We're regularly asked what actions need to be undertaken to maximise the retention of properties when selling and buying a rent roll. Such actions are applicable across all sectors of the industry, for residential, commercial and strata rolls, and not just restricted to residential portfolios. By way of updated evidence to support our observations, during the past year retention rates of rent r...

A common question we continue to get asked by clients is whether managements on fixed term tenancies are worth more than those on a periodic agreement? Unfortunately, the answer is not that simple. There is considerably more to this than meets the eye and after conducting a high number of valuations, we feel it is beneficial to share how these are interpreted from a valuation perspective. In...

Sellers continue to overlook the fundamental step in the sale process around their rent roll, and that is simply how to best facilitate the smooth transition and re-signing of Management Agreements to minimise slippage, maximise retention and preserve their sale price. Having facilitated over 200 rent roll and agency sales, we continue to see the sale suffer due to this part of the process being m...

We were recently engaged by a group of four large, independent agencies that wanted to review their options for forming a combined ‘super office’. What they didn’t realise at the time was that they were actually proposing something that was simply “same, same but different”. They thought they were building a better mousetrap, but in reality they were just shifting the deckchairs on the Titanic...

It’s never too early to start planning for the day when you want to exit your own real estate business. Why? Take a look around at any group of Principals and you’ll find that most are over the age of 50. Not only does this pose a major challenge for the real estate industry in terms of who will succeed these seasoned professionals, but the scenario also suggests that many are leaving their ...

Why is it that so many agencies overlook the possibility of a management buyout? And are they making a mistake? In our experience, the idea of a management buyout (MBO) is usually ignored for one of two reasons: The owners do not want the staff to know they’re selling. The owners do not believe the staff have the capacity to purchase the business. The owners are often wrong on both counts...

The way real estate agencies are valued is changing like never before, but research shows that most agents are unaware of the changes or the impact they will have on the future value of their agency. Does this sound like you? Traditionally, valuations have been based on a somewhat generic model that relies solely on residential rent roll, strata and/or commercial management income multiples ...

With numerous new real estate franchise models entering the Australian market over the past few years, including non-traditional hybrid models, we thought it was time to take a closer look at what’s on offer. We conducted a survey to collect the opinions of clients from a cross section of franchise and marketing groups. The objective was to gauge how prospective franchisees and existing franchi...

With the cooling of market conditions in Sydney and Melbourne, understanding where your rent roll fits in the market has never been more significant. The reliance on property management revenue to shore up slowing selling commissions is becoming omni present, with this trend continuing the in the months ahead. With these changing conditions demand for our rent roll and agency valuations has inc...

Much is being discussed about the real estate sector and how a combination of softer market conditions, business disrupters and lower profit margins will have on the future of our industry. These issues plus the introduction of new education requirements and employment conditions are impacting large sectors of the industry. We foresee these factors increasing the number of agency consolidat...