Would love to hear everyone’s experiences with fee rejections.
The majority of our new business comes from referrals so we have never really had that much fee rejection. However, in the last six months we are experiencing quite a lot and I am finding it both concerning and really frustrating. By no means are we a cheap fee agency but our fees do sit on par with the majority of the market.
I have gone over my listing presentations to see if there is something I am not doing or are doing to cause this fee objection but have come up with nothing.
I am finding more and more people get put off by the number of fees Property Managers charge such as letting, lease renewal, management fee, routine inspection fee.
So I wonder how many agents are offering an all inclusive fee?
I offered an all inclusive fee at an appraisal this morning and was quite excited by the response I received. The appraisal was for two brand new properties and the owners found all the fees a bit overwhelming. I knew they were feeling this way so before the appraisal I worked out the cost of our total annual fee including management fee, letting fee, routine inspection fee and simply divided this into a weekly amount which in this case was $60 per week. I offered this to them and sold it to them that they will not only start to see income much sooner than having to pay the letting and advertising fee from the first few weeks rent but long term it assists with the cash flow of their property. They were really excited by this.
My question to the forum is for those people who do this how does it affect your business cash flow? Does it work for the business better or just the owner?