• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Inspired Growth Training Knowledge Library

Empower your PM Growth

Inspired Growth Training Facebook     Inspired Growth Training Facebook Messenger      Inspired Growth Training Facebook     Inspired Growth LinkedIn     Inspired Growth YouTube channel
SUBSCRIBE
BECOME A MEMBER
MEMBER LOGIN
  • Home
  • Online
    Training
    • The PM Growth and Performance Webinar Series
    • Grow Influence Dominate
    • BDM Empower- Training Series
    • Rent Roll Growth
    • BDM
    • Prospecting
    • Social Media Marketing
    • Leasing
    • PM Fees
    • PM Nuts & Bolts
  • Upcoming
    Events
    • Grow 100 Plus – One-day Web Event
    • Connect and Grow One-Day Event – Perth, WA
    • The IGT2021 Conference
  • Secret
    Shopper
    • Secret Shopper Files Podcast
    • Secret Shop Your Competitors- Report
    • 80+ Points of Difference
    • Strategic Market Report (Download PDF Outline)
    • Mystery Shop My Business
  • Fees
    • The Profitability Mindshift Podcast
    • 33 PM Owner Fees – PDF Guide
    • Profitability Partnership- Where we ONLY get paid on getting you results!
  • BDM
    • The BDM Coach Podcast Show
    • FREE PM Lead Secrets Book
    • 28 Key BDM Lead Generating Activities- FREE DOWNLOAD
    • The BDM Club
  • Growth
    • Three Best Strategies that GROW 100+ New Door a Month
    • The Property Owner’s Handbook
    • Tenant Handbook
    • The PM Growth Experts Show
    • ‘Win Your PM Fees’ Free PDF Download
    • FREE PM Lead Secrets Book
  • PM
    Power
    • The PM Power Podcast Show
    • PM Power Time Secrets 101 Book
    • 25 Ways to STOP Office Interruptions
    • The Property Owner’s Handbook
    • Tenant Handbook
  • Coaching &
    Team Training
    • The BDM Club
    • Geared For Growth – One Day Event
    • Growth Masterclass- Two Day event
    • Real Estate Groups, In-Office and Online Team Training
    • Team Coaching Packages
    • BDM Coaching
  • Knowledge
    Library
    • Growth
    • Leasing
    • Fees and Profit
    • Quick Video Tips
    • Business Owner and Managers
      • Business Owner Hot Topics
      • Recruitment and Staff Retention
    • Property Managers
      • PM Hot Topics
      • PM Time and Stress Management
      • Tenant Selection and Induction
      • Communication and Conflict
      • Zero Tolerance Rent Control
      • Inspections
      • Repairs and Tradespeople
    • Personal Development
    • Strange and Weird Stuff
      • Photo shock!
      • Weird Stuff
  • Podcasts
    • The PM Power Podcast Show
    • The PM Growth Experts Show Podcast
    • The Secret Shopper Files Podcast
    • The Profitability Mindshift Podcast
    • The BDM Coach Podcast Show
  • Members
    • Member Login
    • IGT Exclusive Members Portal Home
    • Become a Member
    • What kind of training will I get?
    • Call A Coach
    • Help
  • Contact
    • Contact Us
    • Meet the Team
    • Subscribe to IGT Newsletter
    • Call a Coach – IGT Exclusive Members Services
    • Darren Hunter – Director
    • Deniz Yusuf – Director
    • Michael Sanz – Director
    • Supporting Vision Australia
  • Exclusive
    Partners
  • Testimonials
    • Review Us

[Script #2] What to say and expect when current owners call you about your new Letting Fee

So far we’ve discussed what to say when a new prospective owner challenges you about your Letting Fee, and also what to say in a letter out to current owners explaining the legislative changes and why you need to charge them the Letting Fee after the legislative change occurs.

(See the bottom of this article for links to the other teaching mentioned).

So, what do you say to your current owners when they phone you after they’ve got your Letting Fee advice letter, announcing they now will be charged?

Firstly understand that not all calls are angry owners who are firing missiles at you and wanting to leave your agency!

We find that about a third of calls are simply people enquiring on the situation and want to chat with you, and after a friendly discussion off they go without causing you any grief or issues.

Some will call just to ask you to explain the letter to them because they didn’t want to read it themselves!

About two-thirds of calls are those that are a mixture of light annoyance and questioning, to real anger and ’emotional bluster’ about the fee changes.

However all up, with every 100 letters that are sent out advising owners of the Letting Fee change, you should not receive more than 10 calls.

So, when you hear “Why are you charging me a Letting Fee?”, here’s a suggested response that can assist you:

“Mr Smith, thanks for your call and for expressing your concern to us.

You are a valued client and we have not wanted to on-charge you the Letting Fee, as we’ve always been charging the tenant.

Regretfully our Government no longer allows tenants to bear this cost and have now prohibited agents across New Zealand to charge any tenant directly or indirectly a Letting Fee, with these legislation changes occurring on (date).

The Letting Process can take ten or more hours for us to complete and it is the most complex and most important process for our agency, and this process cannot be compromised and shortcut in any way as the quality of tenant determines the success of the overall tenancy and our service to you.

As an agency, we charge around $100 per hour for our time, and as you can see if we actually on-charged our hourly rate on the time we do spend, it would be so much higher than our fee charge. It could result in a fee of over $1000, of which you will agree might be a bit steep.

Our Letting Fee of $X instead is charged, being a much lower rate, saving you money.

I’m happy to go through all we do for our Letting Fee if you like!”

From this point, if you can also increase the rent then a $10 per week increase may very well cover your fee, plus more (this is a $520 rental income increase over 12 months).

If you are able to legally increase the rent and its warranted due to market conditions, then offer this.

Otherwise, even without a rent increase, any reasonable person will not want to continue to argue with your very reasonable and real response.

Other useful articles related to the NZ Letting Fee changes.

What to Say in Your Letting Fee Letter to Owners

[Script #1] How to respond to ‘But the other agent isn’t charging a Letting Fee’

How to answer ‘Why can’t you just charge me a FIXED Letting Fee’

 

Filed Under: NZ Letting Fee Change

FOLLOW US

Inspired Growth Training Facebook   Inspired Growth Training Facebook  Inspired Growth LinkedIn  Inspired Growth YouTube channel

SUBSCRIBE
CONTACT US
BECOME A MEMBER

Exclusive Partners

Inspection Manager

Popular Posts

Categories

  • Boosting Income and Profitability
  • Business Owner Hot Topics
  • Communication and Conflict
  • Inspections
  • Just Plain Weird
  • NZ Letting Fee Change
  • Photo shock!
  • PM Coronavirus Crisis Ready
  • PM Growth
  • PM Hot Topics
  • PM Time and Stress Management
  • Principals and Department Managers
  • Property Leasing
  • Recruitment and Staff Retention
  • Repairs and Tradespeople
  • Success and Personal Development
  • Tenant Selection and Induction
  • Zero Tolerance Rent Control

Copyright © 2022 Inspired Growth Training · Privacy Policy · Terms & Conditions · Refunds and Exchange Policy
ABN: 41620846773 P.O. Box 50 Greenwith, South Australia, 5125 (Australia)

3 Best Strategies that grow your property management business each month

×