In commercial real estate brokerage, the investment clients that you work with can give you multiple streams of income and commission across sales, purchases, leasing and property management. The question is, do you have enough investment clients on your database or books now, and are you keeping in regular contact? More importantly, are you asking the right questions at the right time?
Any top agent will tell you that they have a good selection of investors as part of their database. Those investors should be separately segmented into a VIP zone of regular ongoing contact and as part of that process specific information can be provided in a comprehensive way for the location and the property type. It is a known fact that many property investors will work exclusively with certain top agents in an ongoing way; over time those agents will achieve multiple levels of commission and property activity.
Know Your Numbers
Your target as an agent or broker should be to identify between 10 and 20 property investors locally so that you can pull them towards you and your services over time. Offer specific services and strategies as part of specialised property investment services.
Those investors require specific information relating to the local area including:
- Prices from a selling and purchasing perspective
- Rentals across both gross and net rentals
- Upcoming investment opportunities
- Help with tenancy mix performance
- Market rental updates
- Outgoings strategies
- Rent reviews and options
Nothing is more frustrating than to see your good clients and contacts start working with or listing with your competitors. Stay in contact with your VIP clients so they share with you their property needs and challenges before problems and pressures evolve.
Unique Questions to Ask
In working with this particular segment of the property market, here are some unique questions that can be applied to property investors:
- Are they specialising within a property type or relocation?
- What limitations do they apply when it comes to property acquisition or exchange?
- What pressures do they have when it comes to tenancy mix changes and rental income performance?
- Are they looking to undertake new property acquisitions and or renovations?
- Are they looking to move a property through a redevelopment and upgrade?
- Have their current investments been optimised for their highest and best use?
- Do they have any financing issues or refinancing challenges where rental and tenancy mix problems will need to be resolved?
Questions like these will help you get a lot closer to your property investment clients. Over time you can help them with sales, purchasing, leasing, and property management activity. Staying close contact with your property investors and treat them as VIPs within your database.