MAY 2011 VOL 62/04

Expert assistance Why you should outsource vital tasks Young gun How one agent climbed the real estate ladder Benchmarking for profit The tool that will revolutionise your lights, business camera, action! The changing media landscape and its impact on the property industry First class results for our clients

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B5(,16:B0D\B&217(176LQGG 30 ON THE COVER PRESIDENT Bondi agent Mary Anne Cronin has achieved celebrity status after featuring on television shows like The Block and Hot Property.

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20 14 Contents MAY 2011

REGULARS NEWS CHAPTERS FEATURES 04 Member benefits 12 34 14 On the buses Rural: When disaster strikes 05 President’s message COVER STORY A novel new solution to housing NSW is no stranger to the destructive Lights, camera, action! 06 CEO’s message affordability and undersupply in forces of nature. What can agents do to The changing face of media and how it Australia is offering tenants the chance minimise the effect of natural disasters affects the property industry. 08 In brief to live in converted buses. on their businesses? 10 REINSW in the media TECHNOLOGY 36 18 Benchmark your way to Commercial: Big changes in the 23 Training liftout 30 greater profit Sydney pub market Your personal navigator Real Business First is a benchmarking With fire sales caused by the after effects 40 New members GPS technology means no agent ever tool that will revolutionise your agency. needs to run late for an appointment. of the GFC, Sydney’s metropolitan hotel 41 Product news Plus, five of the best devices curently landscape is undergoing a significant on the market. shift as cashed-up buyers pounce. 20 43 Research Expert assistance LEGAL Douglas Driscoll explains why 44 Supplier directory 38 outsourcing vital tasks makes sense. 46 Last word 33 Residential sales: The return of When a courtroom victory the first homebuyer 28 Anecdotal evidence suggests that costs you money Young gun first homebuyers are returning to the A recent damages case reveals that Sydney agent Andrew Lutze writes marketplace. How do they differ from fighting a claim in court can be an about those first few diffficult years and other buyers? expensive experience. how he made his way to the top.

34 We’ve lost very few homes since the 1957 fires hit Leura. Far more people are killed on the Great Western Highway than by bushfires.

The Real Estate Journal is a member only publication from the Real Estate The Real Estate Journal is printed on paper Average monthly Institute of New South Wales. To find out more about membership, call that is totally derived from resources which distribution 4,307 copies (02) 9264 2343, email [email protected] or visit www.reinsw.com.au are managed to ensure their renewability for ng generations to come. ent Real Estate Journal May 2011 3

B5(,16:B0D\B&217(176LQGG 30 MEMBER BENEFITS

TRA’s rental revolution Trading Reference Australia’s new free online application facility is a winner for agents and landlords.

Trading Reference Australia (TRA) has new service even includes the logo of REINSW members launched a new free online application the real estate agency on the tenancy facility that combines a potential application, ensuring it blends with each are entitled to a free renter’s tenancy application with a agency’s branding. These ideas and three-month trial of search of their tenancy record. developments are subject to Australian TRA’s tenant database. and international Patents Right Pending. “Our online tenancy application places the accountability back on the tenant for REINSW formed an alliance with TRA in assist my clients select tenants for their supplying the correct information and March 2010 to help members with one owners,” explains Gai. they’re entering the TRA search criteria of their most vexing issues – protecting at the same time,” explains Gai Williams, landlords, their clients, from bad tenants. “The new tenancy application facility TRA Managing Director. also addresses new Residential Gai believes one of the reasons for Tenancies Act 2010 legislation and is an According to Gai, the new facility TRA’s success is the priority she gives example of how we continue to monitor also saves time by speeding up the to listening to clients. This helps her developments to refine our service.” tenancy application process and is formulate ideas which continue to refine legally safer for property managers and improve the TRA system. “This For more information call (02) 9363 9244 and the Principals of the agency. The results in a more professional tool to or visit www.tradingreference.com

REINSW member benefits

Earn a monthly rebate of REINSW members get $50 Access the latest and most REINSW members can access up to $98 (ex GST) when off their first wine order and a comprehensive sales and exclusive deals on selected IT you choose M2 for all your 5% discount on subsequent auction results collected via the products and services through telecommunications needs. orders at Cellarmasters. REINSW call centre. REI PowerBuy.

Call 0408 481 048 or Visit www.cellarmasters Call 1300 695 645 or visit Call (02) 9264 2343 or visit visit www.m2.com.au community.com.au/reinsw/ www.propertyDATA.com.au www.powerbuy.com.au/rei

REINSW members enjoy a 25% Enjoy a cost-effective REINSW members and their The benchmarking tool for the discount off the base premium advertising solution with free families receive 20 per cent real estate profession. Discounts for professional indemnity multi-loading to the large off Deposit Power Short-term for REINSW member agencies. insurance with Realcover. portals and free access to a Guarantee premiums. rental archive. Call REINSW on Call 1800 988 396 or visit Call 1800 678 979 or visit (02) 9264 2343, or email www.realcover.com.au Visit www.realestateVIEW.com.au www.depositpower.com.au sales@realbusinessfirst.com.au

4 Real Estate Journal May 2011

B5(,16:B0D\B&217(176LQGG 30 PRESIDENT

Exploring property’s media evolution

Can you believe it is May 2011 stories from member agents Chapter news for rural agents at all times of the already? What a busy start to provide both enlightenment and Our Chapters are all busy year. Read about how they cope the year it has been, with most solutions for success. with their respective issues with these problems. sectors of the marketplace and marketplaces. On the recording strong demand and The Real Estate Results commercial front, read about the Finally, I have thus far resisted shortage of supply. Network has adopted rise of the super pub and how the urge to buy a GPS, but Real Business First to set big players such as Merivale I’m not sure that’s sensible in Watching buyers compete benchmarks within its system. and Keystone have affected the today’s market. Getting around for property on a plethora of Why? Understanding your metropolitan hotel business. your local streets in the fastest lifestyle television shows is business better gives you the way possible is not about another testimony to a confident ability to drive it to even greater In the residential area, we are speeding but about finding the marketplace. This month’s cover success and profits. experiencing the return of the best route and GPS technology story discusses the role that first homebuyer. After the rise is an affordable solution. We the media plays in real estate, We also talk to Andrew Lutze, a and fall of 2008/2009, there have a look at some options. through not only lifestyle TV, but young agent who discusses the is strong anecdotal evidence in print and online as well. trials and tribulations of those suggesting they are back and Enjoy the read and don’t forget first few years in business. Many we look at what makes them to get your tax receipts ready for Read how this evolution in media of you will relate to this story. different in the marketplace. next month! has changed our industry, both within and from the consumer’s Meanwhile, Douglas Driscoll Let us also spare a thought for point of view. from Starr Partners explains our friends in rural NSW who why it is sensible business seem to face an endless barrage Business success to outsource many tasks to of environmental calamities. The challenge of running professionals in their field, a From droughts to flooding rains, your own business today has decision that can increase your locusts to bushfires, it seems Wayne Stewart never been greater but several own agency’s productivity. there’s a seasonal foe out there REINSW President

REINSW Major Partners

Real Estate Journal May 2011 5

B5(,16:B0D\B&217(176LQGG $0 CEO

Urgent action needed on housing affordability and supply

The recent state election To put this into perspective, We’re lagging well behind our 71.4 per cent to 69.5 per cent and REINSW media activity someone building a house in friends in Victoria on this score of the population from the late has put the issue of housing Blacktown (Sydney) would pay as well. According to Bureau of 1990s to the early 2000s. affordability and supply $31,500 in levies; if they were Statistics data, Victoria recorded right back in the spotlight – building the same house in 35 per cent of Australia’s We are one of just fi ve countries unfortunately though, without Cranbourne (Victoria) they would dwelling commencements in where home ownership rates fell action the crisis in NSW looks only pay $6810. 2010, compared to NSW with during that period. likely to continue on both fronts. only 19 per cent. The State Government has been The new State Government REINSW has been lobbying utterly dependent on property The fi gures are even more has been delivered an government to urgently address taxes over many years – it has alarming over the longer term, unprecedented mandate for the affordability and supply been the solution to everything! with Victoria more than doubling change. The time for action is issues for some time. The Every time they need more the housing output of NSW now. REINSW will be calling new State Government must funds, they hit the property since 2006, with an extra 85,423 on the government to make immediately review NSW’s sector. The sad reality though is homes constructed. affordability and supply of dependency on property taxation that the person who ultimately housing a priority during its fi rst and our planning system, which pays all the taxes and additional The simple fact is developers months in power. is cumbersome and costly. costs from the costly and are not encouraged to invest ineffi cient planning system is the in building projects in NSW Put simply, NSW has not built end user – the homebuyer! because of taxation laws which enough houses to meet demand effectively see them paying tax and that has caused stress in Housing shortfall on a tax on a tax from all levels the market. Year on year we are building of government. fewer homes than we need and A recent study clearly indicated if the current trend continues, it Recent research published that Sydney homebuyers is predicted that we will have a by the OECD underscores the pay fi ve times as much in defi ciency of 230,000 dwellings affordability and supply issues. It government and council levies by 2020. This, of itself, has showed that home ownership in Tim McKibbin as their counterparts in Victoria. driven prices up. Australia dropped from REINSW CEO

Latest from the REINSW newsroom Follow REINSW on Facebook and Twitter for up-to-the-minute news, advocacy and updates that affect you. facebook.com/REINSW twitter.com/REINSWnews

6 Real Estate Journal May 2011

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B5(,16:B0D\B&217(176LQGG 30 B5(,16:B0D\B,1%5,()1(:6LQGG 8 RealEstateJournal cent loans. companies 95 offering per other and deposit cent per atwo just requiring Teachers Credit Union by the offered a product however, with available, still are loans Low-deposit a loan.” get not will product enquiring about this those and GFC the with togo products first the home loans were justifiably cent “However, 100 per Operating Officer. Rushton, Loan Market Chief Dean said property,” of the borrowing the whole cost by so todo trying are marketproperty but many the into toget looking “First homebuyers are though no such loans exist. even February, in cent 57 per were and up by January in cent by28 per rose for home loans no-deposit Market show that enquiries brokermortgage Loan Figures compiled by deposit home loans. lookingincreasingly for no- are market housing the into homebuyers flooding back Financial Crisis, first in the wake of the Global borrowing conditions left Despite more stringent loans deposit seek no borrowers First-time IN BRIEF May 2011 and it has been submitted to submitted been has it and periods five-year two over cap the impact of a population MacroPlan Australia modelled economists Property Herald. Morning Sydney in toareport according decade, next the in 18 cent per than bymore fall Sydney could see home prices in to cap urban population growth A Federal Government policy Fixed rates losetheir appeal largest independently ownedlargest The latest data from Australia’s 2010. October since lowest its at is loans rate fixed for demand According to Choice, Mortgage option more attractive. rate variable the makes market competition in the home loan heated and stability rate interest as loans rate interest fixed shun to starting are Homebuyers Sydney house prices Population capwill decimate The flagged the idea of population The government has since “carrying capacity”. their have reached may centres of Australia’s biggest urban Minister Tony Burke that some and Sustainable Population Prime Minister Julia Gillard by comments follows It population strategy. sustainable government’s the lapping up the newly introduced introduced newly the up lapping were borrowers new appears “It November. 11.2 and in cent per December in January, 15.2 in cent per cent to15.3 per compares This rate. interest afixed had February in customers its for approved loans home ofthe cent 10.7 shows per broker mortgage prices begin to plummet. as homes their tosell rushed retirees as years five next the rapid rate to 18.3 per cent over a at increase then would which Sydney, in years five first the over of1.3 cent drop per price forecasts an annual house The MacroPlan modelling capital cities. ofthe instead ofAustralia parts in orgrowth regional remote towards the economic outlook.” economic the towards in positive consumer sentiment rates may also signal an uptick interest “A fixed awayfrom move Choice spokesperson. Sheppard,said Kristy Mortgage share,” market ofvital other each tooutstrip compete they lenders’ various incentives as February, taking advantage of in offer on deals (variable) 30

Thinkstock B5(,16:B0D\B,1%5,()1(:6LQGG the market property means in confidence increased that indicates paper white Assets Distressed and Insolvency Colliers’ International. according to Colliers 12 next the in months, sales of distressed property inan increase the number of growth economic will be of Australia’s current period An unexpected side-effect more distresssales Economic growth tocause Property Services. Property Manager for Insolvency Chief Executive and National International NSW State said Malcom Tyson, Colliers and demand from buyers,” due to2009 a lack of liquidity market remained low through or distressed assets on the number of“The insolvent now be sold. would years two past the over market the from held property property to coverproperty debt levels.” of value fair recover could they confident felt they as assets on tomove began lenders and administrators“Receivers, markets. Australian property within growth some cases, in and, tostabilisation led investors local and foreign and increased demand from economy, domestic the in of2010 confidence as course over the around turned “This Sydney’s west. of thisconstructiontooccurin 2011/12 witharound 83percent completed perannumover of spaceisexpectedtobe An averageof969,483sqm further 1.8percentin2012. grow by3.1percentin2011anda face industrialrents are likelyto CB Richard Ellisestimatesthatnet past twoyears,”saidMrBlade. development inSydneyoverthe there hasbeenverylittleindustrial from logisticsproviders because “There isreal pent-updemand their logisticsoperations. corporates seekingtostreamline Sydney aswere anumberoflarger actively seekingspaceinwestern party logisticsproviders were Services, saidarangeofthird- Director, Industrial &Logistics Peter Blade,CBRichard Ellis CB Richard Ellis. the nexttwoyears,according to solid rent increases expectedover Sydney industrialmarket,with sector ishelpingarecovery inthe Increasing demandinthelogistics grows market industrial Sydney 30

Thinkstock IN BRIEF

NSW worst REINSW for planning IN THE Calls for a reform of NSW’s MEDIA planning system have been strengthened by the release REINSW views on housing of a draft research report by affordability, planning reforms the Productivity Commission, and housing starts were all according to the Urban Taskforce. recent topics in the media.

Taskforce Chief Executive Aaron Print Gadiel said the wide-ranging • REINSW Board member report found that NSW had the Tony Santolin told the Area highest residential, commercial and Bulky goods sector on the rise News (Griffith) that interest industrial infrastructure charges, The bulky goods sector is Alistair Palmer, Bulky Goods was returning to the Griffith limited zonings and uncooperative enjoying the flow-on effect Director for CB Richard Ellis, property market. state/council relations. of interest rate stability as told The Sydney Morning • In the Daily Advertiser consumers are starting to once Herald that the positive flow-on (Wagga Wagga), REINSW “NSW clearly stands out as the again feel more comfortable effect of NSW housing starts President Wayne Stewart state that is cursed with Australia’s spending money on home would help to lift the sector said NSW faced a “flood worst planning system,” said improvements. of economic refugees” if Mr Gadiel. “NSW is heading for a “The bulky goods sector the housing crisis was not housing shortfall of 100,000 homes Bunnings Warehouse Property is strongly linked to the addressed. within just three years. Trust recently decided to buy performance of the housing • REINSW CEO Tim McKibbin 10 more stores, IKEA is set market,” said Mr Palmer. told the The Sydney “Sydney’s actual housing supply to open its new mega store Morning Herald that he was is running at half the government’s at Tempe and Charter Hall “Thus, a robust gain in NSW unsurprised at reports of target. The housing undersupply group, owner of the Home HQ housing starts in 2010 and solid university students being means more congestion, as people in Artarmon, has selected the forecasts until 2015 should forced to live in hotels. live further away from their place of sector as one for growth. signal growth opportunities.” • Residents objecting to the work, and higher rents.” construction of affordable housing in the Sydney suburb of Frenchs Forest have been accused on Outdoor living tops the housing wish list ‘NIMBYism’ by REINSW Vice Forget about the extra bedroom, west with an influx of families an unadorned oval that could be President John Cunningham the media room, or even the with young children driving the on the other side of the suburb,” in the Manly Daily (Sydney). games room. When it comes demand. said Matthew Mears, Stockland • Wayne Stewart told the to house hunters in western General Manager for Residential Lakesmail (Morisset) that Sydney, the new must-have It also reflects a greater Development. a continued fall in housing feature in a home is its proximity awareness of the importance of starts would be reflected to multipurpose parklands. physical activity in maintaining “Today’s families are demanding even more strongly in the good health for both adults and close proximity to a range Hunter region. Over the past decade, parkland kids. of parklands and recreation and outdoor areas have opportunities, and want to be MARCH MEDIA become a major selling point “Gone are the days of able to walk or cycle rather than ROUND-UP for developers in Sydney’s 1980s-style communities with always have to drive.” REINSW appeared in: • 8 television spots • 28 radio spots • 42 print articles • 40 website stories

The total audience reached in Australia was 1.87 million people. View all of REINSW’s recent media coverage at www.reinsw.com.au Newspix

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B5(,16:B0D\B,1%5,()1(:6LQGG 30 NEWS

On the buses A novel new solution to housing affordability and undersupply in Australia is offering tenants the chance to live in converted buses, and investors some healthy financial returns.

For most people, time spent on on government rent assistance, a bus is usually limited to the but is very keen to distance trip to and from work or perhaps itself from the idea of creating a road-trip style holiday. caravan park or housing commission style communities. But if a novel new idea takes off, many prospective “The regulations are very strict,” tenants struggling to find the company states. “There is a cheap accommodation in a maximum of five mobile homes rising rental market could on a minimum of two acres of be calling the humble public land. With low-density housing, transportation workhorse home. a ghetto is highly unlikely to be a problem. And property investors may have a potential new income “Our ideal tenant is a single stream. woman in her 40s or mature couples. While entirely The idea is the brainchild of possible, we find it difficult to an online company called believe that five of them will MobileHomeInvesting.com.au, get together, choose some which is calling on investors gang colours and destroy the to spend $26,000 on the neighbourhood.” converted buses, to be situated on privately owned land The current developments are sourced close to major urban in south-east Queensland, with centres. Investors are being Victoria and Western Australia promised an initial annual return also in the pipeline. Each of more than 15 per cent. converted bus is expected to have a lifespan of at least The buses will be converted into 10 years. dwellings that are similar in size and layout to a studio apartment, REINSW CEO Tim McKibbin with single occupants or couples said innovative ideas like this viewed as the ideal tenant. Each were a result of the current ‘bus’ will have a minimum of half housing crisis. an acre of land, with full bathroom, bedroom and kitchen facilities “We will see more of these included as part of the fit-out. type of solutions as housing affordability and undersupply The Tamworth-based company continue to be major problems,”

says it will be targeting tenants he said. Thinkstock

12 Real Estate Journal May 2011

B5(,16:B0D\B,1%5,()1(:6LQGG 30 STOP SEEING RED... AND SWITCH TO A BETTER VIEW

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To find out how realestateVIEW.com.au can help your business, phone 1300 695 645 or email [email protected]

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B5(,16:B0D\B,1%5,()1(:6LQGG 30 FEATURE lights, camera, ACTION!

In a fast-changing media landscape, agents are finding new and exciting opportunities for generating publicity, and finding motivated sellers, decent prospects and – ultimately – sales.

BY FRAN MOLLOY

As most agents well know, real estate can be a very emotional business. Sometimes there is glamour, sometimes there is pathos, usually there is competition, often there is drama – and always, there is money. It’s the kind of stuff that makes great television.

From Grand Designs to Hot Property, from The Block to Selling Houses Australia, the highs and lows and raw emotions of property sales have been captivating Australian television audiences for many years now.

How does an everyday, normal real estate agent manage to get a starring role on a property show? Or a front page interview in the real estate section of the newspaper? Or even their very own weekly radio show? And is it worth getting your face on TV? Does it actually generate sales?

14 Real Estate Journal May 2011

B5(,16:B0D\B&29(56725<LQGG 30 B5(,16:B0D\B&29(56725<LQGG Real EstateJournal May 2011 30 15

Studio Commercial FEATURE

Your name is in front of an audience of two million, rather than the local 15,000 and I think you do benefit, it does generate leads, people get to know who you are.

Hot property Mary Anne became entwined Bondi agent Mary Anne Cronin in the lives of Block contestants from Raine & Horne is quite Brenton and Cheryl when the TV star these days, having Cheryl, a real estate agent from appeared on Hot Property, My Melbourne, took a job with her Home and both series of The in Bondi, then asked her to sell Block on Channel Nine. their property at the end of the show. Her first television experience followed an impromptu film “It happened to be the worst shoot with a TV crew that had auction night of my life and suddenly appeared at an Open it was televised,” says Mary House she was running. Anne. “But in the end I managed to get a very good “The next thing you know, I result for them.” was on The Block,” Mary Anne recalls. “It was lots of fun; we Despite that challenging were the only Bondi agents experience, Mary Anne believes and I wanted to capitalise on media exposure has been good that so I organised a big media for her business. launch in the Block, before it had been revealed on TV, so it “The time you invest doesn’t put me in the forefront of a lot of pay off directly money-wise. journalists’ minds at that time.” But your name is in front of an audience of two million rather After that, Mary Anne says than the local 15,000 and I think different journalists often called you do benefit, it does generate on her to make comments on leads, people get to know who various issues. you are.” Going, going, gone largest companies and property Auctioneer David Scholes says agencies. The coverage dropped off after a But television isn’t for everyone, that plenty of agents want their while, until Mary Anne appeared Mary Anne says, and unless five minutes of fame in front of He’s also something of a TV again on the second series of you’re comfortable and able the TV cameras but warns that veteran himself, having starred The Block. “I had been quoted to be natural, it’s not worth live TV doesn’t make everyone as the auctioneer on The Block saying that Block one was the doing. Instead, she suggests, look good, and can actually be in 2010 and making regular start of Bondi the super-brand, concentrate on interviews for quite risky. appearances on the Your with Bondi Rescue, Bondi Vet, newspapers or try a video voice- Money, Your Call program on all those reality shows. The over. “Find something that you David conducts around 1600 Sky News Business, as well producers liked what I said and are good at and use that for your auctions a year with clients as regularly being interviewed called me back for Block two.” media exposure.” including some of Australia’s for stories published in the

16 Real Estate Journal May 2011

B5(,16:B0D\B&29(56725<LQGG 30 Time is a valuable commodity, he adds – and media NEW MEDIA appearances cost lots of time without delivering measurable Ewan Morton is the Principal of Morton and Morton, with five results in sales. “It’s a bit like offices – four in Sydney and one in Brisbane. The company advertising, except you can’t won the Independent Website category in the REINSW Awards control it.” for Excellence in 2010 and Morton took the plunge into social media about a year ago. David says that he has knocked back a few television offers, While he says it’s still a little early to work out how much it has particularly if they involve an boosted sales, he’s already seeing increased enquiries – and on-site auction, where there is no having a team of young agents who are familiar with social certainty of what might happen. media really helps.

“There’s so much potential to “Being involved in social media improves your search rankings lose control of the auction, I felt I on Google – we’ve increased the number of people coming to ran a bigger risk of making a fool our website and the leads that we are generating.” of myself than of making myself look good.” Ewan decided to implement a social media strategy himself rather than employ a consultant. “It takes quite a bit of time Making a comment on radio or to manage all of this. First thing in the morning, we check for a newspaper article is less our emails, but now with Facebook and LinkedIn and Twitter risky, he adds. on top of it, a lot of your time can be used in interacting and responding to messages, so you really need to think about the Radio real estate logistics of it all first.” Sandy Warburton is the Licensee for John Flood Real Ewan writes a weekly blog and also manages the LinkedIn Estate in Muswellbrook and also account for the firm, while other agents specialise in Facebook appears as the real estate expert or Twitter. for the Hunter Valley AM radio station 2NM. “Once the weekly blog post is up, we load it to Facebook, LinkedIn and Twitter, and also include it in an email newsletter. Sandy has hosted his own Everything links to each other and it all drives back to the show each Saturday morning website.” for around five years and says it’s become a valuable lead generator. I talk about our listings, or some he says. In exchange for his time property we want to feature at and expertise, he receives great The hour-long show is pre- the time.” coverage. “My listeners are all Australian Financial Review and recorded in the studio on living in the local area, and some The Australian newspapers. Thursdays and Sandy supplies Sandy pays about the equivalent people will walk into an Open about 40 minutes of content of a five-minute advertising spot House or they might call to list So why does he do it? between ad-breaks. in return for branding the show their property and they tell me at the introduction and close of they have been listening to my “If you can get involved as an He runs through the Open the program, but there’s lots of show for years.” expert adviser, it’s unlikely to Houses n the area, talks about scope for extra mentions, harm your business and will the local market and about real he explains. The radio show might not always often give you some credibility. estate news generally. He agrees get him the sale, but it gets But you do run a very big risk that the show gives him a good “While giving generic advice I him in the door, Sandy says. of being taken out of context,” opportunity to talk about his own might also say, ‘At John Flood “It is certainly an outstanding David says. properties. “In the final segment, Real Estate, this is what we do,’” prospecting tool for us.”

Real Estate Journal May 2011 17

B5(,16:B0D\B&29(56725<LQGG 30 IN BUSINESS

Benchmark your way to greater profit Real Business First is a benchmarking tool that enables you to compare your financial performance and make profitable decisions.

The humble photocopier is of some of Australia and New all on the performance of “We wanted to improve the usually seen as one of the most Zealand’s leading independent his business.” quality of the benchmarking we innocuous pieces of office agencies – recalls hearing were doing as a group and to equipment. It sits there in the a story about a client who The anomaly was discovered give us the ability to compare corner – rarely complaining, discovered an unusually high because the client was able to similar-sized agencies,” he doing its job. photocopying bill. compare his costs with other explains. “It’s difficult to agencies of the same size compare a $2 million agency But sometimes it can be the “He was paying about $5000 through the use of Real Business with a $10 million agency. simplest things that cost your a month in bills because First, a benchmarking software business money, and reduce the settings on his machine tool developed by Deloitte in “But with Real Business First, your bottom line. And the ever- defaulted to colour, instead of association with REINSW. we’re able to benchmark both diligent photocopier could be black and white,” says Michael. within the network and the one of the culprits. Michael recently brought Real broader Real Business First “He changed the settings and Business First into his network system. Michael Sheargold, founder and the bill dropped to $1000-1200. and expects to see many of his CEO of the Real Estate Results “It had a big impact on his clients’ businesses increase their “You can, for example, compare Network (RERN) – a collection copying costs but no impact at profits as a result. your agency with other agencies

18 Real Estate Journal May 2011

B5(,16:B0D\B,1%86,1(66LQGG 30 HOW IT WORKS

Install Real Business 1 First on your computer via an easy set-up wizard process. The big question for Principals to ask is “In the past, real estate will this impact my bottom line? It won’t businesses were just small Once set up, Real businesses run by salesmen,” 2 Business First turn over another sale but it will make he says. “The big change is will automatically you run a better business. they are now being treated as retrieve most monthly businesses and this is where information stored in in your city, or with agencies “The feedback I’ve had so far Real Business First can be a supported business in other capital cities, or with is that it has really assisted in great help because, without accounting software agencies that are generating the lifting profit performance. I see benchmarking, you’re going packages. The figures same turnover.” agencies that have good revenue in blind. are private – no one but the profits are not that good. else can tell they came Profits count They might be making a lot of “The big question for Principals from you. Michael says it’s an ongoing money but when they sit down to ask is will this impact my dilemma for agency Principals with their accountant, they ask, bottom line? It won’t turn over Compare your to really get a handle on how ‘well, where is it?’ another sale but it will make you 3 accounts to those their business is performing in run a better business. anonymous agencies terms of profit and loss. “Are “That’s the kind of process that of a similar size. we paying too much or too Real Business First can start “You can look at your profit and little for things? How many to unlock.” loss compared to other similar Use the ‘What if’ administration people should agencies and ask, Why is my 4 control to determine we have access to?” John Cunningham, Principal wages bill so high? Why are my the savings – and thus of Cunninghams Property on advertising expenses so high? extra profits – that can But, he adds, it’s important that Sydney’s northern beaches and Why are my printing costs so be made by tweaking Principals don’t neglect this a member of RERN, is a Real high? What am I doing wrong?” spending in particular part of their role. “There are a Business First devotee. He says areas of the business. lot of agents who are so caught there has been a real need for To find out more about Real up in the business that they are a benchmarking tool like Real Business First, go to Watch your bottom not devoting the time to working Business First within the real www.realbusinessfirst.com or 5 line grow! on the business,” he says. estate industry. call REINSW on (02) 9264 2343.

B5(,16:B0D\B,1%86,1(66LQGG 30 IN BUSINESS

BY DOUGLAS DRISCOLL

Expert assistance Outsourcing specialised tasks to experts is a cost-effective strategy that leaves you free to focus on deals.

In these busy days, can you by outsourcing or by hiring Each office is free to focus on Australian market and in the UK, afford to spend your time on professionals inhouse. sales, and the other tasks, which the most important tasks agents tasks not directly related Having a qualified person are still important, do not fall can outsource are: to listings? working internally on your in the lap of a junior who is not • Communications and public marketing, advertising and really qualified to perform them. relations: Hiring professionals A common business mistake communications can be just to create press releases and within our industry is attempting as effective as outsourcing, I have seen great results prepare copy can ensure you to be a jack-of-all-trades, however most agents don’t based on the decision to turn achieve more column inches to manage all the tasks that have the funds to pay for to professional help, and we and grow awareness of your come with running a business, somebody who is as qualified believe it is one of the most business. rather than focusing on what as a professional working for an important benefits of belonging you are good at. It would be external agency. Outsourcing to a real estate group, which has • Marketing: Similarly, a more beneficial to concentrate can be cost effective and save a the ability to bring on the very marketing professional will your time, effort and energy lot of time. best professionals to help with have a clearer idea of how on achieving more sales – and these tasks. you can effectively market higher profits. For instance, at Starr Partners we your business. They can help recruit the services of some of Of course, independent agents you to grow awareness of My time within the industry has Sydney’s finest marketers, graphic will benefit just as much from your office with “out of the highlighted the effectiveness of designers, web designers and outsourcing and should consider box” strategies you don’t focusing your energy on your so on. All of these jobs are not it as a key business strategy. have the time to create. areas of expertise, and calling directly related to our profession, This can lead to greater on professional help with other and external professionals do a Outsourcing essentials awareness of your business tasks. This can be done either better job. In my experience, both in the within the community.

20 Real Estate Journal May 2011

B5(,16:B0D\B,1%86,1(66LQGG 30 6 TOP TIPS FOR OUTSOURCING

Be prepared to 1 spend more to hire a higher standard of professional – the results for your business will more than offset the slightly higher initial cost.

Start as soon as • Graphics: A qualified designer internet, and certainly not web is not could I do it, but could 2 possible. will create the right branding development. A professional I do the job as well as the for your business. Bear in can develop a more professional, and what other Have a clear brief and mind that your customers are streamlined and user-friendly tasks would I be sacrificing? 3 objectives so they more switched on to branding site that will bring more new know what they are than ever before and will customers to your business. Your customers are more and working on. appreciate the professional more media savvy and they touch. Remember, perception Outsource and save expect a lot from your business. Give your agency is as important as reality. In The 4-Hour Workweek, You don’t have the time or the 4 or professional time Timothy Ferriss writes there is training to get immersed in these to get to know your • Signage: This is one of those virtually no limit to what you can jobs. If you spend the money on business and achieve tasks that takes up valuable outsource – from your banking taking care of these essential the best results. hours. It is worth spending to sending notes to your better services, you will find you have the money to have someone half. While you may not be quite more time to focus on your own Leave the else do the job quickly ready to go to such extremes, areas of expertise. Concentrating 5 professionals to do and efficiently. Timothy certainly highlights on this will lead you to greater their own work – you the possibilities for anybody to profits in the long run. can’t micromanage. • Web development: Having outsource tasks. access to a fully-developed Douglas Driscoll is the Chief You only have one pair website is essential to all It is true that hiring professionals Executive of Starr Partners, 6 of hands, so use them real estate offices, but costs money. You may look at which is the largest and oldest for your own craft. many agents do not have a their quote and think, I could do real estate franchise in Greater thorough understanding of the that myself. But the question Western Sydney.

Real Estate Journal May 2011 21

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B5(,16:B0D\B75$,1,1*[LQGG 30 Gain some vital new skills A new range of courses available through REINSW Education & Training will equip you with some important business skills.

REINSW Education & Training’s primary role is the provision of industry-specifi c training for its members and the industry. A key component of our training is directly linked to ever-changing legislation, which drives many of our business requirements. We are constantly seeking input and feedback from our members in developing and providing up to date and relevant training.

But what about the career skills everyone needs outside of the specifi c industry expertise of our roles?

We all know there is much to learn in real estate in terms of REINSW Education & Training Perhaps you’ve found yourself situation and wished you

running a business, managing is taking the next step to juggling appointments for had a few techniques to help Thinkstock a team or being part of a team. broaden its training offering inspections, sales calls, client you along the way, then our We all need fundamentals in beyond our traditional real negotiations or document new Dealing with challenging business and people skills estate related topics. deadlines and wondered if situations course will provide on a day-to-day basis to Have you ever taken a there was an easier way to you with some pertinent skills. assist us in team and client moment to refl ect on how manage your time or tips to engagement, customer service engaging you or your team help you along the way. Our These are just a few of our or communication. is on the phone? Do you new Using Outlook 2007 more new career skills course collect the right information effectively course and our new offerings. Keep an eye on These things are crucial in and create the foundations Excel tips course offer the the Education & Training growing an individual’s skill of what could be a future perfect solutions. space in the coming months and performance levels and in advocate of your business? for new courses, which are: adding value to a business’s Why not try our new If you’ve ever felt cold chills Current, Accessible, Relevant, effectiveness and effi ciency. Telephone techniques course? going into a potentially tricky Effective, Effi cient, Real.

Real Estate Journal May 2011 23

B5(,16:B0D\B75$,1,1*[LQGG $0 REINSW Training Calendar JUNE/JULY 2011

JUNE 2011 J

MON TUE WED THU FRI SAT SUN 12345

SYDNEY CPD ORANGE CPD COWRA CPD Winning listings and vendor paid Compliance essentials Compliance essentials advertising (10.00am-12.00pm) (9.00am-1.00pm) (9.00am-1.00pm) SYDNEY CPD Double your rent roll (1.00pm-3.00pm) BATHURST CPD Compliance essentials (9.00am-1.00pm)

6 7 8 9 10 11 12

SYDNEY Real Estate Licensing Course (full time) – Week 5 Client and Agency Communication – 5 days SYDNEY CPD BEGA CPD BANKSTOWN CPD Essential OH&S for property Compliance essentials Prepare for selling like never managers (9.30am-1.30pm) (9.00am-1.00pm) before (9.00am-1.00pm) BATEMANS BAY CPD Compliance essentials (9.00am-1.00pm)

13 14 15 16 17 18 19

PUBLIC HOLIDAY SYDNEY BURWOOD CPD Auctioneers Accreditation – 3 days Residential tenancies reform in (9.30am-4.30pm) practice (9.30am-1.30pm) SYDNEY SY Course in Property Practice (full time) – 4 days Co (9.00am-5.00pm) (9 SYDNEY CPD ALBURY CPD WAGGA WAGGA CPD GRIFFITH CPD Prepare for selling like never Compliance essentials Compliance essentials Compliance essentials before (9.30am-1.30pm) (9.00am-1.00pm) (9.00am-1.00pm) (9.00am-1.00pm) The ABC of compliance (9.00am-1.00pm) 20 21 22 23 24 25 26

CANBERRA TE Certificate of Registration (full time) – 5 days (9.00am-5.00pm) SYDNEY CPD SYDNEY DEE WHY CPD DUBBO CPD SY Mastering retail leases Communication and dealing with Prepare for selling like never Compliance essentials Co (9.30am-1.30pm) challenging situations (9.00am-4.00pm) before (9.00am-1.00pm) (9.00am-1.00pm) (9 GOULBURN CPD NOWRA CPD SYDNEY Compliance essentials Compliance essentials All About Auctions Forum (9.00am-1.00pm) (9.00am-1.00pm) (10.00am-12.00pm)

27 28 29 30

SYDNEY Course in Property Practice (full time) – 4 days WANT TO KNOW MORE? (9.00am-5.00pm) You can find out more about all of SYDNEY CPD COFFS HARBOUR CPD PORT MACQUARIE CPD SY An agent’s guide to tax and property Compliance essentials Compliance essentials our courses by going to Co investment (9.30am-1.30pm) (9.00am-1.00pm) (9.00am-1.00pm) (9 LISMORE CPD SYDNEY www.reinsw.com.au – simply click on Compliance essentials Young Agents bowls night (9.00am-1.00pm) (4.00pm-8.00pm) Course Schedule in the Training menu.

B5(,16:B0D\B75$,1,1*[LQGG 30 keep learning with REINSW Education & Training www.reinsw.com.au/training

JULY 2011

MON TUE WED THU FRI SAT SUN

5 CPD workshops – go to www.reinsw.com.au for course 123 descriptions and prices TERM 2 ENDS ORANA Course in Property Practice (full and part time as indicated). Novice Auctioneers Competition Price includes REINSW Student Membership Licensing Course (full and part time as indicated) Forums and Divisional meetings

2 45678910

SYDNEY SYDNEY Real Estate Licensing Course Real Estate Licensing Course (part time) commences (part time) continues SYDNEY CPD WOLLONGONG CPD The ABC of compliance Prepare for selling like never (9.30am-1.30pm) before (9.00am-1.00pm)

9 11 12 13 14 15 16 17

SYDNEY SYDNEY Real Estate Licensing Course Real Estate Licensing Course (part time) continues (part time) continues SYDNEY Course in Property Practice (full time) – 4 days (9.00am-5.00pm) SYDNEY CPD PENRITH CPD Prepare for selling like never Creating impact and influence before (9.30am-1.30pm) (9.00am-1.00pm)

6 18 19 20 21 22 23 24

TERM 3 STARTS SYDNEY SYDNEY Real Estate Licensing Course Real Estate Licensing Course (part time) continues (part time) continues SYDNEY Course in Property Practice (full time) – 4 days (9.00am-5.00pm) SYDNEY CPD FORBES CPD BATHURST CPD An agent’s guide to tax and property The ABC of compliance The ABC of compliance investment (9.30am-1.30pm) (9.00am-1.00pm) (9.00am-1.00pm) DUBBO CPD SYDNEY PARRAMATTA The ABC of compliance Property Management Forum Property Management Forum (9.00am-1.00pm) (3.00pm-5.00pm) (3.00pm-5.00pm) 25 26 27 28 29 30 31

SYDNEY SYDNEY Real Estate Licensing Course Real Estate Licensing Course (part time) continues (part time) continues SYDNEY Course in Property Practice (full time) – 4 days (9.00am-5.00pm) SYDNEY CPD NORTHERN BEACHES Creating impact and influence Novice Auctioneers Competition (9.30am-1.30pm)

B5(,16:B0D\B75$,1,1*[LQGG 30 NOVICE AUCTIONEERS COMPETITION COMMUNICATION AND DEALING WITH CHALLENGING SITUATIONS

Calling all budding auctioneers! If you’ve ever thought Effective communication within an organisation is you might like to try your hand at the fi ne art of vital to the survival of the business. auctioneering, why not give it a go? You might just fi nd that you have an exciting new career on your This course explores the elements of effective hands. Save the dates! communication, people’s perspectives, emotional intelligence and assertiveness. Orana Division 2 July 2011 Northern Beaches Division 27 July 2011 The course also looks at tools to help you cope with TRAINER OF Central Coast Division 10 August 2011 challenging situations. Riverina Division 18 August 2011 THE MONTH New England Division 24 August 2011 By the end of this course you will be able to: ROBERT JURY Illawarra Division 26 August 2011 East Division 29 August 2011 • Understand the key elements of communication With more than 30 years Inner West Division 8 September 2011 and how to use them experience as a professional Albury Division 16 September 2011 • Manage your own and others’ perceptions St George & Sutherland Shire Division • Generally communicate more effectively auctioneer, Bob Jury is a true 20 September 2011 • Manage strong emotions in challenging situations auctioneering guru. Nepean, Hawkesbury, Blue Mountains Division • Defuse challenging situations and Parramatta & Hills Division 25 October 2011 Bob is a licensed real estate Murrumbidgee Division to be confi rmed For more information go to www.reinsw.com.au agent and an accredited Newcastle & Hunter Division to be confi rmed auctioneer. He is very highly North West Division to be confi rmed Sydney Wednesday, 22 June 2011 regarded throughout the

Don’t see your Division? You can still enter by Cost $245 REINSW members / $299 Non-members industry, having conducted more participating in the competition in another Division. than 20,000 auctions throughout To fi nd out how to enter a Divisional competition, his career. email [email protected] While auction sales and marketing are his areas of specialty, Bob is also a PREPARE FOR SELLING LIKE NEVER COMPLIANCE ESSENTIALS BEFORE licensed business agent, stock and station agent, and strata manager. As a result of The successful conversion of a sale is largely Would your agency pass a compliance audit by NSW dependent upon whether a potential buyer’s Fair Trading? Hear practical solutions for agency his broad experience, Bob’s experience with both the agent and the property success and fi nd out how to meet industry best depth of knowledge is second is positive. Learn valuable skills to ensure that you practice. to none. The commitment and present a professional, seamless and enjoyable enthusiasm he brings to the service encounter. Bathurst 1 June 2011 classroom is evidence of his Orange 2 June 2011 passion for the industry. Bankstown 9 June 2011 Cowra 3 June 2011 Sydney 14 June 2011 Batemans Bay 7 June 2011 Dee Why 23 June 2011 Bega 8 June 2011 Still actively involved in sales and Wollongong 7 July 2011 Albury 15 June 2011 auctions, Bob’s ongoing practical Sydney 12 July 2011 Wagga Wagga 16 June 2011 experience means he understands Griffi th 17 June 2011 the issues facing real estate Cost $199 REINSW members / $245 Non-members Goulburn 21 June 2011 agents out in the fi eld. He has Nowra 22 June 2011 also been the proprietor of a small CPD 12 points (Learning Category 3) Dubbo 24 June 2011 Lismore 28 June 2011 business for several years and, Coffs Harbour 29 June 2011 consequently, his students benefi t Port Macquarie 30 June 2011 greatly from his insights.

AF

B5(,16:B0D\B75$,1,1*[LQGG 30

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B5(,16:B0D\B75$,1,1*[LQGG 30 PEOPLE

BY ANDREW LUTZE Young gun The first few years of any young agent’s career are vital but success only comes with hard work, perseverance, vision and strong mentorship.

Real estate wasn’t my first You have to be able to sell career option when I left yourself before you sell your school. I had enrolled at product – if you’re not ‘real’ it university to study nursing, won’t work. And it’s not just but after I returned home from about flogging real estate. a gap year overseas one of You have to have a passion my friends was working as a for it and success is not just property manager and when measured by income. he told me about it I thought: It beats going to uni! It’s not an easy job, it’s not a normal nine-to-five career I enrolled in a real estate and it can consume you. You course at TAFE, but I didn’t definitely need to have a thick want to give up playing rugby skin but, as they say, the more so I took a nine-to-five job at an noes you get, the closer you insurance company. NEW RULES but the essence is still about are to getting a yes. I was When I first started in the people. A bit of laziness has the youngest person in my I only lasted six months. I industry, it was dominated by come in due to the use of office by 14 years and I was gave up rugby and took a job an older crowd and people social media but I still like to competing against all of these at Cunninghams Property did what they had always use the phone and maintain well-established agents so I as an office cadet, where I done. that personal contact. had to grow up very quickly proceeded to learn everything otherwise I’d be left behind. from the bottom up. Now, there’s a lot more Emails and texts are good, emphasis on training, and but you do still need to have Ups and downs I was 19 and it was great technology has changed a lot, those face-to-face meetings. When John released me because I really did get to see and sent me out into the all of the different facets of the world, I lost my first seven business and the experience There is a pretty big problem well-trained and have good listings appointments. I was was very educational – it’s a with burnout in the industry, education, but you can’t beat devastated and I thought I learning game and you can’t especially for young agents. on-the-job training and that’s must be doing something think you know everything off Of those who completed the what you learn when you are wrong. Maybe I wanted to talk the bat. same course that I did, I think being mentored. You need at too much and I wasn’t listening about 90 per cent of them left least three years of mentoring to my clients. Mentorship works the industry after the first four and it was probably the most After my first two years, I years – and that’s a pretty important thing for me. So, I went back and did some went on to be mentored by big number. But it’s not a job role-playing – role-playing John Cunningham as his sales that suits everyone. A lot of young agents the listings presentations assistant and I shadowed him glamorise the industry and and objections from clients. for the next two years. I learned There’s a bit of a changing take the Wall Street approach. After that, I won my next 15 the ins and outs of sales, about of the guard going on at the I have no problem with that, appointments. You have to get negotiating techniques, and moment and the young people but we’ll see how many of used to the ups and downs that set me up for my career. coming into the industry are them last. of the business, the peaks

28 Real Estate Journal May 2011

B5(,16:B0D\B3(237(&+LQGG 30 and troughs. It can be very Setting goals is pretty vital. You I’d advise any young agent motivated. You may make 300- euphoric because the highs are have to have a plan. You can’t who has an interest or talent in 500 calls and not see the results very high. set your goals too high, they auctioneering to pursue it. from them for six months. But If have to be realistic, so I always you have some structure to your There have been some look for a 20-30 per cent I’d also advise young agents work you can succeed. struggles. After the first three improvement over the previous to attend the relevant REINSW years, I reached a point in my year’s performance, which I training courses and to really Ultimately, I’d like to be at the career where I thought I’d been think is a nice target. get to know all of their local forefront of agents on Sydney’s around long enough to know competition. Sit down and lower northern beaches. I’d everything. I was confident, Sage advice have a chat with them – it will also like to make $1.2 million was making some listings and The other thing that has really be a vital help to you in getting in gross fees. When I first sales and a good income. helped me was becoming an to know all aspects of the started nine years ago, I made accredited auctioneer. That business. $280,000 in gross fees, so And then I caught the foot-in- has been a great confidence that’s a nice arc. mouth disease where you’re booster. Getting up in front of You have to create your own not saying the right things at people doing charity auctions is style but you also want to mould Andrew Lutze is a licensed real the right time and you’re losing not only great fun but a fantastic yourself on successful people estate agent and an accredited business over it. way of gaining some new skills. you look up to. You have to be auctioneer.

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B5(,16:B0D\B3(237(&+LQGG 30 TECHNOLOGY

Your personal navigator GPS technology means no agent ever needs to run late for an appointment. Here are five good reasons to throw out the old street directory.

Navigating bustling city streets an inbuilt GPS system in or winding country roads is his car. Like most city sales a core requirement for real agents, Piers has up to eight estate professionals in NSW. Open House inspections every Open House inspections in weekend. Although he’s worked metropolitan areas especially in the area for quite some time, can often be nestled in an the narrow, winding streets of entanglement of one-way Sydney’s picturesque Lower lanes, cul-de-sacs and poorly North Shore are much easier to signposted streets. navigate using GPS technology.

With the introduction of Global Phone or GPS? Positioning Systems (GPS) The major difference between and integrated navigation a mobile phone navigational tools on most high-capacity system and a dedicated GPS Garmin nuvi 3790T it can be used in the car and smartphones, it’s difficult to is the internet connection. Launched in 2010, Garmin’s on foot. The nuvi 3790T also imagine how agents functioned “Most GPS units have a built-in nuvi 3790T is the Rolls-Royce boasts an intuitive voice without them. database of street names and of GPS units. Praised for its recognition system that landmarks, whereas mobiles impossibly thin design and translates text to speech and Piers van Hamburg, Director of have a constant internet all-glass display, the nuvi receives voice commands McGrath Neutral Bay, professes connection, allowing you to 3000 series is made with from the driver – protecting how much easier things are with access live traffic reports, points aluminum and the same the glossy display from the aid of iPads, tablets, mobiles of interest and up-to-date venue touchscreen technology used unsightly fingerprints and and GPS technology. “When I names and locations,” says in smartphones. With dual smudges. started out, we didn’t even have Joseph Hanlon, Associate Editor landscape/portrait orientation, Price: $549.00 mobile phones. We had to rely of gadget website cnet.com.au. on people leaving messages on Of course, dedicated units have our landline in the office,” a more reliable battery life and a he says. faster processor than a mobile. TomTom iPhone The dedicated unit also has the Application 1.4 (Australia) Fast-forward to just over a capacity to charter itineraries Unsurprisingly, one of the most decade later, and Piers never with several destination points – popular global positioning leaves his office without a ideal for agents juggling several systems is the TomTom mobile, iPad and, of course, different inspections. application for iPhones. For less than $100, iPhone devotees can access turn-by-turn navigation and the benefits of a dedicated system without the cumbersome addition of hardware. The optional TomTom car kit also provides a dock to secure your iPhone on the dashboard while you drive, which will also charge the phone battery and play music through the car stereo. Price: exclusively available in iTunes for $89.99

30 Real Estate Journal May 2011

B5(,16:B0D\B3(237(&+LQGG $0 TomTom Start 10 the Start 10 is affordable At the other end of the even for the most junior budget is TomTom’s Start sales agents. “If you know 10: a simple yet effective exactly what you’re going unit that will get you from to use it for and you don’t A to B. It may not have the need the extra features, it’s more highbrow features, definitely worth considering such as hands-free a cheaper unit,” explains Bluetooth, traffic updates Joseph. and vocal recognition, but Price: $179.00

HTC Desire HD Samsung Galaxy S This light and portable Criticised for its uncanny smartphone features all the resemblance to a certain TOP TIPS FOR BUYING A GPS usual suspects: an 8-megapixel rival smartphone empire, the Joseph Hanlon, Associate Editor of cnet.com.au, camera and video recorder, Samsung Galaxy S is still a recommends asking the following questions when Bluetooth, rechargeable Lithium highly sophisticated piece of selecting a GPS: battery, and an internal GPS technology. Like the HTC Desire, 1. Is the display big, bright and clear enough to be seen at antenna. The HTC Desire HD iPhone and Google Nexus 1, the arm’s length? is best known for viewing phone comes equipped with 2. Does it have turn-by-turn directions? maps with zero wait time. The free access to Google Maps and 3. Is the keyboard a standard QWERTY format? navigation tools also feature a satellite navigation system. really useful ‘Footprints’ widget, Price: available on plans through Don’t just rely on pictures on the internet – drop into your which allows you to bookmark Optus, Virgin, 3 and Vodafone; local electronics store to play around with the devices. The your favourite locations. or $849 outright. comfort and usability of a GPS is very much a personal Price: available on plans through issue, as different keyboard sizes will suit different hands. Vodafone and 3; or $829 outright.

Real Estate Journal May 2011 31

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B5(,16:B0D\B3(237(&+LQGG 30 LEGAL

When a courtroom victory costs you money Having to fight a claim in court can be a costly and time-consuming experience – even if you are the victor.

A recent damages case against a landlord and agent heard before the NSW Local Court has highlighted the need for all agencies to carry professional indemnity insurance as protection against potentially costly legal action, disruption to your business and damage to your reputation as an agent.

In the case, tenants at an apartment complex in the Sydney suburb of Rozelle sought a damages claim against the property owner and managing agents because they alleged building work on the complex had deprived them of their right to “quiet and peaceful” occupation of the unit.

The damages claim totalled action and ensure the agent’s “The agent’s liability rests with paying more than $26,000, which was reputation was not put at risk. their excess (in this case $5,000) and made up of removalist and Realcover meets the rest.” cleaning bills, rent paid over the “If costs are awarded on an disputed four-month period, loss indemnity basis, the amount have insufficient funds to pay records. The only winners here of productivity, fees and interest. is determined by taking into the combined costs of both are the lawyers.” account all costs reasonably their own and the defendants’ “Although the claim amount incurred and of a reasonable lawyers and barristers. Obtain a no-obligation quote does not seem significant, amount, meaning the from Realcover by calling 1800 the matter was incapable unsuccessful party may need to “In effect, the victory may end 988 396. REINSW members of settlement and the pay up to 90-95 per cent of the up being hollow,” she says. receive a 25 per cent discount proceedings were ultimately fees and costs incurred by the off Realcover’s standard listed for hearing over four successful party.” “The agent’s liability rests with professional indemnity insurance days,” says Nancy Rainbird, paying their excess (in this case rates in NSW*. For more Realcover Manager Claims, The defendants compiled legal $5,000) and Realcover meets information, go to Compliance & Risk. bills of more than $70,000 the rest. www.realcover.com.au fighting the action and more “The plaintiffs lost the action money will need to be spent “However, they had to take a fair and were ordered to pay the pursuing the costs order. bit of time out of their business * Standard underwriting and pricing costs of both defendants on However, Nancy explains to attend to preparing witness criteria will apply in assessing the an indemnity basis. Realcover that the money may never be statements, attendance at court, risk such as claims and type of real was determined to fight the recovered as the plaintiffs may and going through business estate activity.

Real Estate Journal May 2011 33

 30

B5(,16:B0D\B3(237(&+LQGG $0 CHAPTERS Rural

When disaster strikes NSW is no stranger to the destructive forces of floods, bushfires and even earthquakes. What can real estate agents do to minimise the effect of natural disasters on their businesses?

Lismore in the far north of the of flooding is it puts doubt in Paul says one of the biggest is readily available and we’re now state is renowned for being one people’s minds about the value obstacles facing buyers is that extremely well prepared.” of our most flood-prone cities, of properties, but damage from banks won’t lend as much for with two or three minor floods floods has diminished in recent properties in “flood postcodes”, Recent floods in Northern NSW a year. However, LJ Hooker years. The water can be up and even if the property is not saw the Clarence River threaten Lismore franchise owner Paul down within 24 hours.” low-lying. This can present real Grafton, but the town’s levee Deegan says this reputation has estate agents with an important ensured the residential area was more of an effect on the property Since major flooding in 1974 role to play. protected. The larger impact is market than higher water levels when waters rose to a height of on rural land and flooding takes do these days. 12.1 metres, State Government “I’ve had to ring lending properties off the market for a assistance has seen many houses institutions about properties that season until pasture growth can “Every time we’ve had rain, the raised up, while a levee was are well above flood-prone areas,” be re-established, says Elders warnings have been over the completed in 2005 in time to save he says. “But information about Grafton Rural Sales Manager top,” he says. “The biggest effect the city from another inundation. which properties are flood prone Stanley Pitkin.

34 Real Estate Journal May 2011

B5(,16:B0D\B&+$37(56LQGG 30 However, floods also give the abnormal to a great degree will land much of its value, a fact put off the market. When the that needs to be communicated Twin Towers went down in 2001 to prospective buyers. “Most the market went quiet for a people ask about flooding, but couple of weeks.” it’s a chance to talk about how flooding creates those alluvial He adds that agents can also soils that enrich the land. Buyers emphasise the “brilliant job” see the benefit of that,” Stanley local bush fire brigades do in says. “The best and most arable managing the bush, and talk land is on the flood plains.” about the council regulations that help minimise the risk of property One recent Elders customer damage. Indeed, Pye insists far moved to a property on the more houses are lost to internal Orara River near Grafton after fires than bushfires. enduring seven years of drought in Deniliquin. “Since moving to It’s a sentiment echoed by Brian Grafton, he has experienced Hardy, Sales Manager at Theo seven floods in 18 months, but Poulos Real Estate, which has every time he comes into town operated in the Blue Mountains he has a smile on his face.” for 50 years. “We’ve lost very few homes since the 1957 fires hit Fire alarm Leura. Far more people are killed No such positives exist when on the Great Western Highway real estate agents are called than by bushfires.” on to address concerns about A TALE OF WOE bushfires. John Pye, Principal He adds everywhere from Floods, fires and earthquakes • Christmas 1994 brought of John Pye Real Estate which Lithgow to Penrith in Sydney’s present a very real threat to more than 80 separate fires operates in the bushy suburbs of west is classified as bushfire- New South Wales residents to the east coast of NSW, Sydney’s northern outskirts, says prone so people already know and properties. Here are some killing four people and there is very little an agent can the risks. Consequently, while of the most damaging of the burning more than 8000 do about the slowdown caused business slows down as a result past 60 years: square kilometres of land. by a fire apart from tweaking the of bushfires, there is little effect The fires destroyed 225 message of its advertising. on property prices. • The Hunter Valley floods homes, including 101 in the of February 1955 killed 25 southern Sydney suburbs “Backing on to bushland is a real Instead, Hardy says it is a as waters washed away 58 of Jannali and Como West. feature of a property, but after waiting game, requiring agents homes and destroyed 103. • The Hunter Valley storms a fire you’d at least not make a to plan for slower activity just Maitland alone saw water of 2007 brought extensive headline out of it,” he admits. as they would in an economic enter 2180 homes. property damage, nine “Instead, you wait until they’re at downturn. “Any good business • The Chatsbury bushfire fatalities, and even beached the property and then talk about plans for ups and downs and of March 1965 destroyed the bulk carrier, the Pascha the benefits of living near the bad years. Tallong and Wingello in the Bulker on Newcastle’s bush.” Southern Highlands, taking Nobbys Beach. “Blackened trees do turn people 59 homes and killing three • The Black Christmas Pye says natural disasters cause off, but within a few months people. bushfires of 2001/02 saw the market to “shrivel up”, but they tend to forget. Summer is • The Newcastle earthquake 3000 square kilometres adds that “a vendor won’t drop normally a slower period anyway of 28 December 1989 burnt and 121 homes the price of a house by $50,000 in the Blue Mountains because was the most destructive destroyed, mostly in the just because there has been a everyone is thinking about the recorded in Australia, killing lower Blue Mountains and bushfire”. Instead, the biggest beach. And by the time winter 13 and damaging over west of the Royal effect of bushfire is short- comes around, things are moving 50,000 buildings. National Park. term slowdown. “But anything along like normal.”

Real Estate Journal May 2011 35

B5(,16:B0D\B&+$37(56LQGG 30 CHAPTERS Commercial

Big changes in the Sydney pub market With fire sales caused by the after effects of the GFC, Sydney’s metropolitan hotel landscape is undergoing a significant shift.

There’s a one-sided battle pre-GFC and have been forced family empires run by dynastic Merivale’s stable of hip inner city being waged on the streets of to sell at bargain basement rivals Justin Hemmes and pubs that includes The Ivy, The some of Sydney’s most image- prices, often with painful multi- Fraser Short, respectively – Establishment, and the Slip Inn. conscious inner city suburbs. million dollar losses. are making the major moves, while a consortium formed by Keystone has also made strong The clear winners are some At the same time, a number businessman John Singleton inroads into the inner city, high profile, cashed-up of new smaller, boutique is also starting to buy heavily operating current Surry Hills companies that are buying wine bar style establishments discounted pubs. hotspot The Winery, as well as some of the city’s traditional are opening, modelled on Kings Cross establishments watering holes with the aim Melbourne’s quaint and Merivale has taken ownership Sugarmill and The Gazebo, plus of transforming them into successful laneway bar scene. of two iconic Surry Hills pubs King St Wharf fixtures Cargo stylish, food-oriented pubs in in the past 12 months – the Bar, Bungalow 8 and The Loft. line with changing inner city Pub bargains Beresford, for $14.5 million, Rumours in the hotel industry demographics. The losers At the bigger end of the pub and more recently, the suggest another Surry Hills are the pub investors who business, Merivale Group and Excelsior, for a bargain bar may soon be on the way to overextended themselves Keystone Hospitality – the $4.5 million. They add to maintain supremacy in the area.

36 Real Estate Journal May 2011

B5(,16:B0D\B&+$37(56LQGG 30 The Singleton consortium close to $30 million. The Oxford “I’m starting to see signs that we where people have disposable has bought Darlinghurst icon sold for $8 million or $9 million are turning the corner,” says Joel. income, they’re renting, single Kinsellas, Paddington’s Bellevue and it was purchased for a lot “There have been some fairly and they can walk to pubs for a Hotel and the Peakhurst Inn, in more than that.” big transactions this year – for night out or a meal.” southern Sydney. example, Mansions Hotel in Kings Corner turned Cross sold for $16.75 million, PJ The ‘superpub’ brands being For the buyers currently in the Joel Fisher, of CB Richard Ellis, Gallaghers in Parramatta sold for established by companies like market, it’s all about timing and says a number of factors have $19.4 million, and Sydney’s Merivale and Keystone are opportunity. combined to send pub prices Criterion Hotel traded for having a huge impact on the plummeting. $12.5 million. hotel business, according to “Pubs have come off a bit,” Tom Speakman. says Tom Speakman from “The market has come off “Prices are still depressed Gunning Commercial. “If you its high point of early 2008 but we’re seeing a turnover of “They are really transforming look back three or four years because it has been hit by the stock. When that happens, we Surry Hills,” he says. “The ago, they were still fetching GFC and the 2007 smoking will eventually start to see a rise Beresford was a lucky purchase enormous prices but over the bans,” he says. “Yields have in prices.” for Merivale – right place, last 18-24 months some of the drifted and values have come right time – but Keystone has larger companies have gone right off. There have been a The areas of most activity transformed Crown Street. into administration. lot of distress sales and hotels are on the fringes of the CBD are being put into the hands of – suburbs like Surry Hills, “It’s changed a lot and changed “The Beresford was bought by receivers and the banks.” Darlinghurst, King Cross, for the better. There are a lot its previous owners for Redfern and Erskineville. more venues for people to go $20 million and they spent However, the flurry of recent to, it’s not just Kings Cross or $20 million refurbishing it. It activity is being seen as a “Buyers see these areas as great the local pub anymore, and was sold for just over positive sign within the hotel spots to own pubs,” says Joel. they have created really nice $14 million, incurring a loss of broking industry. “They are the sort of places environments.”

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Real Estate Journal May 2011 37

B5(,16:B0D\B&+$37(56LQGG 30 CHAPTERS Residential sales

Handle with care: TIPS FOR DEALING the return of the WITH FIRST HOMEBUYERS first homebuyer 1. Advice Do they have their fi nance Anecdotal evidence suggests that first homebuyers sorted? Are they educated about the buying process? Are are returning to the marketplace. How do they differ they knowledgeable about the from other buyers? area in which they’re looking? 2. Be patient They will ask lots of questions, On a recent Saturday, Barry most buyers complete as a North Shore. “It’s important they may return for numerous Hudson of Ray White was matter of course.” that when they come to us, we inspections, and they’ll bring showing a young couple an qualify them as a buyer, so I their mums and dads! apartment on his patch in Welcome to the world of the always give them the names of Sydney’s Hornsby district. They fi rst homebuyer! two or three mortgage brokers 3. Don’t underestimate them were fi rst homebuyers and very and get them to organise their Many come to the marketplace keen to get their foot in a market After a lull in 2010 following the fi n a n c e s. having done their homework that is moving quickly, in terms end of the First Home Owner’s and they are prepared to of price. Boost, evidence suggests that “Quite often I also fi nd that they negotiate hard. fi rst time property purchasers are very naïve in relation to the “They were looking for a unit will be back in the market in length of time it takes to get around the $470,000 mark, they signifi cant numbers this year, those things organised.” broker so when something saw one I was showing, they encouraged into action by comes up, they’re ready to go.” liked it and they wanted to put stable interest rates, and the Justin says he has seen fi rst in an offer,” recalls Barry, who desire to escape both rising homebuyers returning in good But not all fi rst homebuyers is a veteran of the Hornsby rents and house prices. numbers to the Lower North come into the market naïve and apartment market, which has Shore apartment market this underprepared. Frank Mazzotta, been a favourite with fi rst For agents, the fi rst homebuyer year. “The largest factor is from PRD Nationwide Bexley, homebuyers in recent years. presents some unique increasing rents,” he says. in Sydney’s south, says his challenges. Despite a plethora of “Rents in this area have risen job is made a little harder by “When I began chatting with information in the marketplace substantially and there’s a lot of the fact that most of the fi rst them, I discovered they hadn’t about the processes involved in confi dence again in investing.” homebuyers he sees are now so even started talking to their the purchase of a home, many His advice to fi rst homebuyers knowledgeable. bank yet. fi rst homebuyers show up at is simple. Open Houses armed with only a “Everything is available to “While I told them I wouldn’t dream. “I advise them to focus on them on the internet these dismiss their offer, I also had no more than two or three days,” he says. “They go on to let them know it probably “They normally need a bit of suburbs,” says Justin. to Google and research the wouldn’t be treated with any help with fi nance,” says Justin “I suggest they do their property they’re interested in seriousness by the vendor. Ferguson, of Justin Ferguson homework, to have a real very thoroughly and they will They hadn’t done any of the Property Specialists in understanding of the market. fi nd everything they can about pre-purchase planning that Cammeray, on Sydney’s Lower Have a talk to a mortgage it. They’re neither impulsive

38 Real Estate Journal May 2011

B5(,16:B0D\B&+$37(56LQGG 30 nor emotional, and they are prepared to search for several FACTS AND FIGURES months to find the place that’s right for them. Following a lull in 2010 after the end of the First But rising rents are also a big factor in Home Owner’s Boost, the indications are that increased first homebuyer activity. “And they are also prepared first homebuyers are starting to return to the to negotiate quite hard. For market in good numbers. In a recent survey conducted by mortgage example we have a four- broker Mortgage Choice, 51 per cent of first bedroom duplex on the market Australian Bureau of Statistics figures showed homebuyer respondents said rising rent for $579,000, which has that in November, first homebuyer purchases was a key motivator in their decision to buy. attracted quite a bit of first were at their highest level since March 2010. Increasing housing prices was also an important homebuyer interest and none of consideration, with all respondents agreeing this the buyers I’ve spoken to want NSW recorded the biggest numbers, with 2542 was the number one concern for 2011. to go higher than $560,000. loans approved, followed by Victoria with 2342 and Queensland with 1559. “There’s a real sense of urgency among “There’s a $10,000 gap between those with home ownership in their sights, what they’re prepared to pay Consumer confidence has grown because of a persistent feeling of it’s now or never,” and what the vendor wants and a stability of interest rates and a strong belief says Kristy Sheppard, Mortgage Choice it looks like it will be the vendor in the future of the Australian economy. spokesperson. who will have to come back to the market.”

Real Estate Journal May 2011 39

B5(,16:B0D\B&+$37(56LQGG 30 MEMBERSHIP

MEMBER PROFILE: JOSEPH TROPIANO

Joining REINSW was one of the The agency takes in Newtown, first decisions Joseph Tropiano Alexandria, Enmore, Erskineville, made as the proud Director Marrickville, St Peters and Tempe of Belle Property’s newest – a district on high rotation with franchise in Newtown. With 10 rental tenancies and a broad years’ industry experience in demographic of singles and the metropolitan district, he and families of all ages. business partner Anthony Tripodi made the leap and bought their With the support and experience own real estate agency just four of REINSW backing their months ago. every move, Joseph believes their membership is core to Joseph first gained his real estate the successful growth of their licence in 2003 through REINSW, business. “Access to information and the Institute has remained a is the most important factor,” he supportive presence throughout explains. “REINSW puts a number the course of his career. In laying of vital resources at your fingertips, the groundwork for his new such as the most up-to-date business, he believed “it was legislation and industry training.” imperative to establish an affiliation with the peak industry body.” CPD training, conferences and online tools have been the most Sydney’s inner west was the significant incentives for Joseph obvious choice for Joseph and his team of agents. “Having when selecting a location to the support of an industry body “REINSW puts a number of vital set up the business. Having that takes care of the finer points grown up around Newtown, of paperwork means I can focus resources at your fingertips, he knows the area inside out on what I do best – helping such as the most up-to-date and feels passionate about people reach their goals and legislation and industry training.” maintaining community culture. major milestones.”

NEW MEMBERS FULL FIRM Alexandria Real Estate First National Epping Central Mason Property Group Salease Property ALEXANDRIA EPPING BEVERLY HILLS HOLSWORTHY

Belle Property Newtown Flat Rate Real Estate McGrath Hunters Hill Smoke Alarm Excellence Pty NEWTOWN NARELLAN HUNTERS HILL Ltd NORTHGATE Buying Smart Pty Ltd Go Gecko Wallsend Oxford Real Estate Pty Ltd DOUBLE BAY WALLSEND DARLINGHURST Vogue Property Consultants ANNANGROVE City Side Properties James Pratt Auctions Property Emporium Project SURRY HILLS DOUBLE BAY Marketing Wiseberry (Matthews & Kauley) ST LEONARDS BAULKHAM HILLS Exchange Property Sales & Laing+Simmons Potts Point Management POTTS POINT Ray White Corowa Wiseberry Liverpoool City CAMPERDOWN COROWA LIVERPOOL LandLinx Project Marketing & Fergusson Real Estate & Consulting Red Circle Properties PRACTICE MEMBERS Property Pty Ltd BULLI KILLARNEY HEIGHTS Mr J Gambino COOMA NEWTOWN M Property Consultants Pty Ltd Richard Matthews Real Estate First National Real Estate CROWS NEST STRATHFIELD Mr W Lapsley Blacktown FRENCHS FOREST BLACKTOWN

40 Real Estate Journal May 2011

2%&5(,16:B0D\B0(0%(5LQGG 30 Product news The latest market offerings for real estate professionals. Airview: a new perspective for property photography

Airview Aerial Photography offers Stephen Brookes, founder Mark Merton, Chief Photographer easy-to-use site, you will be customised aerial shoots. From and MD of Airview Aerial at Airview, believes the business able to search, purchase real estate photography and Photography, says: “When has been successful thanks to and download from a vast construction progress reporting, we started in the real estate strong client relationships. “We collection of aerial images. to revealing the potential views market we worked with local really enjoy getting to know our for high-rise projects, Airview agencies on Sydney’s northern clients. It’s only when you really Nearly 12,000 photos are Aerial Photography provides beaches.” understand an agent or agency’s currently on the website. If you high-quality aerial imaging. needs that you can supply the are unable to find the image Airview Aerial Photography still best possible tailored solution,” you’re after, contact the Airview The company was founded maintains its northern beaches he says. team and they’ll search through in 2000 with a plan to shoot base but with its own aircraft, their offline library for a more Olympic Games-related it can easily and quickly reach Airviewonline specific shot. activities. When the Olympics any number of sites throughout Airviewonline is the stock ended, Airview moved into NSW and, if required, other image library of Airview Aerial For more information visit real estate. Australian states. Photography. Through this www.airviewonline.com.au

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* Available to Australian Business Number (ABN) holders only. This offer entitles you to a rebate, on top of the best price you can negotiate, providing the eligible itemReal isEstate purchased Journal new May and 2011 from 41 an authorised Australian supplier. Offer expires 31st May 2011 and is only available on selected products. See www.powerbuy.com.au for more details.

2%&5(,16:B0D\B0(0%(5LQGG 30 MEMBERSHIP

Our team is your team! Access expert help from highly-experienced real estate agents when you need it with the REINSW Member Helpline.

Time is always at a premium – information and advice to you “Every time I have called, the Member so what happens when you or and your team on a wide range one of your team needs help of matters, including: Helpline team have known the answer with a pressing matter? to my questions and have provided • everyday real estate practice The REINSW Member Helpline • legislation changes exceptional advice for my real life, real is here to help. • Agency Agreements estate situations. Their patience with • tenancy issues Free and exclusive to REINSW • CTTT hearings me has been unbelievable and to date, I members, there is no question • sales matters have not met anybody in real estate with too big or too small – our team … and more. greater knowledge or wisdom. I credit a lot will be able to assist you with any query. With a wealth of practical, of my success to the Helpline team.” hands-on experience in the real Ursula Kearns – Sales Executive, Double Bay Realty And there is no limit to the estate industry, the Member 1. number of times you contact Helpline will understand 1. the Helpline. You can call every your issue quickly and offer 1. day! practical advice. Contact the REINSW Membership Helpline today Call (02) 9264 2343 1. The experienced Member Remember, our team is your Email [email protected] 1. Helpline team can provide free team! 0.

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2%&5(,16:B0D\B0(0%(5LQGG 30 RESEARCH

Check out the latest rate for your area. You can use it in your newsletters, information packs and discussions with potential investors.

Residential vacancy rate – Compiled by Insightrix on behalf of REINSW SYDNEY Mar-11 (%) Feb-11 (%) Jan-11 (%) Dec-10 (%) Mar-11 (%) Feb-11 (%) Jan-11 (%) Dec-10 (%) Inner 1.1 1.2 1.2 1.1 ALBURY 2.5 2.5 3.1 2.4 Middle 1.1 1.2 1.9 1.7 CENTRAL WEST 2.0 2.1 1.5 1.7 Outer 1.2 1.1 1.4 1.4 COFFS HARBOUR 2.1 2.3 1.7 1.6 Total 1.1 1.1 1.5 1.4 FAR WEST - - - - HUNTER MID-NORTH COAST 1.7 2.1 2.2 1.6 Newcastle 1.3 1.4 2.0 1.7 MURRUMBIDGEE 2.2 2.2 2.1 2.9 Other 1.3 1.1 2.3 1.9 NEW ENGLAND 2.0 1.6 2.1 1.7 Total 1.3 1.2 2.2 1.8 NORTHERN RIVERS 1.6 1.5 2.0 1.9 ILLAWARRA ORANA 1.6 1.9 1.5 1.8 Wollongong 1.0 1.3 1.3 1.3 RIVERINA 2.8 3.1 3.5 3.1 Other 1.5 1.4 2.0 1.9 SOUTH COAST 2.1 1.7 1.5 1.6 Total 1.3 1.4 1.7 1.6 SOUTH EASTERN 1.5 1.6 1.3 1.1 CENTRAL COAST 1.6 1.5 1.5 1.6

Sydney residential vacancy rate 1.8%

1.6%

1.4%

1.2%

1.0%

0.8%

0.6%

0.4%

0.2%

0.0% Apr 10 May 10 Jun 10 Jul 10Aug 10 Sep 10 Oct 10 Nov 10 Dec 10 Jan 11 Feb 11 Mar 11

Source: REINSW Vacancy Rate Survey

Did you know that your rent roll information is used by the Reserve Bank of Australia when making its interest rate decisions? REINSW Vacancy Rates are a signifi cant source of property information for economists, so make sure you contribute by sending us your vacancy rate fi gures each month.

Sydney weekly auction clearance rates – provided by Australian Property Monitors Inner Sydney Inner West Lower North Inner East SYDNEY Week Number Auction Number Auction Number Auction Number Auction Number Auction Ending Auctioned Clearance Auctioned Clearance Auctioned Clearance Auctioned Clearance Auctioned Clearance Rate Rate Rate Rate Rate 3/04/11 89 71.0% 40 73.2% 86 58.4% 91 74.5% 536 60.8% 27/03/11 78 67.1% 20 85.7% 49 61.3% 100 50.0% 442 55.8% 20/03/11 126 75.4% 45 63.0% 103 65.9% 85 57.4% 599 59.0% 13/03/110 102 67.5% 45 88.9% 72 49.4% 104 59.8% 591 57.4% 6/03/11 81 60.2% 42 65.9% 60 53.8% 86 62.0% 544 55.5% 27/02/11 153 70.5% 51 76.9% 126 66.7% 207 65.8% 882 61.5% 20/02/11 91 64.6% 31 71.8% 86 69.4% 75 59.3% 510 59.3% 13/02/11 62 75.4% 16 75.0% 29 69.7% 25 66.7% 321 64.1% 6/02/11 10 46.2% 6 snr 11 41.7% 4 snr 105 46.8% 30/1/11 9 snr 3 snr 1 snr 0 snr 37 44.6% 23/1/11 0 snr 1 snr 0 snr 3 snr 15 50.0% 16/1/11 0 snr 0 snr 0 snr 0 snr 5 snr

Real Estate Journal May 2011 43

2%&5(,16:B0D\B0(0%(5LQGG 30 SUPPLIER DIRECTORY

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44 Real Estate Journal May 2011

:5*

2%&5(,16:B0D\B0(0%(5LQGG 30 It’s on again – the REINSW Novice Auctioneers Competition. The 2011 competition is shaping up to be bigger and better than ever before. If you’ve ever thought you might like to try your hand at the fine art of auctioneering, why not give it a go? You might just find that you have an exciting new career on your hands. Save the dates! This year, Divisional competitions are being held across NSW:

Orana Division Sat, 2 July 2011 Albury Division Fri, 16 September 2011 Northern Beaches Division Wed, 27 July 2011 St George & Sutherland Shire Division Central Coast Division Wed, 10 August 2011 Tue, 20 September 2011 Riverina Division Thu, 18 August 2011 Nepean, Hawkesbury, Blue Mountains and Parramatta New England Division Wed, 24 August 2011 & Hills Divisions Tue, 25 October 2011 Illawarra Division Fri, 26 August 2011 Murrumbidgee Division to be confirmed East Division Mon, 29 August 2011 Newcastle & Hunter Division to be confirmed Inner West Division Thu, 8 September 2011 North West Division to be confirmed

Don’t see your Division? You can still enter by participating in the competition in another Division. Or come along and support local talent. All proceeds raised will be donated to local charities. To find out how to enter a Divisional competition, email [email protected] The winner of each Divisional competition will be eligible to compete in the State Final held on Friday, 25 November 2011 in Sydney.

For more information, go to www.reinsw.com.au or email [email protected] Real Estate Journal May 2011 45

2%&5(,16:B0D\B0(0%(5LQGG 30 LAST WORD

Contact us Reception: (02) 9264 2343 Email: [email protected] Website: www.reinsw.com.au

Board President: Wayne Stewart Deputy President: Christian Payne Vice President: John Cunningham Vice President: Malcolm Gunning

Directors: Christine Clarke, Miles Felstead, Brett Hunter, The lighter side Graeme Hyde, Margaret Lomas, Sarah Lorden, Steve Martin, Leanne Pilkington, Tony Santolin, of real estate Warwick Watkins Administration CEO: Tim McKibbin Ever thought of running your business from home? General Manager: Peter Griffin Membership Manager: Sophie Georgas Paul Salsano did and now he reaps the rewards in Marketing & Communications Manager: Cathie Dickinson terms of his work/life balance. Corporate Services Manager: Kevin Kenna Legal & Agency Services Manager: Sam Kremer Education & Training Manager: Michelle Morcombe I started Onside Property a year I used to work for small to large ago with my business partner reputable firms in Sydney in both Journal Editor: Brett Thomas Anthony Doumanis and we have the commercial and residential (02) 9818 8896 literally had to grow our business sectors, and the amount of work Email: [email protected] from a garage. Building a name I get done because I’m not stuck Designer: Simon Wan Sales Manager: Nicole Dixon and a rent roll is tough, but having in traffic from 7am on my way to the flexibility to do so from home the office and from 5pm heading Advertising: Mark Lewis has been great. back home is amazing! I triple 0414 881 300 Email: [email protected] my work output and I am able to Rates: www.reinsw.com.au BY PAUL SALSANO, And it certainly has its rewards. be at my office instantly when I SALES AND LEASING I was due to meet a client one return from an appointment. Best Publisher: Mahlab Media (02) 9818 8896 DIRECTOR, ONSIDE sunny morning and was waiting of all, I am not paying rent and www.mahlabmedia.com.au PROPERTY to see his car pull up out the I’m minimising my overheads front. Eventually, he called me while growing a business from the Cover photography by Studio Commercial YOUR STORY and said he had arrived but I still ground up. We want to hear your stories! couldn’t see him. “I’m out the REINSW Managing Editor: If you have a humorous or back,” he said. We use a system whereby our Cathie Dickinson (02) 9264 2343 Email: [email protected] interesting story you’d like to tenants direct deposit rent into share with REINSW members My home backs on to the our trust account – no cash is Disclaimer in ‘The lighter side of real Georges River and there he accepted so our work is mainly Whilst the Real Estate Institute of New South Wales uses its best endeavours in estate’, email the editor at was, waiting at the jetty in his done out of the office. In general, preparing and ensuring the accuracy of [email protected] speed boat. So, I hopped on “off the street” business is slow, the content of this publication, it makes no representation or warranty with respect to and we went for cruise along however when you add the the accuracy, applicability, fitness, legal the river while we discussed cost of rent, higher risk, and correctness or completeness of any of the contents of this publication. the two properties I manage for employees to the equation, we’re him. It was a fantastic way to do saving money and increasing the The information contained in this publication is strictly for educational purposes only and business and a day in the office bottom line. should not be considered to be legal advice. I wouldn’t get if I wasn’t working Readers must obtain their own independent legal advice in relation to the application of from home! My business started with zero any of the material published in this journal to properties on the books but their individual circumstances. A typical morning consists of now I’m on the way to running The Institute disclaims any liability to any waking to a fantastic water view, a a successful real estate agency, party for loss or any damages howsoever arising from the use of, or reliance upon, any shower, and an easy walk upstairs without having to buy a rent roll. of the material contained in this publication. to eat my breakfast at my desk The views and/or opinions expressed in this before logging on to my emails I recommend this idea to all new publication are those of the respective author and setting up my business day. business start-ups as a great way and do not necessarily reflect those of the Real Estate Institute of New South Wales. All without having to wear a suit. to get ahead!

46 Real Estate Journal May 2011

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