters exactly how far from the nearest public transport option the apartment is and whether it’s close to education facilities. This will build you infallible report with your customers.

Develop skills that a computer can’t do – a computer can never negotiate a good deal for your client or know what the customer truly wants. Portals are helping channel the right people and interest to the right properties and to the right contacts, but beyond that, it’s a relationshipdriven industry, that starts via the online perception and locks in (or out) when you meet with people face to face.

DEMONSTRATING REAL VALUE Lastly, at the Portal conference, we saw that so many businesses claimed to be ‘Number One’. This is an overused title and is now giving way to needing ‘to be what you are’ by demonstrating the real value points, points of difference, brand, culture and service that truly represent your business in the area you are in. That’s why we are staying true to being focused on renters and the renting process and working with all property

WE SEE AGENTS AND PROPERTY MANAGERS AS OUR BIGGEST CUSTOMER GROUP, AND WE WILL STRIVE TOWARD PROVIDING THE BEST RANGE OF SERVICES POSSIBLE FOR PROPERTY MANAGERS. managers. The same applies to agents in one suburb; not every agent is ‘number one’ and if the claim is made, number one for what? Most importantly, if your clients and consumer market don’t easily see or understand exactly how you are number one, then that’s the biggest problem and a waste of branding energy and money.

With regard to the change we are all undertaking, it’s a good time to consider what you were doing for your business two or three years ago and compare it to what you’re doing today. The world is changing faster, and only those who keep fine-tuning and moving with the flow will flourish. Portals have evolved, rental searching, process engagement, use of data and systems have changed for end customers, so it is critical to sit back and see the big picture and also how the daily routine has changed.

The power of a dedicated marketplace has opened up more business opportunities for agents and is likened to how SEEK created a marketplace for all listers of employment ads (companies and recruitment firms) and Carsales which brought together car dealers and private car sellers. Rent.com.au is about creating a marketplace for all people in the rental process. This is our positive change within the industry. ■

MARK WOSCHNAK is the founder of Rent.com.au.

epm.eliteagent.com.au 35

LEADERSHIP

NUMBERS GAME:

The science of becoming a peach ARE YOU A PEACH OR A LEMON? Ben White tackles

art versus science and what it means to be a ‘peach’ in our second excerpt from his latest book, Numbers Game.

A

S AN ADOLESCENT I was obsessed with cricket.

Unfortunately, it was my first unrequited love. I would practise as much as the next person, but never had the skill or talent to really succeed or make my mark. It wasn’t for want of trying; it just wasn’t for me.

There was one conversation that helped me come to terms with that basic reality. I was at a training camp and Allan Border, the Australian cricket immortal, was there as part of the coaching squad. I remember introducing myself and asking him, ‘Mr Border, how do you do a cover

drive?’ And he responded, mimicking his stroke, ‘I don’t really know; I just do it.’ I knew then and there that I would never play for Australia!

It turns out that Allan Border was one of the great cricketers of the era, yet he was a terrible coach. He was too good, and was therefore unable to teach another person.

Everything was instinctive and highlytrained, far beyond the scope of us mortals.

This story comes back to me every time I have a discussion about growing a rent roll.

Of course you can go to a conference with a speaker who will tell you how easy it all is and how they just get out there and grow the rent roll. You will walk away motivated

36 ELITE PROPERTY MANAGER • AUG-SEP 2016

and energised, but ultimately without anything to get started on. In many ways, you have just listened to the Allan Border of real estate.

It is not enough to class rent roll growth as art and therefore leave it undefined. I don’t think that is good enough and, more importantly, it’s not helpful. If we are to address the issue of rent roll growth, we have to accept that we can reduce it all to a science.

My experience is that the best agencies embrace the science of rent roll growth.

Our time with these leading offices is the inspiration for this book and for the focus on the mathematical frameworks that are included. These offices have a clear framework for thinking about their growth potential and have resourced their team to go after that potential. The business development team is structured to support that desired growth and the compensation packages are aligned to those goals. The business tracks all its leads and the reports

that are generated give insight into what is working and what isn’t. Then the business reacts accordingly.

It’s these types of businesses that we call peaches – as opposed to lemons. This comes from the theory of the lemons market, which focuses on the interplay between quality and uncertainty and how a marketplace can break down when goods of varying quality are sold through it.

The classic case study is the used car market. The basic equation is that there are good used cars and bad used cars. The seller of the car – the used car salesperson – likely knows which cars are good or bad quality.

The buyer, unfortunately, isn’t really going to find out until he or she has owned it for a month. Unless the buyer is a mechanic, it is just too hard to tell which cars are good and which are bad. Sound familiar?

We are absolutely convinced that this theory is at play in our industry. There are too many good agents who struggle to maintain appropriately high fees because bad agencies have a vested interest in perpetuating the myth that all agencies are the same. Those bad agencies say ‘We are all the same, but we just have lower fees.’

What is a landlord to do? Given the lemons

IT TURNS OUT THAT ALLAN BORDER WAS ONE OF THE GREAT CRICKETERS OF THE ERA, YET HE WAS A TERRIBLE COACH. HE WAS TOO GOOD AND WAS THEREFORE UNABLE TO TEACH ANOTHER PERSON. market dynamics, they follow the lower fees because they have learned not to trust the truly good agents. The bad agents get a free ride from the work of the good ones.

It is a devastating consequence because the end result, left unchecked, is for the whole market to collapse under its own weight. The good news is that there are solutions. It turns out that the lemons market theory comes about because there are some peculiar features of the market in question.

In understanding these lemons marketing dynamics, we’ve developed a range of ways that all agencies can use to overcome the challenges posed to our industry. Encouragingly, these strategies indicate a much stronger growth potential than many agencies would think possible. What’s good for our customers is also good for individual

agencies and our industry as a whole.

In Numbers Game we outline how using a scientific approach to growing your rent roll enables a business to benefit from increasing the symmetry of information and can provide a marketable point of difference. It’s a book for the peaches and those striving to be peaches. Get your free copy at apmasphere.com/books-epm. ■

BEN WHITE is CEO of Apmasphere, a company aiming to make the property investment journey an empowering experience for those who manage properties, those who invest in real estate, and those who call rental properties home. He has spent a lifetime involved in property management and has written three books on the industry.

RentCover epm.eliteagent.com.au 37

PERSONAL DEVELOPMENT

GETTING THE MOST FROM YOUR TRAINING INVESTMENT THE REAL ESTATE INDUSTRY relies heavily

on two types of training – storytelling and knowledge-based training. Being able to recognise these types of delivery helps us draw out the greatest value from them.

Sarah Bell explains.

U

NDERSTANDING how we learn as adults, with our independent thoughts and our own experiences, is arguably the most important part of any learning journey; it increases the value of each learning opportunity.

Narratives from our successful peers have a valuable place in many agents’ learning process. This type of training is based on story rather than content, posing the question: why has storytelling endured as the most prolific form of information sharing throughout human history? The insights gained from the experience of others, particularly elite performers, can provide a measure of national currency, a benchmark of excellence and social proof: if someone can do it, then it is possible that anyone can.

The popularity of storytelling in real estate training is probably testament that the stories do, in fact, have value – but the value of the story lies mainly in the reflection, self-awareness and self-directed learning that occurs in the learner. Take the well-known fable of Aesop where the tortoise beats the hare, for example.

Tortoises aren’t known for being faster than hares; instead the value lies in the learner’s guided reflection that consistency is preferable over ad-hoc bursts of activity for achieving goals.

By contrast, knowledge-based training is about the transmission of facts, trends, skills and understanding from instructor to student.

To understand how we learn, visualise the process of transferring water from one bucket (the instructor) to another (the learner). For an effective transfer to occur, there has to be a partnership between a capable instructor with relevant content and a capable learner who perceives the content to be relevant to them. This is a much more straightforward process for children, because they are naturally dependent, lack their own experiences and prejudices and their young brains are able to absorb knowledge more rapidly.

As adults, we all learn in different ways.

Much has been made of the fact that the mode of instruction should cater to the different learning style preferences of each learner. Some learn primarily through visual material (words and graphics), while others prefer auditory (listening) or kinaesthetic (moving and doing) modes.

While we may have a preference for learning through one mode or another, ultimately the content itself will determine the best mode of delivery, based on relevance. For example, very few people would argue that teaching athletics is best done by auditory mode in a classroom with an instructor speaking on how the learner’s body should move! A kinaesthetic mode of

delivery, with practical demonstrations for students to copy, would be the best way to learn that type of content.

The art and science of adult learning, known as andragogy, was developed relatively recently by a famous American educator, Malcolm Knowles (1913-1997).

Although his work was aimed primarily at educators, understanding how we learn helps us get the most out of our training investment.

Knowles reduced the principles of adult learning to the following six key concepts:

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WE NEED TO BE MOTIVATED TO LEARN This means taking steps to find out what the training will involve and having a clear expectation of what we hope to achieve by attending particular courses or sessions.

If you are going to knowledge-based training, have an idea of what you want to get out of the day and an understanding of how that learning will enhance your work.

2

WE NEED TO BE ABLE TO RELATE LEARNING TO OUR OWN EXPERIENCES The experiences and knowledge that we bring to learning actually increase

SOME LEARN PRIMARILY THROUGH VISUAL MATERIAL (WORDS AND GRAPHICS), WHILE OTHERS PREFER AUDITORY (LISTENING) OR KINAESTHETIC (MOVING AND DOING) MODE.

38 ELITE PROPERTY MANAGER • AUG-SEP 2016

its value. By remaining independently thoughtful about your own workplace, market and experience, you can refine the content that is delivered into a small list of items or projects that will impact you and your work the most.

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WE NEED TO BE ABLE TO RELATE LEARNING TO OUR GOALS We learn better when we can link the learning to a real-life problem that we are facing. If we are experiencing a very hot market where turnover is high and stock levels are low, we may be more ready for training that addresses the shortage of listings rather than how to deal with properties that linger on the market.

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WE NEED TO FIND THE CONTENT RELEVANT The onus of relevancy can be put on the instructor; however, where we have invested in the training we find value when we can link it to our situation.

If we are going to a day that showcases million-dollar agents and their stories, it is important to understand (like the tortoise and hare fable) that it is our reflections on

the narratives that will be valuable, rather than any attempt to duplicate the careers and circumstances of top agents.

If we sell apartments in an area with mediocre property value, there is little from the million-dollar lifestyle that seems relevant; however, we can reflect that the same consistent prospecting, the same authenticity in helping people with property and the same 24/7 mindset will help us rise to the top of the apartment kingdom – even if that has a $200,000 ceiling.

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WE NEED TO SEE THE PRACTICAL APPLICATION As adults we have to take in a lot of information and balance so many demands on our time. The pursuit of knowledge for knowledge’s sake just doesn’t cut it above our other priorities, so any theoretical or abstract training needs to be drawn down to our real-life work situations.

For example, instead of doing a threeyear psychology degree to help us understand how people think, we could do some practical training on DISC profiling for sales presenting. This is sufficient to

at last.

your property.

help you better understand your customers and their decision-making processes.

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WE NEED TO FEEL RESPECTED Finally, learning occurs best in an environment where we feel safe and valued as human beings and professionals. If we can’t ask questions for fear of humiliation, or feel that the ‘superstar’ narrative is so narrow that it could only apply to their particular pedestal, there is little value to that learning.

So when it comes to investing in training, remember Malcolm Knowles and his six key points. Understand how you learn and choose carefully – based on your learning preference, goals and experience to date – to make sure you get the most out of your investment. ■ With a background in research and investigations, SARAH BELL married into the real estate industry in 2009 and has found a passion for both the business and its people. Sarah has recently joined the team at LinkLearn. For more information, visit linklearn.com.au.

managed.

now.

in real time.

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epm.eliteagent.com.au 39

PERSONAL DEVELOPMENT

SAYING GOODBYE TO BAD HABITS MOST OF OUR BEHAVIOUR is habitual. We fall into

patterns of behaviour because we do the same thing repetitively. If the patterns are so strong in us and so automatic, how quickly can we really change, asks Lisa McInnes-Smith.

W

E CHANGE when we really want to.

We change when we discover it’s more difficult to stay the same. We change when we love someone.

I teach a course on presentation skills, but tend to teach from a very different methodology than most. I am looking for rapid change and therefore make strong rules around the behaviour that takes place in these classes. Let me give you an example.

I recently undertook to teach two groups of middle management who had to make a presentation to their senior leaders about each of their accounts. They knew their content and they knew the essence of their message; however, there was great anxiety

about their performance and how they would personally be judged on their ability to present their ideas.

My first request was to withhold all negative thinking out of this space. Each person was only to focus on what they did well and on what others did well. There would be no correction; there would be no constructive criticism. All we would be doing is building on their strengths. We were going to turn each aspect where they were strong into something excellent!

For so many of them this felt like the slow method. They thought they would learn faster if we could remove their faults and give them immediate feedback on all the areas in which they were weak. It’s amazing how often people think their performance will go up if you tell them what they are doing wrong. Instead, I

40 ELITE PROPERTY MANAGER • AUG-SEP 2016

was selling them on the rapid ability to transform performance by focusing on their strengths alone.

Each group had about twelve participants and the group dynamics were very different. One man sat back in his chair with his hands behind his head and immediately released a flow of negative words; he thought he was being funny, but not everyone was amused. I asked him if he came from a football club culture and he acknowledged that that was a huge influence in his past. It was interesting that he thought that his behaviour was acceptable in a business environment and in a professional development session.

The first session began with fun and games and lots of laughter. Each person was asked to share some personal information that others were unlikely to know about them. It was amazing how fascinated the room was with each participant’s story, considering that these people had worked together for some time. It revealed to me that they didn’t really know each other and therefore had judged one another on very superficial experiences and information.

When the boss got up to share about his

stint in the South African army, you could have heard a pin drop. They could hardly believe that this story of adversity and dangerous adventure belonged to their immediate senior. I think they found a new level of respect right there and then.

He was a good boss and they already knew that he was good at his job, but now they were learning that he was good at doing

connection rather than separation.

We moved onto funny stories next. Some were sillier more than funny, but we all laughed and the mood in the room was very relaxed and comfortable. While each had been sharing their stories, we had been identifying the strengths of each presenter.

Most people could think of something different to say about the speaker, which

WE WERE GOING TO TURN EACH ASPECT WHERE THEY WERE STRONG INTO SOMETHING EXCELLENT! life outside the workplace.

Some of the other stories were just as moving, but travelling in very different directions. There was the pursuit of a partner on the other side of the world.

There was overcoming a family tragedy and there was an unexpected adventure from a person who seemed much less adventurous at work. Everyone concluded that it was easier to like and respect people when we knew more about them and we wanted to encourage him or her.

Vulnerability and transparency built

meant that each person discovered that they had a dozen speaking strengths when many of them considered themselves very anxious and ill-equipped in the public speaking area.

The mood was now one of great optimism and most could start to see that they were better than they thought they were. We are tough judges of ourselves and can be just as tough on others. However, when the need for judgement is removed it seems that there is space for people to truly see their assets and talents in a new light.

We talked about openings and closes, props and humour, but ultimately we talked about them and how good they were becoming. They all went on to present their best business presentations ever.

The shift was significant!

There is always a better way, even if it’s only one per cent better. Let’s get better together! ■

LISA MCINNES-SMITH regularly inspires people to take action, change, and grow. For more information about Lisa visit lisaspeaks.com.au.

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epm.eliteagent.com.au 41

PM Q&A

Sarah Ferré

McGrath Property Management Leichhardt

ARPM 2016 speaker and Senior Property Manager Sarah Ferré started in real estate straight out of high school in 2006, even though she had been accepted into the University of NSW to complete a combined Arts and Media degree.

Deferring that, she is now back at university to study Law, and will be admitted to the Supreme Court later this year.

Tell us a bit about yourself and your role at McGrath Leichhardt.

I have worked in the real estate industry for the past 10 years. I’m a senior portfolio manager, managing approximately 350 properties with the assistance of a very talented property manager, without whom I couldn’t do my job. I am also the team leader of McGrath Leichhardt.

On a personal level, I love to keep active and exercise three or four times per week.

I’m also happily married to a full-time DJ. How did you get your start in real estate?

I started in real estate straight out of high school in 2006.

I had been accepted into the University of NSW to complete a combined Arts and Media degree; however, I decided it wasn’t right for me at that time and made the decision to defer.

The first job that I applied for and secured was a receptionist position at a real estate office in Sydney’s Inner West. Within a year I

had completed my Certificate of Registration and started in property management – I immediately saw a career in it.

What prompted you to study law, and how has it helped you as a property manager?

After a trip overseas in 2010 where I spent a lot of time with my uncle, who is a barrister, and my cousin, who’s a criminal defence lawyer, I decided I needed to go back to university. I found their stories of cases and trials intriguing, as the outcome was often not what I thought it would be.

I sat down and thought about the aspects of my job that I loved the most and got the biggest thrill from, and I kept coming back to the Tribunal.

42 ELITE PROPERTY MANAGER • AUG-SEP 2016

After investigating further I discovered that in order to work at the Tribunal you need to be a specialist in your field and a lawyer – this was the deciding factor for me.

I enrolled at the University of Sydney to study Law at the end of 2010 and was accepted. I have completed my degree and I am due to be admitted to the Supreme Court in September. Having the added knowledge has made me look at property management in a different way – it isn’t as black and white as we are led to believe.

I now interpret the legislation differently and I approach all conflict situations from a different angle, with the focus being on mediation and alternative dispute resolution.

How is the market in your local area right now?

The market is traditionally quieter over the winter months. Many of our executive rentals are taking a small hit, with some rents coming in lower than where they were 12 months or so ago. While our mid-range properties are still leasing relatively quickly, we are finding slightly longer days on market.

Who or what inspires you?

Oprah! I saw her last year, which was a highlight for me.

One of my mantras is now ‘What would Oprah do?’

In your briefcase right now is...

Camera, paper and pens (three – you never know when one will run out),

business cards, laminated privacy statement, ‘thank you’ notes, lip gloss, perfume and mascara.

What apps do you use most at the moment on your iPhone/iPad? I’d be lying if I didn’t say Facebook and Instagram!

However, I love Houzz at the moment – we will be renovating our apartment in Leichhardt next year so I am constantly on the app getting new ideas. Rest Mobile is a godsend as well! I didn’t realise how often I rely on it when out of the office!

What is your top tip for good client communication?

Update your clients, even if you don’t have an update for them. Clients just want to know that you haven’t forgotten about them. A daily call, email or even text to let them know that

you’re still working on the issue is enough to appease them until you actually have a proper update for them.

Picking up the phone is also so important. With email and text being the preferred contact for so many people, communication can be misconstrued in writing. Call them – they will appreciate it and the relationship will be stronger as a result.

Is there something you couldn’t live without?

This is tough. There are a few things I couldn’t live without.

The correct answer should be my husband... but I also couldn’t live without Chilli Kettle Chips. Or Cadbury Crunchie. Or wine.

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

It gets better! Starting out can be daunting, because

HAVING THE ADDED KNOWLEDGE [OF THE LAW] HAS MADE ME LOOK AT PROPERTY MANAGEMENT IN A DIFFERENT WAY – IT ISN’T AS BLACK AND WHITE AS WE ARE LED TO BELIEVE. you are likely taking over a portfolio from someone else; in more cases than not you will probably have disgruntled clients who don’t like having a change in property manager. Stay focused, remain assertive and set yourself realistic goals that you can tick off as you progress. It is such a rewarding job in the long term.

Do you have any words to live by, or a favourite quote?

This quote got me through my degree and I find that it applies in so many aspects of my life: ‘Short-term pain for

long-term gain’. An uncle said that to me during my first year of law school and it became my mantra!

What do you hope people will take away from your presentation at ARPM? I hope they walk away from my presentation wanting to further their careers – either within the real estate industry or in another field where they can use their PM knowledge as an advantage.

Although our jobs are extremely time-consuming and intense, you have the same number of hours in the day as Oprah! ■

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MARKETING THE LOGO What do the colours represent? Colours play an exceedingly significant role in our lives, whether we realise it or not. They have the ability to affect our emotions and moods in a way that few other things can.

What is the psychology behind these colours? Are they calming, luxurious, comforting? How can you use these colours to influence the mood of a listing presentation? Can you incorporate more of these colours in your listing kit?

THE SLOGAN Slogans are a significant key in an attempt to get the customer to focus on the brand and stay there. Many large brands have a slogan they have used for years and are well known within households.

Consider why those words have been used. What do they mean?

10 TIPS FOR MAXIMISING YOUR BRANDING IN A LISTING PRESENTATION IN HER CAREER, CRISTEL STENHOUSE has observed

numerous property managers who head out to an appraisal, deliver a folder and expect to gain business. But, she says, they don’t entirely grasp the importance of the folder and all it encompasses. It is a unique selling point that you should be taking advantage of at all times.

“T

O SUCCEED… You need to find something to hold on to, something to motivate you, something to inspire you.” – Tony Dorsett I have observed numerous property managers who head out to an appraisal, deliver a folder and expect to gain business. But they don’t entirely grasp the importance of the folder and all it encompasses. The logo, the colours, the slogan – together they have been

strategically planned to connect with their brand’s core values, draw attention and set the mood; no two brands are the same, and rarely will they share core values or vision.

Do you feel that? It’s your unique selling point smacking you in the face!

Think about it: prospective landlords approach numerous agents when they are ready to engage one – but rarely two from the same brand. You have something that distinguishes you from your competitors.

Now let’s work at exploring your brand. You need to consider and look into the following:

4 4 ELITE PROPERTY MANAGER • AUG-SEP 2016

THE BRAND’S HISTORY Find the heart of your brand. People crave information; understand your brand and let potential clients know why you are so passionate about it.

Where did the brand originate? Who founded the company and developed it to what it is today? What are their core values? What is their vision?

TOP 10 TIPS FOR MAXIMISING YOUR BRANDING What does your brand offer that others don’t? Each and every brand has something unique – find yours!

Do you have a property management coach? Do you give your property managers better tools and technology?

Do you do brand training regularly? Do you have more offices in the area than other brands?

You need to be one with your brand, because without an in-depth knowledge and love for it it’s impossible to sell it effectively. Our service is not a tangible product and therefore the brand can be a major decider for a prospective owner; in most cases it offers them a level of comfort.

Don’t just do the research – get involved and celebrate your brand!

Attend training, conferences and awards; get to know others in the industry, learn from everyone and enjoy it. I had been in real estate for years before I was content to mingle at events, but nowadays I understand how important it is – and to be honest I embrace it (some who know me probably won’t believe this!). It helps you grow as a person and find a level of

1 2 3

4

confidence that is evident when you carry out a listing presentation.

Use your department manager, mentor or coach. Spend as much time with them as you can; they have a great deal to teach you if you are willing to listen.

They are remarkable at holding you to your own results and guiding you to growth – you just need to reach out to them.

Take a moment to find out what advertising or marketing material is available to you. Quite often the portals are updated without you being notified.

Is there a new piece of information that would improve your listing presentation?

And the best part is, it is likely to be free of charge!

Make the most out of sponsorships, corporate events and brand advertising. Your brand pays to put the name out there, so incorporate this into your presentation. How much money do they give in sponsorship? Do they sponsor events? Make a big deal out of it; ask potential clients if they have seen the latest television commercial. You can discuss employment standards, and how your brand holds careers nights to attract the best in the business.

5

DO YOU FEEL THAT? IT’S YOUR UNIQUE SELLING POINT SMACKING YOU IN THE FACE!

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7

Hold an investor evening; most brands will have the corporate team get involved. Let prospects know that you do this and have photos of an evening you have held. You have the support from your brand to get out there and do it.

Most brands have employee access to a portal. It generally provides information on new employees, what has happened within the brand, as well as training, suppliers and quite often pieces of information you can use whilst listing and managing property. Access this regularly and take everything you possibly can from it – and implement it.

Incorporate the extra services; most brands have teamed up with suppliers, finance brokers or insurers.

Explain the benefits the potential client will have if they utilise these channels.

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Ultimately, you need to discover why your brand is different. What makes it stand out? What values does it hold that will match those of your prospect?

Motivate and give prospective clients reason to list with you.

You see, if you follow your brand correctly and get involved, you are a part of something. This gives you something to hold on to. Its culture, branding, core values, vision, training, systems and mentors, if it has these, are in place to motivate you, and the brand’s successes are there to inspire you!

Your brand is providing you with all the tools – it is what you do with them that ultimately determines how successful you will be. ■

Originally from Melbourne, CRISTEL STENHOUSE is a fully licensed real estate agent. She has been in the industry for 13 years as a PM, BDM and department manager.

Now living in Brisbane, she trains new property management staff, regularly contributes to industry media and has been a guest speaker at seminars.

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POWERED BY

EFFICIENCY IN THE CLOUD MARIA CIGNARELLA’S childhood fascination

with property has become a lifelong passion for the real estate industry, fuelling her desire to provide the highest level of service to her clients. Here she explains her business model and how she goes about providing that top quality service.

F

ROM AS FAR back as she can remember, property has always been a source of excitement and interest for Maria Cignarella, Principal of MARCS Property in Bella Vista.

“It’s always been in me, to be honest,” Maria says. “Even as a young girl, I used to look at the real estate pages in the newspaper. I remember the excitement I felt flicking through the pages, waiting to see what was on the next page.”

It was a high school careers day that really set Maria on her path to success.

“Lots of people from local businesses were there,” she recalls. “There was a lady from LJ Hooker. I remember just being in awe of her – what she was talking about, how much she knew and just her presence. I was

captivated. It really stayed with me.”

After finishing high school, Maria’s parents encouraged her to take up a government traineeship. “It was with the Attorney-General’s department and was a great experience. For a young girl fresh out of school, it was an amazing opportunity. But my heart wasn’t in it. I wanted to work in real estate.

“So as soon as I finished the traineeship, I found a job in real estate. I started in real estate when I was 18 years old and went on to work for the same company for 22 years.”

After just over two decades in the business, in 2013 Maria knew it was time to go it alone. “A lot of my clients were encouraging me to start my own business,” she says. “It was scary, but after a lot of thought I said to myself, ‘Why not just give it a go?’”

4 6 ELITE PROPERTY MANAGER • AUG-SEP 2016

Maria gave herself six months to get her real estate business off the ground. “I started out working from home. I managed to generate cash flow right away, so I didn’t have to resort to dipping into my savings.

Two and a half years on, I haven’t looked back. I absolutely love it.

“I have a business that I’m extremely proud of; one that I want to continue to build into the future.”

THE FACE OF THE BUSINESS For Maria, providing her clients with the highest level of service is the foundation of her company. “I’m the face of my business,” she says emphatically. “Over the years I’ve found that the biggest complaint you get from landlords is they don’t know who they’re dealing with. One day they’re

dealing with X, the next day they’re talking to Y and then a few days later, Z is the one at the other end of the phone.

“I’m committed to being the main point of communication for my clients. Having said that, I obviously need assistance.

There are lots of things like condition reports and periodic inspections that need to be done, and I can’t do it all myself. So I contract with a specialist company to provide these services.”

Contracting certain property management activities to a third-party provider means Maria is pedantic about having the right systems and procedures in place to ensure all the i’s are dotted and t’s are crossed. And having the right software in place is a must.

“Because of my business model, having a cloud-based solution is essential,” Maria explains. “PropertyTree is awesome.

All the right people can access the information they need, when they need it.

It’s so convenient.

“These days you just can’t afford to be reliant upon software that is desktop based.

On-the-spot access when you’re out and about is a must. From taking a deposit and receipting it immediately to being able to access client records while you’re with

“OVER THE YEARS I’VE FOUND THAT THE BIGGEST COMPLAINT YOU GET FROM LANDLORDS IS THEY DON’T KNOW WHO THEY’RE DEALING WITH.” them, PropertyTree makes everything easy.

“Once you set the system up, everything is automated. Obviously I like to keep on top of things myself, but it’s great peace of mind to know that PropertyTree automates the important things. It saves a lot of time.”

COMMERCIAL MANAGEMENTS Maria has found the ability to set up alerts and automate tasks in PropertyTree to be particularly useful in relation to the commercial properties she manages.

“I set alerts for things like insurance renewals, fire safety inspections and more. It means I can really personalise the service I provide to my commercial

clients and stay on top of everything that is relevant to the property,” she explains.

“And one thing I really like is being able to automate the emailing of rental tax invoices to my commercial tenants. It’s something that we’re required to do, but PropertyTree makes it all so simple and straightforward by automating it.

“My greatest desire is to do a really good job for my clients,” Maria says. “I genuinely want to provide high quality service. I’m proud to say that my landlords are very, very happy. The feedback I get from my clients is just so positive – it really gives me the encouragement to keep moving forward.” ■

SARAH DAWSON is the head of real estate sales for Rockend. For more information visit rockend. com.au.

Developed by Rockend, PropertyTree is Australia and New Zealand’s first cloudbased property management solution.

You can experience PropertyTree firsthand with a free demonstration by calling 1300 778 733.

Creating a happier world with moments

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@ProjectThankful epm.eliteagent.com.au 47

The Last Word

Fiona Blayney

TEA FOR TWO A recent heart-to-heart with an old friend has led Fiona Blayney to an interesting discovery. By embracing her own vulnerability and feeling the fear she found a surprising source of strength and energy.

I

had a ‘pop in’ yesterday; a dear friend of mine was in town and she called in to see my family and me. We sat around my kitchen table; we did the normal nattering, as women do over a cup of tea, about everything and nothing. We talked about our lives, the moments of elation, the tear-jerking times and the ones that have tested every morsel of our being. It had been a long time between cuppas as my friend lives abroad, and with distance, time and life getting in the way we had a lot to discuss.

After an hour or so, already deep in conversation, we asked each other ‘how are you?’ My friend looked me in the eye and with her question came that look of intensity and connection that meant the surface level response of ‘good’ just wouldn’t cut it. We lived together for a while and shared the rollercoaster of life for years; now she wanted to know how I really was.

The question was asked with such care, my emotional response went something like this. ‘You know what, I am actually fantastic. I have never been in a better place in my whole life. The last 12 months have been the most intense period of my life, it’s been full on, but now I’m on the other side and I’m in such an amazing place. I am truly happy. I have a wonderful husband, two awesome kids, our families are all okay, the

business is doing well, I’ve got great people working with me, and I am surrounded by so much support. I don’t know what could be added to make it better.’

As I responded, I could actually feel the happiness fill my body. I felt great being able to say this and proud of where I have arrived.

Perhaps these feelings were elevated as a result of having experienced not-so-great moments in the past. I know life is peppered with potholes, so I am not so deluded as to think there won’t be some tough times to come, but right

statement. What had changed to bring me to this place? The answer was pretty clear: embracing fear and vulnerability.

Signpost moment!

Over the past five years I’ve worked hard at being vulnerable. Technically, to be vulnerable is to expose yourself to being attacked

FEAR AND I ARE NOT FRIENDS, BUT IT’S MORE THAN AN ACQUAINTANCE. at that moment I was basking in the glow.

My friend shared how she is and, amongst other things, we discussed the work she had been doing with her clients (she is a speaker too), in the area of fear and vulnerability. We talked about the impact she is having in the CEO market abroad and the benefits in allowing oneself to feel fear and vulnerability. With her comments fresh in my mind, I have thought a lot about my statement overnight.

Driving to work this morning, I contemplated our conversation and my

48 ELITE PROPERTY MANAGER • AUG-SEP 2016

or harmed, physically or emotionally. In business, I believe this is embracing your flaws, your weaknesses, your fears. Perhaps it’s simply being the real authentic you.

There are things I am great at, things I am good at and things I really have no interest in being at all. I’ve owned this and built a team around me who are better than me at my weaknesses, and vice versa; we complement each other.

We have a strength that wouldn’t have been possible without exposing my weaknesses.

We all have fear; it’s a natural response to a threat. The

challenge is identifying the real fears from the fake ones.

Most recently I identified many of my fake fears were limiters to my goals, personal, family and professional. We all have that damn inner voice that loves to chat at all the wrong times. Just when you need it to shut up, it speaks up. Over the past 18 months, I have heard the voice more often than not but, with some help from my mentors, I decided to hear it rather than listen to it. I’m embracing the energy fear brings, identifying the obstacles that fear shines its torch on and devising ways to overcome them. Fear and I are not friends, but it’s more than an acquaintance.

Perhaps next time you’re having a cuppa with a friend you’ll look into their eyes and ask, ‘how are you?’ I wonder how you’d answer the same question. When you see your colleague being vulnerable or sharing their fears, I hope you’ll do as I am teaching my four-year-old: you’ll be kind.

Maybe this is your signpost moment to have a mirror meeting and ask yourself ‘how are you?’ What would it take to change the answer?

And if you’re in Neutral Bay, I’ll put the kettle on. ■

FIONA BLAYNEY is the founder and director of Real+, an industry-first property management learning platform. For more info visit realplusonline.com.au.

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