Maybe you’ve had a gradual loss of managements over the past couple of years due to sales (guess what? – this is EVERYONE!) and that might mean you have spare capacity in your team. They could actually look after another 20-30 each, so adding 120 to even a small team may require no change to your staffing (and fixed costs).
I’m not being unfair to PM’s when I say there’s many who won’t put their hand high to ask for more properties. I had this experience in my business – over a time their portfolio might shrink by 40 but they’d tell me they “couldn’t possibly go back to that bigger number…” Yes I know their jobs have got harder with legislative change recently but in many cases, a fair assessment would show, they could handle more.
But Principals are reluctant to rock the boat. Don’t risk losing someone in this tough recruitment market. I get it. So taking on a new portfolio, buying a rent roll, can mean extra PM’s are needed. To keep the service high, and stress and sanity levels in check, you might need to find new, additional team members.
This will sound really obvious – but who is running the rent roll you’re looking to buy?! These property managers are likely unaware the business is for sale. Confidentiality is key in a sale. So they’re busily looking after the landlords, the properties and the tenants you are hoping to take on. Once they learn of the sale (after your contract conditions are ticked off) they’ll commonly only get a couple of weeks’ notice that their job at that agency is ending.
Who better for you to employ!
They know the properties, the clients and what is happening with those bond claims, maintenance issues and annoying neighbours who want a new fence. We tell landlords the transition to your new agency will be smooth, and when a PM goes with the rent roll it’s as smooth as it can get. That “corporate memory” is really valuable to all sides.
These PM’s need a job and guess what – if their current boss has made the decision to sell – there’s a good chance they haven’t been a great leader in recent times. This was me leading up to my sale – tired and disengaged. Not a great boss. And along you come, the rent roll buyer who’s fresh and full of energy. Armed with a plan for your growing business and a new career path for your team members.
You and your agency are looking like a great place to work! Same clients and properties. A new, bright culture and a way forward that their current workplace isn’t offering.
Naturally when you buy a rent roll you’re being cautious, assessing risk. Having the team to manage these new properties is critical. But don’t forget the team now working for the seller will need a new home and your purchase contract can give you an early introduction to them.
Rent rolls need property managers. But it’s also the case that property managers need a rent roll!
I’d love to have a confidential chat with you about your rent roll plans. Please call me on 0423 332 022.