Our r.e. on Gold Coast has just emailed me to say they are closing their offices and going to retreat to a cafe and live off their rent roll. They had very prestigious offices on the foreshore before but said with the lack of sales up there they cannot afford the rent anymore, and will retreat to a home office and meet people in the cafe. We have very good long term tenants in place so probably wont worry too much about this, but should these tenants leave I think I would transfer to a bigger company with actual offices as I feel prospective tenants would think it quite dodgy to meet a realtor in a cafe. Any thoughts on this? .
Re Agent closing down
- Thread starter fernfurn
- Start date
Yes, the bigger and fancier the office the better the service and lower the fees.
If they have marble floors the service is proven to improve considerably as well.
It's also good to make sure that your PM drives a car that costs >150K, I mean who wants to deal with a dodgy povvo PM right? Uh uh.
If they have marble floors the service is proven to improve considerably as well.
It's also good to make sure that your PM drives a car that costs >150K, I mean who wants to deal with a dodgy povvo PM right? Uh uh.
See how it goes.
With internet scams targetting rentals that don't exist, I would not be too happy directing money to a person I had to meet in a cafe, no matter how legal the paperwork looked.
In your case with a long term tenant everything should be OK while the existing tenant stays there.
Marg
With internet scams targetting rentals that don't exist, I would not be too happy directing money to a person I had to meet in a cafe, no matter how legal the paperwork looked.
In your case with a long term tenant everything should be OK while the existing tenant stays there.
Marg
An agent who has more on his mind than $, that's novel. Obviously they've realised the facts of life, you do business in the client's house or the rental property, you do very little in your office. As noted above, polished marble floors, subdued lighting, mood music etc don't amount to jack. You can work from a virtual office.
I am all for an agent leasing a $150k car, it just means that they have do complete lots of business in order to pay for it or go broke. Presentation of the agent is BS, get over it. (My old agent used to operate from a home office until they outgrew it with several staff). Would you be happier if they used a serviced office for their meetings? Would it make any difference to the quality of service provided?
I am all for an agent leasing a $150k car, it just means that they have do complete lots of business in order to pay for it or go broke. Presentation of the agent is BS, get over it. (My old agent used to operate from a home office until they outgrew it with several staff). Would you be happier if they used a serviced office for their meetings? Would it make any difference to the quality of service provided?
I agree with both Marg and the rest - but I think you at least need a home office and not work from a cafe.
Or maybe if they owned the cafe it would be more legitimate.
Presentation doesn't mean much to me but if you have none at all I at least would think there was something wrong (even if there wasn't). And if there is a chance of something wrong I would rather not leave it to chance and go with someone more professional.
Or maybe if they owned the cafe it would be more legitimate.
Presentation doesn't mean much to me but if you have none at all I at least would think there was something wrong (even if there wasn't). And if there is a chance of something wrong I would rather not leave it to chance and go with someone more professional.
We rarely even step foot in an office, unless it's to drop something off and I can't be bothered posting it.
I don't know where my PM even has their current office as I think they've moved from Lambton to Hamilton - but not sure. She's contactable by phone, email, post etc - what more do I need if she does a brilliant job?
Even with a selling agent, they always met you at the house for sale, or at the house you are selling, or at home over a wine or coffee. I don't have a problem with that. I think anyone who worries about them having a flash office, doesn't understand the modern world of real estate/rentals.
I don't know where my PM even has their current office as I think they've moved from Lambton to Hamilton - but not sure. She's contactable by phone, email, post etc - what more do I need if she does a brilliant job?
Even with a selling agent, they always met you at the house for sale, or at the house you are selling, or at home over a wine or coffee. I don't have a problem with that. I think anyone who worries about them having a flash office, doesn't understand the modern world of real estate/rentals.
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You might not find out the change (if any) in level of service for some time perhaps if you have quality tenants, I think they must be 95% of the solution if having a stress free rental, getting quality tenants in place.
I don't think having a shop front is necessary for tenants in this day and age so it shouldn't be an issue in itself.
The only problem I see as an outsider (non-local) without an office is that whenever I go into a town I go to the main street where all the Real Estate offices are.
Don't have time to troll the internet for every last agent who doesn't have an office and with only 5-10 properties on their books.
Don't have time to troll the internet for every last agent who doesn't have an office and with only 5-10 properties on their books.
It is the Gold Coast so it might working from the laptop on the deckchair on the beach perhaps?
I also think an office for PM is a waste of money.. marketing is through the internet, contact with the tenant is at the property, and contact with the LL can be at the LL's home - I think a diligent PM wouldn't mind the drive for a meet and greet and signing docs (provided it's not too far).
My business partner and I made the conscious decision not to have an office (other than our home offices). We have had a couple of cafe meetings but these are few and far between. Most of our business is done either at the property or via email/phone. When we do handovers - rather than just having the tenant pick keys up from an office we meet them at the property and do a proper 'handover' - where we can point out specifics.
Walk-ins these days tend to be tyre kickers visiting town looking for a chat rather than serious renters. As lizzie said the majority of tenants are found via the internet these days. I think some of our tenants don't even realise that we don't have an 'office' as today's communications and meeting potential tenants at the property have made the whole process seamless.
Just keep an eye on their service level - that is what marks them as a professional. (In fact most of the people I know who are particularly good at what they do work from home and are very very busy with word of mouth business. I even know a couple of people who seem to spend half of their lives in Darwin's cafes ... and they are actually working!)
Walk-ins these days tend to be tyre kickers visiting town looking for a chat rather than serious renters. As lizzie said the majority of tenants are found via the internet these days. I think some of our tenants don't even realise that we don't have an 'office' as today's communications and meeting potential tenants at the property have made the whole process seamless.
Just keep an eye on their service level - that is what marks them as a professional. (In fact most of the people I know who are particularly good at what they do work from home and are very very busy with word of mouth business. I even know a couple of people who seem to spend half of their lives in Darwin's cafes ... and they are actually working!)
a home office will always indicate you area a small timer. if you had a big team you would need an office.
i have no issue with dealing with pms who work from home. as a tenant i might be a little sus of an agent without an office IF i found that out.
This is more my worry, that a new tenant would think it unwise to hand bond etc money over to someone in a cafe. Also, what if she is actually going under and takes my months rent with her? She reckons there is an agent a week under charges for dipping into the trust accounts up there because they dont have the sales to live on, just their rent roll.
Agents are required by law to deposit any funds recieved (eg bonds, deposits, sales, rent etc) into the statutory trust fund. Agents who don't can lose their licence (& livelihood). Do you seriously believe that an agent will go out of their way to poach a couple of hundred dollars (unless they had lost the plot/had gambling problems/severe debt etc)?
Many residential agents handle over 200 properties per pm, sales are seen to be cream not the rent roll as that is the only asset of the business.
Many residential agents handle over 200 properties per pm, sales are seen to be cream not the rent roll as that is the only asset of the business.
