when I was selling and was going up against go gecko that was the point I had to push to compete with them.
Our model is a little different and I wanted to get the best sales agents working for Pure Sales.
The reason I open pure sales was due to the number of owners on our rent role that have sold their property in the past 12 months.
When looking at the numbers I gave away just under 200K in commission to outside agents in the past 12 month 9% of my owners decided to sell last year.
Out of the 9% none of the buyers that were investors seen my brand or new about my flat property management fees. (my core business)
So I decided to start a sales business to sell the above 9% to help market my rental business.
The flat fees of 6K was worked out from the last 10 sales I made working for a large branded office
and I’m happy to share them with you how I come up with this numbers and why I think agents will want to work for my model + get the maximum price for the owners.
Sale Price $400000 $310000 $320000 $450000 $460000 $650000 $520000 $400000 $420000 $216,000
total com 9718.5 7626 7858.5 10881 11113.5 15531 12508.5 9718.5 10183.5 5440.5
My com 4859.25 3813 3929.25 5440.5 5556.75 7765.5 6254.25 4859.25 5091.75 2720.3
Average $5028.975
When I was selling I was on a 50% split of 93% of the total commission with my agency. So the above shows my last 10 sales and my average commission over the 10 sales was $5028.97
We pay our agents 5K per sale and 1K goes to marketing and running costs. As the business owner I am not looking to make money out of the sales business but using it as a tool to growing Pure Rentals.
For my agents it allows them to concentrate on getting the maximum price for you as they don’t have to worry about the cold calls or marketing they need to get to get the next listing.
One of the reasons I got out of sales was due to how much time I had to spend prospecting to get listings. + my boss wanting me to get marketing money to help promote his business and get me more listings.
The flat fee and the sales from pure rentals means my agents can spend more quality time selling and less time prospecting.
Explained better here
http://purepropertysales.com.au/90-selling-10-prospecting/
Agents are very competitive and if they are not trying to break records in their area and get the maximum for their owners they will not last long especially now when it’s so easy to get information on the value of your home.
We also only do open listings so if the owner are not happy with our service it’s easy to change.
Thanks may have to put some of this onto the Site