Forum Replies Created
It’s business, you don’t want a loose casual relationship or any grey areas, so be specific about what you want, have a specific agreement, get the best PM and at fair rates. The most expensive is not necessarily the best.
Reward success afterwards, not just classy sales presentation up front. Keep the carrot until you get the cart where you want it.
cheers
crest133
.thecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Kristine
Very clever question, you’ve really tapped into everyone’s engine room.
For me, it was gaining knowledge and experience by books, jobs and hardship.
Identifying and building on strengths, we all have them.
The responsibility of raising a family (call that one burning the boats if you like)
There are joys too, this has gotta be the best fuel there is : about 4 years ago, my little girl said to me, “Daddy, I know you and Mummy really want to buy a motel to look after us ’cause we always go everywhere in the car every weekend looking at motels, and you keep saying we don’t have enough money and I want to help so here’s my money (she gives me a $20 note) I saved it from my pocket money, have we got enough now ? “
It’s framed, priceless, on display in our motel reception area, gets me right here in the engine room every time I look at it. Fuel that never runs out.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi grega21360
Add $1000 to the price (or to your confidential reserve price) and add $1000 to the salesman’s personal cash bonus if he sells within 30 days at or above your confidential reserve.
Watch him go. [grin]
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hey Domo
You’re doing well. The ideal situation is to have good tenants who stay long term, look after the property, pay on time, and don’t bother your PM on little things, or become demanding. Encourage the PM to get & keep those type of tenants for you.
So, discourage tenant turnover by reducing the profitability of tenant turnover for the PM, by reducing the fees the PM gets when changing tenants, such as fees for :First let – 1 week’s rent.
re-let – max 1/2 weeks rent, ( limit of one p.a. but $ nil for a re-let during 1 st year )
condition reports ( $ nil )
tribunal appearances ( $ nil )
ads ( $30 max per re-let )
periodic inspections ( $ nil )
annual statements ( $ nil – push of a button ).Fees charged to you should be :
5%-6% + gst of rent collected, might have to pay 6% for your first property, but 5% for 2 or more.
1/2 of lease preparation, $17, limit one p.a.)
Twice yearly discretionary personal bonus to PM for achievement ( $100 cash each time ) for stability of tenants and low maintenance costs of property.Remember, the licencee of the REA gets the profit from the rent roll & fees etc,, but, on a day-to-day basis, it’s the PM who chooses your tenants, keeps the maintenance costs down, keeps the tradies honest, collects rent, and takes an interest in your property, and protects your interests.
Be firm, be hard, they do it all day long.
cheers and good luck [biggrin]
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hey Shaunwalker
Any update on your takeaway venture ? I’m interested in commercial property.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Nikki
Looks like the forum has given you the answers to your problems like selling off the worst problems. But, looks to me like you might have a very expensive repairman, and a slow PM and Agent.
sewerage blockages $200 each ? WoW !
Not one buyer enquiry in 3 months ? Agent on holidays right ?
20 % of tenants trashing ? PM is not vetting your tenants !
6-8 weeks vacancy after repairs? PM is useless !All the above is no way to treat a property owner with 15 properties is it !?
Try changing PMs, you could only do better.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Domo
It would be in your interests to interview more than one PM. They are usually pretty handy at interviews. Might clear things up if you spreadsheet all the items and costs on 3 PMs, see who gets all the ticks.
The agreement should reward renewal of leases with long term tenants, not tenant turnover or tribunal appearances with bad tenants who should have been screened out by the PM in the first place. Avoid paying for ads, a good agency should have enough inbound enquiry every week. Ask for 4 weeks notice on the lease, the PM should know the advantages. Charge market rent, insist on PM finding good tenants, and look after them with fast repairs and maintenance by the PM.
good luck
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Helmutb
80% sounds pretty high, and high occupancy is only a small part of the equation. Redwing is right, get a list of all the costs – over the last 2 years, and projected and planned costs over the next 2 years, high occupancy creates high wear ‘n’ tear. Is it tired yet ?
I remember inspecting a place mid north coast NSW had very high occupancy, turned out it was owned by a Sydney footy club and it was supplying cheap accommodation packages to members as rewards.No wonder it was busy. Do ALL the sums. Good luck.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi EMCDONALD
Something doesn’t add up here.
If the properties are meant to receive 4 inspections per year, then your 900 properties divided between 3 PMs means 100 properties per PM each month, seems a lot. Doesn’t add up, so do some properties miss out or does someone else do the inspections ?
cheers [confused2]
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Sounds expensive for a renewal only. Read the Managing Agency Agreement to ensure the agent is complying.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Scullie
Been there done that, so I don’t mind warning anyone – definately the most hard won experience ever. My suggestion is to put a toe in the water before taking the plunge – how ? make arrangements to spend a few days with a PM doing property inspections and Tribunal appearances, the PMs would almost certainly appreciate the company. Inspections and Tribunal hearings are very enlightening. Inspections would give you the opportunity for lots of questions. Read the Residential Tenancies Act ad nauseum. It’s a start.good luck
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Jeez Jo, i can’t type rolling on the floor laughing, ya got me.[laugh3][laugh3]
I propose Jo runs the next election, howzat ! [bulb]
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Unified
There’s a lot to check with a commercial property.
It’s only as good as the financial strength and stability of the tenant really. The vendor should provide you with the rent record and the complete file of all correspondence with the tenant,which can be revealing. Other records to request are rates, maintenance expenditure, water consumption, Council correspondence etc. You should also have access to the tenant for a discussion, see what his plans are and any complaints about the building, neighbours or vendor. Chat to the other shop tenants and owners.
Small groups of shops are vulnerable to competition, especially if a bigger complex is planned nearby. Get an expert to check the lease very thoroughly as the buyer will have to comply with it. Check the bond amount ? Why would anyone sell a cf+ property right now ?
Hope it’s a good deal for you, good luck
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
….What I’m aiming for in my life is a “triple bottom line” of satisfaction and success in financial, emotional and spiritual realms….Good for you Leigh, that sounds like the snippet I read somewhere recently which really took my fancy – “work like you don’t need the money, love like you’ve never been hurt, and dance like no-one’s watching”. Wish I could quote the author, they should get a pulitzer for that one.
Hope it all runs smooth for you and you find a great spot in Sydney. Didn’t mean to be mean with the cats question, good luck
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Wouldn’t want to be using that system for ordering carpet
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Blitzem
Wish all tenants were like that, and stayed long term and did the good quality repairs, but I for one still have the visions splendid of the tenant being the disappearing dust cloud on the horizon, and the walls looking like the a firing squad used it.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Luckyone
If they don’t understand the basics, they can hardly blame you for changing PMs.
A good REA and PM should have a high enough level of enquiry to steer one your way, with or without a specific ad.
Most PMs will not stand in your way if you are polite but firmly changing PMs because they goofed at your expense.
good luck
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hey Countryboy
Guess there’s nothing to stop you refinancing for another 10 yrs after the first 5 or so.
I just financed a commercial property for 10 yrs myself. Doesn’t seem to be as popular with the lenders as residential that’s for sure.Hi Mortgagehunter
would you please give me some details on those friends of yours with the 20 year loans ?
‘twould be much appreciated.cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Heinz Sander
I understand that if you use a residential property as security for the purchase of commercial property, you can get a residential loan with res rates. St george offered it to me within the last 3 months. PM me if you need more details, the dragon doesn’t pay me enough (like zero) to plug them like this. [biggrin]
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
Hi Ali G
Up the time schedule immediately, so you get a decision now, and time to recover the situation if it goes wrong.
Place a new earlier deadline on your availability because you have to give an answer to another agent on another property which is $15 cheaper within the hour.
If you are that popular with them, you are that much better than the next best tenancy applicant, then it is worth a discount – how much ? who knows. good luck [wink4]
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
