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Looking for new tenants, do you ask your property manager to do home open or

Discussion in 'Property Management' started by paper, 27th Jul, 2015.

  1. paper

    paper Well-Known Member

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    Hi, recently need to look for new tenants.

    The property is next to the city (Perth) and no one lives in.

    Currently I was told by the property manager to do individual home open instead of setting up a particular date for the home open.

    From the last two weeks, he told me two person coming to view the property individually without put any applications. I have asked him to do a weekend home open but he argued it was useless.

    As the owner, do I have the right to ask the property manager to do a couple of home open regardless whether it is 'uselessness' . Do I have the right to ask him to do a set up date for home opening instead of waiting for any individual coming for viewing the place?

    I understand it is very down for the market. But my next door has been just rented out after 8 wks on the market. My place is similar to hers and even $20 lower than her rent price/pw. I got a feeling the agent would ask me to drop more price for the potential tenants. If so, should I do so???

    Please advice.

    Thanks a lot.
     
    Last edited: 27th Jul, 2015
  2. Lil Skater

    Lil Skater Well-Known Member Business Member

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    I don't know anything about the Perth market (sorry), but I believe that your agent should at least try an open home - especially if that's the standard there.

    As an agent myself I've been known to save properties on realestate.com.au and not actually enquire or request inspection times and instead just wait for an open home to be advertised. In saying that open homes are the norm here, they might be unusual there.

    What's the feedback you've been given from the two that did inspect the property?
     
  3. thatbum

    thatbum Well-Known Member

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    Sounds ridiculous to me. I'd be directing the agent to do a home open.
     
  4. Perthguy

    Perthguy Well-Known Member

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    I just went through this in Cloverdale. What I did was stalk some home opens in the area. Out of 7 home opens, I only saw 3 people inspecting properties. The market was dead. I took my place off the market for a week then relisted at a new price (price drop of $60 pw). The agent then ran three home opens and found me a tenant. There is not really a lot of point directing the agent to do home opens if no one is turning up.
     
  5. paper

    paper Well-Known Member

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    Oh, one wants to drop the price.
    The other one wants fully furnished for the same rent price.
     
  6. paper

    paper Well-Known Member

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    How do you take your place off the market? through your agent?
    My agent even did not want to do any thing for the ad as he told me he would do his best but...
    He even did not bother to email me once a week for any updated information until I called him.

    I am sick and tired to ask him to update the information.

    His answer always is the same, the market is so quiet...
     
  7. Lil Skater

    Lil Skater Well-Known Member Business Member

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    If next door was vacant 8 weeks, and is a slow market it's worth considering the drop.

    Even something that appears a fairly significant drop ($30-$50pw) could save you money in the long run.

    That's a whole other story though.

    If the agent isn't updating and refusing to even consider doing things differently, then perhaps you should look at changing to one that will.
     
  8. paper

    paper Well-Known Member

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    This is the new agent. I signed the contract 3 wks ago. I still can change the agent or I can ask the manager to change another property manager.
     
  9. Ed Barton

    Ed Barton Well-Known Member

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    Lazy lazy agent. Give him a call and see if he has any other suggestions of how he can further decrease your chances of getting a tenant. Perhaps he could pull the online advertising down and put up a hand written note at the local RSL.
     
  10. bob shovel

    bob shovel Well-Known Member

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    I'd get a new PM
     
  11. Kael

    Kael Well-Known Member

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    Some things that interested me from your post:

    So he is only conducting weekday open homes? Surely there would be many people who wouldn't be able to attend weekday open homes due to work commitments, family commitments, etc? A weekend open home is a must in my books.

    8 weeks is a long time. You don't want to have yours empty for that long. Let's say your IP has an asking price of $500 per week currently. From what I see, you have two options:
    1. Reduce the rent - let's say you reduce it to $450 a week. That's a drop of $50. Over a year, that's $2600. But you could potentially get a tenant in there very quickly. Let's say, 2 weeks. So you've lost a total of 2 weeks rent ($500 x 2 weeks = $1,000) plus $50 a week because of the drop (Over the rest of the year, that's 50 weeks x $50 = $2,500) so, if you reduce the rent by a relatively large $50 a week, you'll have not received $3,500.
    2. Keep the rent as is - If it's $500 a week, and you end up matching the time on market for your rental, same as your neighbours (8 weeks), that's eight weeks with no rent. 8 weeks x $500 = $4,000.
    I used an extreme example of $50 a week (which may not be extreme in some areas but imo, it's a large drop in one rental reduction). You could choose to reduce the rent by only $10, $20, etc. Whatever it takes to rent your property. By looking at the above example, you'd be saving money over the year by reducing your rent. Just my opinion though but hope it provides food for thought :)
     
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  12. Perthguy

    Perthguy Well-Known Member

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    Yes, I asked the agent to remove the ad from the web site for a week. I told her I would then re-launch with a new price and new marketing.

    Yipes! Mine emailed every week, even if the answer was no one through. I know the market is quiet but you are still paying them to do a job. :(
     
  13. paper

    paper Well-Known Member

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    Two things to be clarified:
    He has not done any home open so far regardless weekday/weekends.

    My rent is already down 5% comparing to the next door even offering more furniture.
     
  14. paper

    paper Well-Known Member

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    I may try that but not sure he will do so.
     
  15. Kael

    Kael Well-Known Member

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    Oh, he's not doing ANY open homes? I know the Perth market is flat but that seems pretty crazy!

    Sometimes we as property owners think that our house is better or as good as our neighbours, when in actual fact, there are many differences. If you want, you can PM me the realestate.com.au listing for your property and I can give you an independent view of what I think of the ad. I can check out next doors old ad too! If you want some independent opinion, just hit me up :)

    Good luck none the less - I really hope you find someone soon!
     
  16. Esh

    Esh Well-Known Member

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    Your PM really needs to do Weekend opens. Most people only have time to do it on weekends. Does he not work on weekends? :confused:

    I also think (sorry) drop rent again, sign for 6 month lease then increase
     
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  17. HD_ACE

    HD_ACE Game-Changer Premium Member

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    You need a new agent.
    Ideally you want open by appointment and at least 1 open home a week thats well advertised. But Preferably 1 weekday and 1 weekend doesnt matter how the market is.

    From my latest leasing we had no one make appointments to view for the first week or so. We then had a couple of opens the next week where 2 or 3 people showed up to view. And the following week had 3 more groups register to view. Sourced a tennant out of that. So both methods work, you just have to uitilise both methods to increase your chances.

    Also consider pricing. I was dropping my rent weekly. And consider the sensitive price points/brackets that people search. If your asking $510, drop to 490 so your property shows up when people search price ranges.

    Consider your advertising. Professional photos and feature adds work wonders.

    Link the add if you want more feedback on that.

    Its a very different market out there, hang in and im sure youll find someone suitable.

    Hope this helps.
     
  18. paper

    paper Well-Known Member

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    Oh, my agent tells me he only works for part time. No weekends. Could I ask his manager organize someone else to do a weekend home open?
     
  19. HD_ACE

    HD_ACE Game-Changer Premium Member

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    Yes. If your not happy, speak up with what you want achieved.
     
  20. Esh

    Esh Well-Known Member

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    Not your fault he works part time