To achieve retention, you must build a loyal, skilled real estate team. Then, using that team, you have to build a loyal customer-base. What follows are six strategies that guarantee client retention.
 

Consistent Client Induction

Just like you induct your team, you must induct your clients too! Any affiliate service (and tenant!) you deal with must be inducted into your way of doing business. Why? Because your way of doing business is what makes you different from your competition. You cannot expect your property owners, tenants, and contractors to cooperate with your practices if they don’t know what they are.
 

Consistency of Service and Culture

Does your business offer the same consistency of service and culture to your clients? You need to invest in processes, resources and training for your business. There are no shortcuts to success: All three elements must coexist.
 

Consistent Reporting

Are your reports consistent in layout, design, and wording? Do they align with your brand and reputation? Do they contain relevant and meaningful information your property owners require to make informed decisions? Are they consistent with previous reports?
 

Consistency of Maintenance

You, as the business owner, must decide which service providers best align with your business’ values, service standards, brand, and culture, and you must then ensure your business uses these chosen service providers each and every time.
 

Market Knowledge

This means your team needs to undertake ongoing and in-depth analysis into the market and provide stockbroker-like advice to your property owners. Your team also needs to know the market area by building up market-related facts, including appraisals.
 

Professional Service and Advice

The bottom line is that property owners want a professional service and professional advice from the real estate team they hire because investment properties are, most likely, their single most expensive assets. Therefore they want advice and a service that protects their property.

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So what can you do to grow your property management sales? Here are some tips to follow to achieve property management sales success:
 

Tip 1

Recognize the fact you will be inundated with business-related tasks. Now, get to it.
 

Tip 2

Remember that a sales goal without a sales plan is a sales wish.
 

Tip 3

Stop panicking.
 

Tip 4

Discover how big the rental and real estate market in your area is.

You have to figure out your Total Obtainable Market, which is the number of rental homes or units in the area. Once you know your Total Obtainable Market, then you can write your sales plan.
 

Tip 5

Figure out your Total Obtainable Market in dollar value.
 

Tip 6

You have to develop your mission statement, and you have to believe in it so much that you will sing it to the gods. Keep in mind, you have to put this in writing so you can discuss it with your prospects, clients, and employees it will also be part of your sales plan.
 

Tip 7

Develop your strategy. This is nothing more than a simple list of your daily activities that you will use to go after these customers. Some examples can include create advertisements, distribute these advertisements, ask for referrals, get to know local homeowner insurance companies, and even more
 

Tip 8

Review your progress. You’ve worked very hard, if you followed our tips. Now review what you’ve done so far.
 

Tip 9

Wrap up what you have reviewed into a written sales plan used to measure your success. Refer to the plan periodically and see what works, and every couple of months ask yourself:

What should I continue doing?
What should I start doing?
What should I never, ever do again?
 

Tip 10

Don’t forget to rest!

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When it comes to mentoring new property managers, you must give them the best training you can possibly give. You’re building a team for the long haul.

You should have a good idea as to how to pick a great property manager. Make sure you get those steps right before you get to this stage, or you’ll fall behind. Each step in the selection, interview, recruitment, and induction stage is also a training stage, and those steps must not be missed. Guidelines, performance indicators, minimum performance standards, and policies and procedures on each of the steps within your business are essential. Be sure to start the mentoring process soon after induction.

Mentoring is about spending quality time with your new hiree. This is about showing them in detail how to become a better property manager. Take the time, demonstrate how you complete your tasks, set your expectations, watch them do it, and repeat. It doesn’t have to be a long time as long as it is quality time. The worst thing you can do is rush through this beginning phase. This will cause problems as you will end up not explaining the process or why its done that way. New hirees need a strong foundation.

Remember that your biggest weapon is to communicate early and be crystal clear. This is an important time for your success and should not be taken lightly. Again, be very clear on your expectations of your new property manager. Make sure they communicate to you as well. Encourage them to ask questions if they are unsure about any aspect about the job.

Mentoring is about nurturing your team member into an outstanding property manager. You want them to be better at it than you, so show them how you do it and get them to improve on that.

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Servicemembers Civil Relief Act, aka the “Military Clause”, strengthens and updates earlier statutes that had provided certain civil protection for military servicemembers. Servicemembers Civil Relief Act (SCRA), enacted into law December 19, 2003, replaced the Soldiers and Sailors Civil Relief Act (SSCRA) of 1940. The SCRA was passed to help ease the economic and legal burdens on military servicemembers inducted, called to active duty, or deployed to new duty stations.

The purpose of the SCRA is to postpone or suspend certain civil obligations to allow servicemembers to give full attention to duty and ease the stress on the servicemember’s family while the servicemember is deployed. Reservists and members of the National Guard in active federal service are also protected under the SCRA.

SCRA protections include certain provisions for:

• Termination of pre-service lease agreements
• Evictions from leased housing
• 6% Interest Rate
• Court Proceedings
• Installment Contracts
• Enforcement of Obligations, Liabilities, Taxes

Contrary to what many military members believe, the SCRA, does not automatically break a lease when receiving transfer orders. There must be a provision in rental agreements to release the military member from obligations in the event the lease is terminated prior to its normal expiration.

This is something that must be requested from the landlord at time of signing. If your landlord doesn’t have this service available, simply visit your housing office and base and they should be able to assist you.

Here are some other important things to know if you are military and need to terminate a rental lease under SCRA:

• Orders must accompany a written request to terminate a lease
• Orders must be permanent and 90 days or longer
• Spouse and family are also protected under the SCRA Act
• 30 days notice must still be given, in writing and you are still required to pay for the following month’s rent (i.e, if a tenant delivers notice to the landlord on the 20th of the January, and normally pays rent on the 1st of each month, the lease ends on 1 March, the tenant must pay for February’s rent).

Security deposits are fully refundable if you break the lease under SCRA; however, the provisions for security deposits under the landlord/tenant act and any damages you cause to the rental home still apply.

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One of the trickiest and yet most crucial parts of being a landlord is getting tenants to pay their rent on time, and in full. In an effort to avoid slow payers, you probably send out friendly reminders when rent is soon-to-be due. However, the key to getting people to promptly pay their bills, a study finds, is providing them with multiple (technologically advanced) payment options.

There is a growing shift not only in how people are choosing to pay their bills, but also a transformation to a more digital bill payment world. It is important as a landlord to stay ahead of these changes because those who pay bills online fall behind less often and incur fewer late fees than those who pay offline or by mail. Not only should you be offering digital payment methods to your tenants, you should be encouraging the use of them as well.

Additionally, according to a recent survey where everyone paid bills on a mobile phone or tablet, 50% of them said they did so to save time, 44% said they did so because it offers anytime access, and 43% said they did so because it was most convenient when on the go. Also 69% of Americans who used electronic billing services said they preferred electronic billing because of the convenience, and 31% said they liked electronic bills because they received an email reminder each time a new bill was due.

Your tenants most likely want to pay their rent online, and you should want them to as well. Not only can it lead to fewer late payments, but also can go improve your tenant relationships. In fact, according to the survey, 37% of Americans who received electronic bills in 2012 said it improved their relationship with the company from which they received the bill.

Don’t let yourself fall behind on technology. Your tenants will appreciate it.

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Typically for landlords, between the 1st and 3rd of the month, tenants drop off their rental payment in the mail slot or simply mail it in. Then from the 4th of the month all the way to the sending of a “Five-Day Pay or Quit” notice, a line of people forms at the front door. Each person’s conversation starts with “Here’s my situation…” and then continues. Uh oh, here it comes: they can’t pay the rent for various reasons. Then you begin to chase the rent check.
 
Remember that the buyer (aka the tenant) is the customer. Now take a look at the lease and all of the remedies included to evict. But wait a minute! Then you’d have a bunch of empty units and a lousy vacancy rate. There must be a better way to get tenants to pay.
 
Now picture this: accountability. What you need to do is create a system that holds tenants accountable. Keep your approach simple: meet with the clients who consistently fall in this trap of late payments and ask each of them two simple questions: What’s going on? How can I help you pay your rent on time?
 
You may be surprised as to how simple the answers are. From our research with other property managers and landlords, many find that the most common excuses from their tenants include “I didn’t realize being late was a big deal” or “Other things came first” or “I just can’t manage money.”
 
You still have to help them become a reliable and accountable tenant. So, give your tenants the tools and help they need to pay their rent on time consistently. Make it clear that you’ll hold them accountable if they don’t. That is called tough love.
 
Try this piece of advice next month. You might be surprised by what you hear — and the results you get.

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To create positive relationships with your clients, landlords must write, implement, and manage effective policies and procedures so your tenants get what they need from you and you get what you need from your tenants.

But what makes policies and procedures effective? When they cover legislation, agency culture, agency standards, processes, and relevant codes of conduct.
 

Write Legislative Requirements

Write legislative requirements into your policy so your business operates compliantly and its brand and reputation are protected. For example, legislation might state that certain communication must be in writing and on the prescribed form, so into your policies and procedures it goes!
 

Know Your Business

Know your business’ values, beliefs, vision, and personality. Don’t fall into the trap of copying other businesses. Determine what points of difference your business offers and create your unique brand around these points of difference…then uphold them by way of your policies and procedures.
 

Set A Standard

For example, a standard could be that your all tenants must be greeted in the same manner. Another could be the quality of the property your business is prepared to manage. When you create these standards and write them into your policies and procedures, you get consistency. This means that your clients know exactly what to expect — and that you and your team know exactly what to deliver!
 

Establish Processes

Processes are the way tasks are carried out through to completion. Processes organize tasks, allow them to be shared between your team, and provide the means to manage them.
 

Establish a Code of Conduct

Your policy must refer to the code of conducts you are to follow. No exceptions.

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Most warnings and media stories about scams on rental listing sites such as Craigslist focus on helping renters avoid scams, but landlords and property managers are often targeted as well. Here are some of the most common ways in which property managers and landlords find themselves getting scammed — and how they can prevent it.
 

False Check Refunds

Impostors often will pose as renters who agree to pay a security deposit and rent without viewing the property. Then the impostors send fraudulent cashier’s checks in excess of the stated amounts and request that landlords to return the overages. After sending a “partial refund,” landlords learn the up-front payments were counterfeit.
 

Lawsuit Scams

These scams involve real tenants actually signing a lease agreement and moving in – only to invent an excuse for a lawsuit. This could be failure to provide lead paint documentation or really anything that sounds scary and serious. Even if the tenants eventually lose the lawsuit, they can still often live for free while the landlord deals with the suit. Court may put a stay on any eviction proceedings until the lawsuit is decided.
 

Smoke-and-Mirrors Scam

Scammers steal pictures and property listing descriptions from authentic rental listings, and post them elsewhere online to lure renters. The alternative postings include suspiciously low pricing and contain fake email addresses or 800-numbers, which the scammer uses to draw renters in. For the landlord, their legitimate listing is passed over by tenants clicking on the lower price option, and can create suspicions that the legitimate listing is a scam as well.
 
Here are some ways in which landlords and property managers can guard against these scams:
 

Limit Information

Publish limited information on the internet regarding yourself and your properties. Post the intersection instead of the full street address. Serious prospects will call, giving you the opportunity to conduct a phone screening prior to divulging sensitive information.
 

Use An Alternate Phone Number

Never use your cell or home phone in your rental ads. Consider free options such as Google Voice to receive calls on your cell phone without giving away your true phone number.
 

Conduct A Background Check via Telephone

Always conduct a preliminary background check via telephone prior to showing the property. Scammers will be uncomfortable answering many questions. When doing a more complete screening after showing the property to an interested tenant, be sure to verify their employment, income, credit history, criminal background, and court history. If they have ever sued a landlord, keep searching.
 

Watermark Your Photos

Watermarking your pictures is one way to prevent picture theft. There are a number of watermark software programs and some free online versions. Do some research to choose the appropriate one for you.

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We scoured the internet for tips for new renters. This is what we found:

-If given a manual for your new property/apartment, read it thoroughly. This document covers electrical to plumbing, basic diagnosis of problems, what can be done, or never should be attempted by a tenant.

-Try your best to follow the expectations of your landlord. NO exceptions.

-If your landlord asks if you need any assistance, be honest with your answer. It’s better to get help from them than to escalate the problem, thanks to your own wrongdoing. They’re willing to walk with them through the building and also demonstrate how things in their apartment work.

-Your landlord will be watching your property and are available to take your calls. Please take this into account. Don’t be afraid to ask questions.

–Be honest when your landlord asks you any questions about the property. Communication and honesty is what landlords like to strive for. Do the same for them.

–Bring your checkbook to meetings with your landlord. And be sure to have the money in your account for the deposit and first month’s rent!

–Talk to the neighbors if you get a chance. You can learn a lot just by being friendly with one of the neighbors. Ask them what they think of the place, how the landlord is, etc. – get a feel for your new home before you sign anything.

–Ask if you get a parking spot. A lot of apartment buildings do not have specific spots for everyone, so you should make sure you get one if you want one.

–Never go over your budget. Most finance professionals tell you that you should be paying 1/4 of your gross income. This is not always feasible in certain markets, but it is a good percentage to try to stick to.

–Clean up your credit. I seriously doubt you are going to get approved for any apartment if you have so many red flags. Work on fixing your credit while you stay with a friend on the couch.

–Read the lease. And then read it again. This is a legally binding agreement you are signing – make sure you read it.

–Buy renter’s insurance. When you live with that many other people in one building, you are trusting all of them to not leave a burner on or plug up the toilet – that’s a lot of trust.

–Make friends with at least a few neighbors. Stay away from the ones that you think will be knocking on your door everyday, but you need to know a few people in your building. You want someone to know when you are away, so they can keep an eye on the place. Trust me on this one!

–Relax, you are in your own place now! Decorate as you see fit. Make it a home, not just some apartment you happen to rent. Welcome and enjoy!

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It’s important for property managers to compete on service, not fees. New property managers often accept low-priced management contracts, just to bring in business. With rents on the rise and demand for rental housing overpowering supply, now is a good time to sit down with your clients to raise your property management fees (we suggest to about 8-10% of rents collected). Here are some strategies for raising your prices without losing clients.
 

Never Make Excuses

Don’t make excuses about the economy, inflation, or other justifications. Rather, show them the reason they should stick with you. For example, explain that you are hiring more employees and attaining more tools to reduce vacancies. If you explain it this way, most clients will agree to slightly higher rates.
 

Show Your True Value

Show that you are going above and beyond for your tenants. If you’re doing things like offering online rental payments and online maintenance requests for tenants, or have a smartphone app that allows you to monitor vacancies without physically being on site, remind your clients of that.
 

Be Smart When Breaking the News

Do not announce a price increase via email or text. Give your customers a personal heads up way in advance. You can communicate it in your newsletters or an email – just as a reminder or follow-up.
 

Option vs. Ultimatum

Offer the increase as an option, where your customers get to choose either how much of an increase or limited services at the same price. Offering your services on a three-tiered/good-better-best/a la carte model would allow for more client control. People like to feel they have a say in things. Offering a voluntary choice can strengthen your business relationship with them, rather than fray it. Do not present a price increase as a take-it-or-leave-it sort of situation.
 

Prepare to Make Some Deals

There will be some who will not respond well. For those customers who are hesitant, an alternative might be to offer them a longer contract term. Phrase this effectively and politely, however, and be clear that you are making a special exception for them.
 

Do Your Homework

Before considering increasing your prices, know your value and your competition. Regularly check in with industry sites and magazines for the latest trends. If there is something out there you are not currently providing, consider doing so and weigh the risks of not doing so. Do your homework and don’t be afraid to ask for what you’re worth. When people can see the value in something, they will pay the asking price, if it’s affordable.

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