How do you sort the good from the bad when selecting tenants? Do you check previous landlord references? Run a credit report? Verify employment? There’s a way you can save about 47% of the time you spend faxing, emailing, and calling to verify tenants.
Today, I am talking with Vitaliy Merkulov of Renter, Inc. about how to automate giving landlord references and rental verifications.
[02:10] Vitaliy’s move from the tech industry to property management.
[02:57] First Tenant Fail: Fake landlords and fake information.
[04:10] What did I do wrong? How can I prevent people from doing this?.
[05:50] Solution: Create SaaS way of requesting or sharing rental verifications online.
[06:41] Property manager’s biggest problem without automation? Compliance.
[10:20] How fake companies fool tenant screening companies.
[14:00] Reference requests require identifying owner of property.
[15:12] Registering an account to post online rental verification request form.
[17:51] Plans to partner with property management software companies.
[23:41] Problem with Property Managers: Trying to do everything and not being effective.
[27:20] Apple’s client-centric focus with its products to solve problems and be profitable.
[29:18] Simple design, so users don’t get stuck; automation sounds difficult, but you don’t have to be hi-tech savvy.
[34:15] Ask: What's the biggest challenge or problem you're dealing with in your property management business?.
[38:37] Storing information in a database to give to other landlords, is that legal?.
[39:22] I trust myself, not a system, to do rental verifications.
[40:20] API purchase not required; “robot” analyzes information and converts it into data.
Solution: Create SaaS way of requesting or sharing rental verifications online.
Save almost 50% of time spent faxing, emailing, and calling to verify tenants.
Problem with Property Managers: Trying to do everything and not being effective
The 7 Habits of Highly Effective People by Stephen R. Covey
Fair Credit Reporting Act (FCRA)
DoorGrowClub Facebook Group
What should you do when starting a property management business and trying to grow your number of doors?
Today, I am talking with Benton Cotter of RentVest. There’s no question that he knows how to grow a property management business.
[01:33] Benton’s background and how he got into property management.
[03:55] Going nationwide and growing from 79 to 4,000 doors in a few years.
[04:33] Steps to take when starting from scratch: Identify kind of company to create to determine clientele and marketing strategy Set fee structure: Do organic marketing, PPC, and SEO.
[05:13] Rework Philosophy: Start small, work hard, and start/pay marketing.
[06:14] Constant interruptions and constraints; it doesn’t have to be crazy at work.
[08:37] Benton built big growth and expanded his network; opportunities are available.
[12:16] Being an owner and involved in all of it - from computers to marketing.
[13:46] Define your avatar, and narrow your niche.
[20:57] Don’t get distracted; focus equals power.
[24:20] Identify strengths and weaknesses, but don’t give up ownership too soon.
[28:18] Everyone makes mistakes; businesses are built on thousands of failures.
[31:07] Put profits back into the business, it will pay off later.
[37:35] How to get unstuck in sand trap of 50 units as a solopreneur.
[40:07] Entrepreneurs are resilient and adapt easily, but should self-reflect on skill set.
[42:30] RentVest’s future goals regarding growth and getting great talent.
[44:20] #1 Growth Limiter: People’s ability to offload and bring on new team members.
[47:50] Hiring Process: How to filter and find the right fit; ownership is a critical quality.
Start small, work hard, and start/pay marketing.
It doesn’t have to be crazy at work; create a calm culture.
Simple secret for growth: Focus equals power.
Put profits back into the business, it will pay off later.
It Doesn't Have to Be Crazy at Work
Profit First by Mike Michalowicz
DoorGrowClub Facebook Group
You finally find time for your first vacation in seven years, so you leave your property management company in good hands with a long-term employee. Just as you’re feeling relaxed, having fun, and enjoying time in the sun, you get a text message from your worker, “I quit.” There goes your vacation. It’s time to head back to the office!
After experiencing the same situation, Mark and Anne Lackey decided to start HireSmart Virtual Assistants, which helps property managers and companies find, train, certify, and outsource full-time dedicated virtual assistants.
[04:22] Definition of a virtual assistant (VA) via 3 segments.
[07:55] Why get a VA and how to prepare for one.
[12:03] HireSmart’s 10-step hiring process to source the perfect person.
[13:05] Criteria and Assessments: Why HireSmart has a 97% success rate.
[17:47] Changing the Landscape and Lives: VAs are in top 1% of remote workers.
[21:05] Difference between a dedicated staff and productivity.
[23:14] How to start the VA search process with HireSmart.
[27:03] Local vs. international hires; don’t treat them any differently.
[30:25] Benefits: Save time, energy, money, and become better business people.
[32:45] Basic things to consider (i.e., language, education, availability)
What isn’t getting done because you’re too busy, don’t want to do it, or not good at it?
Criteria and Assessments: Why HireSmart has a 97% success rate.
Changing the Landscape: HireSmart’s VAs are in the top 1% of remote workers.
DoorGrowClub Facebook Group
Do you work for or regularly spend your money at Subway, McDonald’s, or Starbucks? Did you know that if you combine all their locations in the United States, there’s still more self-storage facilities?
Today, I am talking with Paul Moore, a real estate entrepreneur, author, and podcast co-host. He’s made a lot of fun moves and money over the years, but a lot of mistakes, too. He shares how self-storage management offers a lot of opportunities.
[01:44] Paul’s semi-retirement pain from not having a plan in place.
[04:09] Entrepreneurs know things that work, that don’t, and how to lose money.
[04:21] What makes self-storage appealing and useful to property management.
[06:10] Passive real estate investment with a lack of optimization and systemization.
[06:54] Ways to juice returns, increase income and value.
[08:00] Where and how to find self-storage opportunities.
[10:25] Biggest financial leaks to generate revenue; know renters’ motivations and income levels, add U-Haul and ancillary services/fees, and restructure units.
[14:00] 7 ways to get into self-storage when you don’t want to do self-storage.
[15:42] All about Wellings Capital and branching out from multifamily investments.
[17:46] Paul’s property management tips (Apartment Life, ACH, and staging)./p
Retirement feels like death to most entrepreneurs.
Entrepreneurs know things that work, that don’t, and how to lose money.
If you build self-storage facilities, customers will come.
The Perfect Investment – Create Enduring Wealth from the Historic Shift to Multifamily Housing
DoorGrowClub Facebook Group
Even if you are doing sales, closing business, and adding doors, your life and business can still be a disaster - if you don't know what it means and how to optimize for profit.
Today, I am talking with Jordan Muela of LeadSimple and ProfitCoach, which provides third-party fractional CFO advising. They help you take the guesswork out of property management business growth.
[05:10] NARPM Accounting Standard: ProfitCoach provided first set of financial benchmarks for the industry.
[06:59] Numbers are not everything, and it's not just about doors; there's a lot that numbers can tell you that we don't know because people don't track their data.
[08:36] Lifestyle is a factor when growing companies; make sure you have a business that serves your needs and meets your goals in life.
[10:00] Unique ability involves networking and research to develop opportunities and build new businesses around needs; cost and penalty you pay for being a visionary.
[12:12] Nobody can validate that your heart's desire is for your business or life; start making decisions and seek clarity.
[16:25] Separate work from playtime and sense of isolation/lack of connection; create a life that supports you and gives you what you need - it's not just about making money.
[19:09] Growth - a good idea or distraction; greatest determiner of your ability to grow is not the quality of your service offering, but your ability to execute.
[25:25] Business and sales happen at the speed of trust; people don't buy what you do, they want to find someone they can trust.
[27:45] Businesses establish themselves as leaders and capture more business by expressing and expanding their vision, values, mission, and purpose.
[30:48] Content Marketing: Find the most efficient mediums/processes to spread value to target market; people consume content in different ways (i.e videos, conversations).
[33:50] Difference between content for the sake of building authority and helping people vs. content for the sake of SEO and SEO-driven context.
[41:57] Biggest growth opportunity for business owners who focus on everything outward is to change themselves; business is just a means to an end.
[54:00] Growth doesn’t have to be painful; a healthier way of growing and scaling a business is by giving employees meaningful work.
Future of Business: Giving employees meaningful work.
Numbers are not everything. It's not just about doors or money.
Lifestyle is a factor when growing companies.
Business and sales happen at the speed of trust.
Profitable Property Management Podcast
DGS 65: The NARPM Standard of Accounting with Brad Larsen
DoorGrowClub Facebook Group
Are you tired of chasing doors? Do you need help to define the areas you’re managing? Do you know how much bandwidth is required for those areas? How do you establish rents? How do you predict rental profits?
Today, I am talking with Scott Abbey of RentFax, which is a tool that helps you figure out the answers to all these questions. It helps you, as a property manager or investor, grow your business.
[03:25] Each door doesn’t require the same bandwidth, which is a critical metric for determining whether you want a door or not, and how to charge for it.
[04:37] RISC Index: Features 15 sub-indices of census data that identify demographics about properties to indicate probability of an income stream and interruptions with it.
[08:45] RISC Index weighs comps based on proximity and likeness of the demographic; it considers square footage, number of bathrooms, and other factors to predict rent.
[10:05] Cycle of Suck: If you take on bad owners and bad properties, you’re going to get bad tenants and a bad reputation in the market; operational cost is much higher.
[12:05] Shift from being a service provider to a consultant to give advice with supportive data that improves customer satisfaction and wins you more deals.
[14:09] Areas can change over time; something can happen in the area that materially reduces the demographic forces and causes a decline or absence of improvement.
[14:55] RISC Index enhances range of rents that are probable for the address by taking additional algorithms to the data; if the range is too wide, it’s not helpful to you.
[15:20] RISC Index is only product that quantifies relative risks of an address for every U.S. neighborhood; when looking at rents, it’s helpful to know the risks.
[16:00] Rent affordability is #1 factor for disrupting rents; be sensitive to demographics of the people who are going to be attracted to the property to adjust rents.
[17:30] Rent Package includes a risk report, rent analysis, and historic vacancy number.
[21:10] RISC Index can be used as an indicator that helps make buying decisions; property manager turns into a deal maker to help existing clients grow their portfolio.
Each door doesn’t require the same bandwidth.
Provide consulting with data as support to win more deals.
Cycle of Suck: Loop of high operational cost, not able to scale and grow.
Census Bureau - Year 2000 Results
DoorGrowClub Facebook Group
Want to make your life easier when it comes to property management? Once it’s adopted, try the National Association of Residential Property Managers (NARPM) Standard of Accounting. It’s going to positively change the industry!
Today, I am talking with Brad Larsen, who played a major role in the development of the Standard of Accounting. Also, he’s the founder of RentWerx (formerly Larsen Properties) and host of the Property Management Mastermind podcast.
[04:28] Why: Standardize language and charter accounts for industry.
[05:15] How: NARPM participation and vendor selection of ProfitCoach.
[08:33] Going from General to NARPM Accepted Accounting Practices (GAAP to NAAP).
[09:31] System/process to get it adopted; won’t be a perfect solution immediately.
[10:38] NARPM’s value add and thank you to industry; training provided at conferences.
[12:45] Embezzlement: It’s going to happen to you as your business grows and scales.
[14:05] Examples of how to use NARPM Standard of Accounting.
[17:56] Goals: Create common language, adopt industry standards,compare metrics.
[18:02] Acquisitions: To acquire or be acquired, NARPM standard makes you look better.
[18:17] Comparing numbers, data, and metrics; and knowing what to do with them.
[20:20] Transition to follow Standard of Accounting is simple.
[22:16] 87% of statistics are made up - people believe almost anything; businesses need to be comfortable with numbers.
[23:41] Need designation/certification for stamp of approval on Standard of Accounting.
[26:51] Concerns about who controls what and how much of standard.
[29:10] NARPM standard helps improve property management industry’s reputation.
[31:12] Audits are available to build a level of confidence, safety, and certainty.
[32:13] Examples of metrics that help your business make the right decisions and compare against competitors.
Going from General to NARPM Accepted Accounting Practices (GAAP to NAAP)
Goals: Create common language, adopt industry standards, compare metrics
To acquire or be acquired, NARPM standard makes you look better.
Property Management Mastermind Show
Property Management Mastermind on Facebook
DoorGrowClub Facebook Group
Are you a renter struggling to find a place? Feeling frustrated? Or are you a property manager/owner who would like to be able to manage, monitor, and show your properties without having to manage, monitor, and show your properties? No problem, you just need self-showing technology.
Today, I am talking with Pini Lackner and Edward Gonzales of Rently, which allows prospects to visit rentals themselves when it’s a convenient time for them by using self-showing technology. Rently’s technology helps optimize and systemize the showing process to lower operational costs.
[05:18] Statistics show that 70-80% of people looking online for places to rent tend to be window shoppers; can be frustrating and time consuming for managers to reach them.
[06:08] Property management involves building/keeping relationships with prospects.
[06:48] After self-showings, Rently performs an application follow up to get feedback on a property without having to rely on an agent.
[07:23] Some are concerned that there’s too much risk involved; fear factor fades because of Rently’s reputation and self-policing system based on info from prospects.
[10:22] Those interested in Rently’s technology have a growth mentality; there’s no better way to grow your business geographically.
[11:17] Benefits include lower operational/staffing costs and shorter lease cycle.
[12:05] Considering Rently as best way to optimize business operations while lowering expenses and not losing touch with properties.
[12:42] Self-showings are its backbone, but Rently is a fully encompassing platform - not just a bunch of lockboxes.
[13:50] Rently Keyless addresses the increased prevalent use of smart homes.
[18:02] Regaining control restricting access is instant via Rently after a tenant leaves.
[18:55] Rently provides homeowner reporting, metrics, and analytics to know what’s going on with properties.
[21:07] Initial reluctance to self-showings has eased, so managers who don’t use it now will lose their competitive edge.
About 70-80% of people looking online for places to rent are window shoppers.
Self-showings create positive pressure to report things.
Self-showings are its backbone, but Rently is a platform - not just a lockbox.
Pini Lackner’s Phone Number: 323-375-5773
How Technology Is Changing The Real Estate Market
DoorGrowClub Facebook Group
Are you a business owner whose background is focused more on sales than marketing? Do you only have a minimal understanding of property management? You’re not alone, and that’s why Kasey McDonald founded a property management training academy that educates business owners.
Today, I am talking to Kasey about business development manager (BDM) growth and marketing strategies. She has 20 years of real estate experience, predominantly in property management. Kasey shows business owners how to set up and structure their property management businesses, as well as what is needed to in terms of BDM to focus on growth and profitability. She’s passionate about property management and wants to do what she can to improve the industry and other people's businesses.
[03:30] Four Doors to Revenue: 1) Deals; 2) Doors; 3) Duration; 4) Dollars.
[04:23] BDM is not just about the landlord/investor, but retention with tenants; know importance of a service to consumers.
[07:10] Kasey’s education and coaching process focuses on a business’s vision around goals and targets for growth; need to have realistic KPIs for team members.
[09:30] Who is a BDM? Prospecting force in property management who has a mindset/skill set to grow rapidly and adapt to strategies.
[13:07] BDM Job Description: Prospecting to increase number of doors, and research quality and type of property; building different relationships with vendors.
[18:35] Other BDM responsibilities include marketing and understanding their market to be the local expert; you should know everything to pull in your target audience.
[20:00] BDMs should make and bank at least 10 connections per day to achieve 20 to 30 new doors a month - 50% conversion of becoming clients.
[21:36] Sales Pipeline Stages: Connections, follow ups, appraisal evaluation, research vs. decision, and conversion.
[26:12] Lead generation is challenging for salespeople; if they don't have leads, they have to prospect and focus on generating leads by understanding their demographic.
[29:05] Batch tasks and use technology to make things easier; different technologies impact and reach different people in different ways.
[33:36] ABCs of being a BDM: Personality, attitude, and work ethic; need to be passionate and driven, have conversations, and overcome/negotiate objections.
[38:55] Focus on marketing and communication strategies that use video because email is becoming obsolete; text messaging, walking door-to-door, and flyers are still effective.
[46:25] Tenants tend to have a negative perception of landlords/managers because they don’t do maintenance or fix things; discuss your procedures/processes with tenants.
It’s not just about how many doors you manage, but the level of income from each.
BDM is not just about the landlord/investor, but retention with tenants.
I'm a big believer that not all business is good business.
Marketing Strategies: Do more guerrilla marketing tactics or go old school.
Property Management Training Academy
DoorGrowClub Facebook Group
Are you an entrepreneur trying to figure out what you’re going to do with your life? Going from company to company to make money and find something you enjoy? During your career journey, you can learn a lot and build a network of people who come to you one day and ask for your help. You may end up with too much demand and work 80 hours nonstop every week.
Today, I am talking with Taylor Hou, who faced some of the same struggles. Clients kept coming back to him. Why? He discovered that there is great demand for people to clean up businesses’ financial and accounting books. The majority of property managers aren’t bookkeepers or don’t have accounting backgrounds. So, Taylor realized that if clients were willing to pay him to do their bookkeeping as a service, he could start a scalable company. APM Help now offers several services to more than 25,000 units.
[05:15] Property management industry’s accounting duties are regulated via bank reconciliation (bank recs) where every bank account transaction is in some software.
[06:36] 3-way tie out accounts for uncleared deposits and checks, which are liabilities.
[08:42] Instead of one bank account per property, property based accounting keeps track of property balances.
[10:05] Financial diagnostics report lets you troubleshoot to identify where money should be; transfer money to your account - if you don't, it’s in the wrong place.
[11:12] APM Help is currently only available for AppFolio, but offers a level of expertise needed to understand how to do everything compliance related.
[13:40] Software makes bookkeeping easier, but bank recs need to be approved by a broker; software companies can’t take on such liability, but APM Help can.
[14:19] Humans make mistakes; audit your checks and balances by using Google's Eating Your Own Dog Food methodology or an audit program you create.
[15:32] APM Help’s tool goes into your software, grabs necessary data, and crunches numbers related to state compliance requirements.
[16:00] Top issues and red flags include security deposits in the wrong bank account, unaccounted for tenant liabilities, prepayments, and commingling of owner funds.
[18:50] Don’t do or control everything - prevents growth and ability to scale; outsource bookkeeping, accounting, and compliance audits.
[21:42] Accounting and Product Software Expertise: APM Help knows what works and doesn’t to be able to make decisions that move clients forward.
[31:45] APM Help provides three main services: On-demand consulting, daily bank recs, and full charge bookkeeping.
[35:17] APM Help is a resource for those needing to buy or sell a company; performs an audit to determine the financial health of the business - what it's worth.
If you're not doing bank recs, you need to do them.
Pivotal 3-way tie out is the Holy Grail of where you want to start.
Humans make mistakes, but most don't have a gazillion checks and balances.
We eat our own dog food. We're always hiring great people.
Google's Eating Your Own Dog Food
DoorGrowClub Facebook Group
Today, I am talking with Mark Smukler of Bixby about property management and technology. Bixby is a building amenity platform/tenant portal app that helps management be more efficient by streamlining communication, work order management, payments, document storage, and any other component of tenant-related activities. Also, it’s a virtual/mobile concierge for tenants to find services, such as housekeeping, dry cleaning, moving, storage, and public transportation. It’s a win-win for everybody!
[06:40] Bixby’s end-user interface aggregates different tools into a single platform that costs less and is specific to the real estate business.
[08:35] Bixby is modular and flexible with features that you can turn on or off.
[10:08] Bixby’s development principle is that it doesn’t build anything that it’s not asked to build; every single thing in its product was a direct request from a customer.
[11:10] Bixby integrates with smart home devices and creates a world where property managers and tenants have one central hub, instead of multiple apps for a property [12:25] Bixby enhances the property management business, it doesn’t disrupt it.
[13:08] New generations are comfortable with new technology, but older ones still use old technology; Bixby works with your current system - if it’s not broken, don’t fix it.
[14:20] Manage more with less; it’s difficult to gain economies of scale in property management because it is a high-touch, maintenance-oriented business.
[15:25] Bixby cuts down the number of phone calls and time spent communicating with tenants, collecting rent payments, and locating documents.
[16:08] Real estate assets can be monetized beyond rental income; providing housekeeping, dry cleaning, and other services to tenants generates revenue.
[18:52] Set Up a Bixby Account: Go to livebixby.co/signup; Bixby costs $1 per apartment per month, or, if you have fewer than 20 units, it’s free to use.
[20:44] Bixby Branded Application: White-labeled with a client’s logo, color palette, subdomain, hosting, and name.
[22:35] Bixby partners with other businesses, including Coord to let tenants find, reserve, and pay for parking, and TransitScreen for information on public transportation.
Manage more with less
Integration is key; Bixby integrates different features into one platform
Bixby is much more of an enhancement than a disruption
DoorGrowClub Facebook Group
Nobody knows the rental market better than a property manager, and nobody better than a property manager who does real estate knows how to help real estate investors.
Today, I am talking with Sam Kwak about real estate investing as a property manager. Sam’s philosophy is: I don’t manage anything that I don’t own. He prefers to buy properties and manage them or at least understand how the business works.
[03:35] People who don’t necessarily have anything in terms of wealth can become real estate investors, buy properties, and rent them to create income.
[05:25] As a partner, Sam is part of the everyday operation of property management; he’s in the office, sees what’s going on, and does consulting and advising.
[05:58] Property managers need to understand their numbers, cash flow aspects, possible expenses, macroeconomics, microeconomics, and the market.
[06:35] Property managers have a better understanding of where to invest; if they understand the market, they know what to buy to have a healthy cash flowing asset.
[08:09] Education is key; Sam helps new or beginner investors learn a skill set focused on acquisition, negotiation, and understanding business expenses.
[08:45] Acquire properties without using your own capital and credit; learn to acquire properties using the concept of owner financing and raising capital for owner financing.
[11:35] Different states and municipalities have different rules; find an attorney who understands the creative side of investing and how to work with an installment contract.
[14:15] If you understand how to legally, ethically, and morally put together deals, capital finds its way to you; money will come, if you provide value and want to help people.
[15:10] Not all partners are made equally; work with a partner who is of sound mind, values what you do, and has the character to backup their integrity and honesty.
[18:55] Once successful, don’t be blinded by confidence and think you’re invincible; adapt a coachability mindset and become a student again.
[24:10] Some say real estate investing is quick, easy, turnkey money - that pipe dream is oversold and over promised
Anyone can be an investor, buy properties, and rent them to create income.
I’m in property management because I know what goes in it, what goes out.
Money will come, as long as you’re providing value.
Rich Dad Poor Dad by Robert Kiyosaki
Mike Michalowicz on the DoorGrowShow
DoorGrowClub Facebook Group
Are you a property manager? Is maintenance your biggest cost or time suck? Does it keep you from growing your business? You can't expect to grow a company when you're stuck in the operations piece of it every day.
Today, I am talking with Ethan Lieber of Latchel, which helps property managers with maintenance and growth. You can get stuck where you have to hire and hurt your margin or you're growing and just can't keep up. You're behind on work orders and that's not good for anybody. It's not good for your business, tenants, and property owners. Latchel builds solutions and services to try and fix that problem.
[07:10] When thinking about the growth of your business, that comes from the way you acquire your customer scalable and how you get scalable lead generation.
[08:00] Frontend/Backend Scalability: If you're only bringing in new customers and increasing units, there's going to be a problem if your operation can't handle that growth.
[08:25] Latchel focuses on making maintenance scalable; grow without worrying about creating your margin or being able to fulfill any promise you're giving to customers.
[08:45] Latchel realized that technology is support for a process, but it can't be the process; so it offers maintenance software backed by an actual human-based service.
[14:00] 3-step process for a call: 1) Determine if it’s an emergency or not; 2) Send possible emergencies to in-house team member; 3) Send out a vendor/contractor.
[15:35] Companies should create a preferred vendor list/network to send out vendors that they partner with when bandwidth is not available.
[16:35] Human Side vs. Automation: Beautiful thing when you can combine expertise and the human mind with technology; use technology to reduce inaccuracies.
[18:55] Types of transformations of early adopters that implemented Latchel to offload maintenance with phone calls and coordination.
[22:35] Property managers are careful about giving something up; if they want to grow, they have to delegate, give up control, and use a vendor network.
[26:10] When Latchel works with any customer on taking over maintenance, Latchel builds boundaries to work under and sets clear expectations.
[41:00] Latchel makes life easier for maintenance coordinators by earning trust; transparency becomes important, especially through documentation.
[44:50] Latchel works with property management software through an add-on service, but is looking into API connections to integrate with existing systems.
Latchel builds technology to make its human process more efficient
Latchel frees you up to grow but keep your margins healthy
It’s a beautiful thing to combine expertise and the human mind with technology
DoorGrowClub Facebook Group
As an entrepreneur, how can you build a sizable, significant business? Is there a problem you can solve for customers? Save them time and money? If you can offer a good, quality product and there's good margin in it, then you may have a great idea for a new business!
Today, I am talking with Thad Tarkington of FilterEasy. He describes how his company started due to personal experience with filter issues. He had no background in air filters, but saw an opportunity and jumped at it. After all, entrepreneurship is like skydiving without a parachute, and sometimes you have to make the parachute on the way down.
[05:08] How Thad went from being a solo-preneur to having a team; started his company in 2012 with one partner and now has almost 120 employees.
[06:25] You don't know everything when you start a business, so find good mentors; the dollar amount you pay them is miniscule compared to your company’s ROI and growth.
[07:06] As an entrepreneur, you start by doing everything; you slowly hand off responsibilities/tasks to allow your company to grow and flourish.
[07:25] FilterEasy focuses on who it hires; must have an aptitude and skill for the role, fit in culturally, and be a self-starter.
[11:38] Trust the process and that things are going to work out in the long term; be resilient and adaptive to keep moving forward, even if there’s roadblocks.
[15:37] Trust other people when you hire them for a job; they may not do things the exact way you would, but they could come up with things that are better and unique.
[17:15] Interruptions are costly; eliminating interruptions is critical for you, your team, and your company to progress.
[19:38] Done is Better than Perfect: To accomplish something, you have to get it done; nothing's ever perfect in business, and businesses are not perfect.
[24:08] Culture: When employees are excited, energized, and passionate because the company is growing fast, it's hitting sales numbers, and new projects are successful.
[31:05] If you're complaining about your team not being motivated and you don't have the business that you want right now, you're not the person to lead it yet.
[37:30] Lead-gen and getting a business going can be challenging; there needs to be constant innovation and improvement.
No background in air filters, just saw an opportunity and jumped at it.
Entrepreneurship is like skydiving without a parachute.
Slowly hand off responsibilities to allow your company to grow and flourish.
Entrepreneurs see opportunities everywhere.
Thad Tarkington’s Email
Provide Value to Your Clients with FilterEasy
DoorGrowClub Facebook Group
Property management is like a Rubik’s Cube - you solve one side, which makes you feel great. Then, you go onto the next side. When you fix it, you mess up the first side. How do you get all sides to work together?
Today, I am talking with David Kerner of TouchPoint Property Management. David sold real estate for about 15 years before investing in his own doors and handling rentals. He shares some tips on how he developed systems and processes to grow his number of doors.
[03:48] Difference between doing real estate and property management; going from cold calls to find new business to rental properties that offered residual income.
[04:55] Vertical income streams: Managing properties could feed David’s sales business, and the sales business could feed his property management business.
[05:20] Property managers fear realtors getting into and doing damage to the property management industry; David was successful because he had a mindset from both sides.
[08:15] David successfully transitioned from being a realtor to a property manager by knowing that if he did them both, he would not be great at one of them.
[10:10] Once you make a decision, be 100% in to ensure success and execute it.
[11:21] David learned everything he could to know the right and wrong ways to do things, and made himself available to customers.
[12:40] He systemized and automated processes; many software programs are available to help make property managers more efficient and accountable.
[14:36] David used DoorGrow’s Seed Package to improve his Website and leads; landlords go on the Internet to find property managers.
[18:20] People perceive property management as a commodity/service; the challenge is to shift that perception to being about relationships and taking care of clients.
[19:49] David was able to break his first 100 doors in just a year; does it get easier after that milestone? Depends on you because there’s new challenges every day.
[22:45] David is now at the point where the number of doors is not the main factor - profit and smoothness of his business are key.
[23:25] David attributes much of his success to the Seed Package to help him develop a company name, brand, Website, and sales process; he started creating revenue quickly.
[27:20] Getting help vs. doing it on your own; if you’re not paying for something/someone or have a plan to follow, it takes much longer to get things done.
[32:40] David’s biggest challenge is the entrepreneurial side; he wants to improve collaboration and customer service for his business to be profitable and run well.
[33:45] David recommends making your business more efficient and systemized; focus on entrepreneurial and sales tasks, rather than day-to-day tasks.
[36:50] David started implementing automation, checklists, and other systems right away; be consistent and focus on getting things done.
Once you make a decision, be 100% in to ensure success and execute it.
Shift the perception to being about relationships and taking care of clients.
Does it get easier? Depends - there’s new challenges every day.
TouchPoint Property Management
National Association of Realtors
DoorGrowClub Facebook Group
What are four pillars that successfully build and grow a business? Transparency, value propositions, stellar customer service, and aggressive pricing.
Today, I am talking with Scott Brady. Despite being told by everyone to not become involved with the “Toilets, Tenants, and Troubles” of property management, Scott started Progressive Property Management in 2012. In a short period of time, he has grown his business phenomenally by rebuilding his website, marketing, and company to target self-managing investment property owners.
[05:38] Seekers are just starting out in property management; they get stuck by doing everything on their own instead of using marketing dollars effectively to hire others.
[07:23] Scott built his company of the four pillars to make the floodgates open for generating leads; set up virtual offices and branches to help handle workload.
[09:05] Real estate used to be a structured business, so the challenge was knowing how to get doors; SEO and ads are used to get doors for realtors to buy.
[11:11] Scott is willing to pivot quickly when things are not working; focusing on resolving problems by adding doors, agents, and investors has helped him deal with changes.
[14:35] Conducting product research and talking to clients is important to know what they want and need; serve as resource with connections to help them with pain points.
[17:55] Embrace mutual affection marketing; clients need to know, like, and trust you before they will hire you - build and maintain those relationships.
[19:20] Legislation is a constraint that drives innovation and need for property management; turns you into being more relevant to property owners and landlords.
[20:37] Property management is a complicated business, position yourself as an expert.
[21:56] Spend money on what works for you - whether it’s seminars, direct mail, etc.
[25:13] To get your first 100 doors, test different marketing channels to find out which gives you the best return and connect with experts, such as Scott, for pearls of wisdom.
[28:50] Property management offers multiple streams of revenue: Management, real estate, maintenance, etc.
[29:25] Create market share to help people recognize problems and how to handle them.
[36:08] Growth is not the problem - it’s covering marketing area geographically, and finding the right agents and training them properly.
[36:45] In-and-Out Model: Hire the ding-and-dented to sell them on a path of opportunity - going from front desk to branch manager; no fear of losing employees.
[40:30] Create marketing messages and lead magnets that pivot to: Do you....
[46:13] Constantly try to improve your marketing, sales, processes, and operations; embrace the suck by trying something new and different.
How hard is property management, right?! I’ve made every mistake in the book.
My definition of Hell is 100 doors.
Businesses only exist to solve a problem. We get paid to solve and fix problems.
Progressive Property Management
Scott Brady Email
Bluefishing: The Art of Making Things Happen
DoorGrowClub Facebook Group
Is it possible to integrate real estate and property management?
Today, I am talking with Jay Berube of the Encompass Group about property management being a great lead generation machine for realtors.
[02:45] Jay realized that asking questions and listening to answers is the most important part of sales.
[03:10] Jay helps people figure out what’s the best situation for them; sell a property, rent it out, or get a reverse mortgage.
[04:00] Sharing and giving value; give people value first to build trust and for them to know what you have to offer.
[04:30] Difficult to have both real estate and property management and produce at a high level.
[05:55] People usually don’t know what they need, but think they know what they want.
[07:40] Being in alignment with your clients/lead is key to sales; create a win-win.
[08:50] Velvet Hammer: Be transparent by delivering the brutal truth in a good way.
[10:30] People’s initial reaction is to avoid realtors; many view them as annoying and pushy - just hungry people who want to get the next deal.
[11:28] Property management could be the ultimate gateway drug because of its perception of being high trust, service, and relationship.
[12:30] Only takes 60 hours to get a license to sell someone’s most valuable asset.
[14:30] All realtors are the same; have a unique selling proposition.
[15:35] Easy to get into real estate and property management; but the liabilities, risks, and challenges can be large.
[16:27] Buyers start their home search online; use Zillow, Trulia, and other sites.
[21:40] Know and have a good property management referral source and know how to sell its products; be prepared and nurture relationships.
[29:00] Some people take hours to make a sale/close a deal; only takes Jay 20 minutes.
[30:25] Sales can be taught (asking questions, tonality, and alignment).
[36:55] Jay’s 90-day course results in more income and saving time.
Asking questions and listening to answers is the most important part of sales.
Being in alignment with your clients/lead is key to sales.
It only takes 60 hours to get a license to sell someone’s most valuable asset.
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Are you into technology? Do people always ask you to help them set up their tech devices? Do you take on roles and jobs where technology helps industries?
That’s how Sean Miller from PointCentral describes himself. He was able to take home automation and build it into an enterprise platform for residential property managers to run their businesses better and provide an amenity that residents want.
[02:48] PointCentral focuses on residential property management; its software is designed for short- and long-term single- and multi-family property managers.
[03:21] Some vendors target both property management entrepreneurs and consumers, winding up undercutting and competing with the property managers.
[04:47] Convenience and operational benefits to home automation technology.
[05:05] PointCentral built an operational benefit with its system for property managers and owners; that’s the base of the ROI, and the rest just adds to cash flow.
[05:15] Operational benefits and savings through locks and history of who is on the property; addresses vacant property risks.
[06:45] Thermostats and energy settings for when tenants are home, property is vacant.
[08:45] Keyless-entry offers greater security because floating keys risk is eliminated.
[09:05] PointCentral home automation integrates with various systems and sites.
[10:18] PointCentral uses cellular lines ( AT&T and Verizon) for 99% uptime reliability.
[12:49] PointCentral is a wholly owned subsidiary of Alarm.com; gets access to robust architecture and policies.
[14:08] Home automation is popular right now, but most startups fail; PointCentral will be in business down the road.
[14:33] Leveraging and access to data; handling security and data privacy issues.
[17:25] Data is analyzed to determine how property managers can do their job better and what information can be useful for problems.
[19:56] PointCentral integrates with Property Meld to coordinate maintenance.
[20:35] Onboarding process to get a property set up; cost is around $125-150.
[23:12] Basic hardware package, which includes a cellular hub, thermostat, and lock, costs about $550.
[24:08] Property manager could charge a fee to have a connected home (turn into profit center) and have language in the lease to prevent changes to the equipment.
[24:22] Cost, operational, and other benefits of home automation with PointCentral.
Home automation offers convenience and operational benefits.
The rest is just gravy and creates a positive cash flow.
PointCentral connects and integrates its home automation.
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Years ago, James Alderson of OnSight PROS witnessed challenges in property management. So, he decided to step in and step up to help property managers get better at what they do.
James wanted to develop a user-friendly and easier way for tenants to do walkthroughs. The missing piece is a new app called MyWalkThru.
[06:10] MyWalkThru app nags tenant to do walkthrough.
[06:40] 3 options on MyWalkThru: Doors are 1) not applicable, 2) observed with no problems, or 3) picture and comment of problem.
[08:15] App solves various problems by making sure tenant does what they need to do.
[08:39] MyWalkThru is contribution focused and fills a need.
[08:56] How does it compare to other software? MyWalkThru is tenant-driven.
[09:50] Add a charge to cover cost of MyWalkThru for property managers.
[10:16] When a tenant is set up in MyWalkThru, tenant info (as well as property info) stays in app account.
[12:15] If you want to be a MyWalkThru member, you have to be given permission.
[12:36] DoorGrow listeners, try MyWalkThru for free to test it and offer feedback.
[13:28] MyWalkThru uses the OnSight PROS logo; separate but related.
[15:00] MyWalkThru can be used for both move-ins and move-outs.
[15:35] All reports are identical to assist objectivity and offer summary of issues.
[19:20] MyWalkThru is for the tenant; that’s the difference between OnSight PROS.
[19:40] MyWalkThru was just released; only are few are using it; there may be glitches.
[21:35] Benefits of signing up for new software; shape it with your input.
[23:30] Future Possibility: Ways to connect with tenant and automatically send them info.
We’re changing the property management industry and its reputation.
Security deposits should just to go away because disputes are a real issue.
Don’t have time or interest in doing inspections? Time is better spent elsewhere.
Offloading Property Management Inspections with OnSight PROS
MyWalkThru on Google Play Store
DoorGrowClub Facebook Group
Do you feel misunderstood? Not like others? Crazy confused? Alex Charfen knows how you feel. He knows what you need to hear. Begin your journey of personal development.
Get a business coach to help you out. They can help you increase your revenue, and make your life easier. Alex is my business coach, and in today’s episode, we talk about the entrepreneurial personality type (EPT). Successful people are stubborn and obsessive. They don’t give up. The most successful people in history are different and unique.
[10:20] Everyone around you are aliens; or are you the alien?
[11:08] Garage sale game changer; act of generosity.
[12:41] All an entrepreneur needs is someone to encourage them a little bit.
[13:40] Use social media to encourage people; feel return of momentum.
[15:10] If you feel broken as a business person, learn how to have relationships and build each other up.
[17:50] EPTs are asynchronous learners and developers.
[18:50] Most available coaching is disappointing and abusive.
[19:58] 4 Types of Personalities.
[20:30] Caretaker: A need to serve; do you enjoy changing bedpans?
[22:10] Communicator: Carries on oral tradition; do you enjoy small talk?
[24:05] Coordinator: Love organization, memorization, and rules; do you enjoy being on committees?
[26:00] Entrepreneur: Evolutionary hunter who changes things and makes others uncomfortable; can you turn it off?
[28:20] Go out, be who you are, and make the change in the world you’ve always known you could.
[29:24] “All great truths begin as blasphemies.” - George Bernard Shaw.
[30:05] Every great visionary was crazy until they sold something.
[30:15] If the world is fully supporting you, telling you that you are right, and saying everything is going to be ok, then you are probably not doing anything very important.
[30:40] Challenge beliefs in yourself; hook onto contribution and momentum.
The most successful people in history are different and unique.
All an entrepreneur needs is someone to encourage them a little bit.
Entrepreneurial personality types are asynchronous learners and developers.
Entrepreneurial Personality Type book
DoorGrowClub Facebook Group
Today, I am talking to Andy Propst, who runs a national single and multi-family property management company called HomeRiver Group. The company is on a mission to become the first nationally branded property management firm in the country.
For Andy, he can’t grow his company fast enough and big enough. Learn more about what Andy did to grow so many doors, so quickly.
[10:00] HomeRiver Group shifted to multi-family properties for rent investor products.
[11:20] Biggest opportunity for property managers is to build their own products.
[11:55] Rental demand is high, but supply is shrinking, which is bad for property managers, investors, and renters.
[12:30] HomeRiver Group is a matchmaker; it bring investors and builders together for build-to-rent projects.
[14:38] Builders want to build, so it is not difficult to get a builder to pay attention to you; find stats and information that tell a story and generate interest.
[16:50] If you want to grow your business and be successful, you can’t be passive.
[18:15] HomeRiver Group follows a specific workflow to make things happen; then people come to them.
[19:45] Property managers control the revenue, top line, expenses, and net operating income; you’re there to make a sale and be there after the sale.
[21:25] If you are never failing, that’s because you are never trying new things; don’t be afraid to fail.
[22:30] As a property manager, you know what tenants want and what should be done to produce the most revenue and income.
[24:00] Marketing is identifying a need and then supplying whatever it is to fit that need.
[24:40] Timing and difficulty of expanding to new markets; need the right people to execute tasks.
[27:40] Don’t consider expanding unless you are looking for a lot more work to do and get a lot less more money up front; eventually it will pay back, if you do it right.
[32:00] Identify companies to merge with; those with a similar culture, and forward thinkers who are adaptive and open-minded.
[37:20] Big companies vs. mom-and-pop shops: There’s room for both.
[39:25] Big differences exist between franchises and HomeRiver Group; franchises struggle with growth.
[53:20] Stop running your property management company as a paycheck model business; figure out how to build your business to sell it.
Some days I hate it; most days I love it!
Biggest opportunity for property managers is to build their products.
HomeRiver Group is a matchmaker; it bring investors and builders together.
The Art of Buying and Selling Property Management Companies
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Property management business owners sometimes have to deal with hoarding problems. They may have tenants who pack the property full of stuff and then have to deal with the costly cleanup afterward.
Today, I am talking to Marnie Matthews, a licensed clinical social worker specializing in hoarding and clutter. She is intrigued by the mental health piece of hoarding, which has many factors tied into it. To Marnie, success is when everybody wanting help has easy access to affordable and professional help.
[04:36] Types of Hoarding: Hoarding disorder, hoarding behavior, and excessive clutter.
[05:10] Hoarding Disorder: Somebody who has extreme difficulty/inability to let things go.
[05:33] Hoarding Behavior: People who can address their hoarding after handling mental health issues, such as depression.
[06:01] Excessive Clutter: Depending of the level of clutter, someone may have hoarding disorder or just be chronically disorganized.
[06:28] Clutter you can clean up quickly and easily; does not impact daily living.
[06:48] Those with hoarding disorder believe they can clean up their home, but they are actually unable to do so.
[07:05] Brains of people with hoarding disorder work differently; making decisions is difficult, and then frustration and anxiety builds - nothing is accomplished.
[07:57] During crisis case management with property managers, Marnie focuses on safety issues.
[08:16] Uniform inspection checklist is a tool used to help people pass inspections.
[09:28] Remember: Hoarding is a mental health issue; be compassionate, but continue to handle liabilities and responsibilities.
[10:04] Harm Reduction Approach: Have a conversation about safety and reducing risk rather than the clutter.
[11:26] Anyone with hoarding issues needs to get mental health treatment and support, but resources are limited.
[11:56] Typical Response: Property managers don’t know what to say because hoarding situations are overwhelming, but don’t threat tenants or tell them to get rid of everything.
[14:30] Tenant may not achieve 100% of what’s required, ask them what happened to identify their habits - don’t try to control them, but inspire them.
[15:38] The Clutter Movement provides consultations and trainings for property managers, as well as services and support for tenants and their family members.
[18:30] Hoarder’s Mindset: What does it feel like when someone goes through your personal belongings to determine what is and isn’t important?
[21:00] Things people are holding onto are about their identity; it may look like trash to the rest of us, but those things mean something to the hoarder.
[23:45] Marnie asks two questions: If you woke up tomorrow and your home was as you wanted it to be, what would your life be like? What is something you want to do that you are not doing or can’t do now because of the clutter?
[26:09] People are reward-motivated; don’t focus on the problem, but something that will move them forward.
[27:58] Addiction aspect of hoarding could be due to a lack of connection; hoarding is not an addiction, but associated thoughts/behaviors need to be treated like an addiction.
[31:00] Difference between hoarding and squalor; hoarding regards possessions, while squalor focuses on unsanitary environmental conditions.
Hoarding is a chronic, progressive disorder. It only gets worse when triggered.
During crisis case management with property managers, focus on safety issues.
Property managers don’t know what to do; hoarding situations are overwhelming.
The Clutter Movement Individual Support Facebook Group
The Clutter Movement Family Support Facebook Group
TED Talk: Everything You Think You Know About Addiction is Wrong
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Do you ever change your home’s air filter? Do you know when or how often you need to change it? Do you just forget about it, or are you just lazy? Do you know what size filter you need? Thanks to FilterEasy, there’s no excuse to not change it.
Today, I am talking with Mark Brandt from FilterEasy, which was created to meet a simple need - help homeowners remember to change their home’s air filter and what size of filter to use. Mark helps initiate and grow the property management side of the business.
[04:10] Property management side of FilterEasy is based on a simple concept in service: Starts with a need.
[04:50] Tenants are even more less likely to change the air filters because they do not have a vested interest in the property; FilterEasy makes it easier for them.
[05:33] This service helps property managers and their team during inspections and walkthroughs to hold the tenant accountable and provides a burden of proof.
[06:28] FilterEasy listens to property managers about the need and awareness to motivate tenants.
[07:55] Many companies do not understand the industry and create a product before conducting research.
[09:30] After implementing FilterEasy, the property managers, owners, and tenants appreciate the convenience, saving money, and other benefits.
[11:45] Not changing the air filter can cause serious and costly damage to repair.
[13:30] Can you guarantee that 100% of tenants will change the air filter? No, but FilterEasy sets you up for success by increasing the number of tenants who will.
[18:00] Such programs and companies are becoming necessary to provide more operating capital to grow and competitive advantages.
[18:35] When owners compare companies, what is the differentiator? What sets you apart from others? Why should they choose your company?
[19:15] Property managers can use reminders to let tenants know they are giving them a gift and taking care of them; generates a positive perception and produces results.
[25:00] Grow with the times and culture to provide awesome service to people; compete on value.
Grow with the times and culture to provide awesome service to people.
These programs provide operating capital and competitive advantages.
What is the differentiator? Why should they choose your company?
Mark Brandt’s phone number: 864-770-3909
Mark Brandt’s email
DoorGrowClub Facebook Group
Make your own decisions rather than dealing with unnecessary pain and doing what the world dictates. Find a way to hit the inspiration point, rather than the desperation point by focusing on four cores!
Today, I am talking with Preston Brown, who started in real estate as a home flipper. Now, he has seven divisions of property management: Roofing, real estate, brokerage, home flipping, hard money lending, title company, and home warranty insurance. He invests in business, but also in his body and mind.
[03:28] Preston found DoorGrow online when looking for franchise property management opportunities.
[04:20] Cycles, models, and understanding the dynamics of various industries.
[04:50] Impact of embezzlement on Preston’s businesses.
[06:00] Low cost of DoorGrow services that offered so much value and showed how to avoid the Cycle of Suck.
[07:55] Preston did a study to show clients their options and costs with his companies vs. other companies; shows differences between price and value.
[10:11] Preston increased pricing, got rid of bad doors, and lowered operational and staffing costs.
[11:30] Launch a business at the right size; bigger is not better, profitable is better.
[13:30] Psychology is linked to success; you don’t buy a product, but you buy a feeling of certainty and comfort that you could achieve success with the product.
[14:50] Four cores people think about to create a natural alignment: Spirituality, physical fitness, family and love, and money and wealth.
[16:30] Happiness: Life condition equals blueprint; progress makes you happy.
[19:55] Preston systematized all of his businesses using DoorGrow processes.
[23:45] Don’t focus on getting rich quick; to have the best business in the world, deliver more value than any competitor.
[27:20] Your body is a direct reflection of your business.
[30:00] What’s your identity in each of the four cores? Notice, appreciate, and believe.
[32:10] Try this tactic: Use one hour each morning to program your body and mind to attract everything you want.
[34:45] Positive vs. negative emotions in business.
[36:37] Secret to Success: You cannot revolutionize, you have to evolutionize.
[38:35] Do 80% psychology and 20% strategy for all parts of your life and business.
[40:05] Be proactive, rather than reacting and putting out fires.
[42:45] Life hits everyone; you will face problems and challenges in life and business.
[46:45] State value and build rapport; out pace strategy problems using psychology.
[52:25] Focus on the four primary needs and two divine needs.
Launch a business at the right size; bigger is not better, profitable is better.
Lose your ego to gain a profit.
You buy a feeling of certainty and comfort that you could achieve success.
Preston Brown email
DoorGrowClub Facebook Group
Providing proof of funds is a problem that most property management companies face with tenants. Every property manager and landlord can benefit from better data faster. Technology can change the game of verifying tenants.
Today, I am talking with Robert Hsu, of FinRET, about how you can use the latest technology to digitally verify your applicants’ income, account balances, and cash flow. He is someone who has combined his two passions and areas of expertise, real estate and technology, into an entrepreneurial business.
[06:20] Issues property managers deal with regularly.
[06:45] How FinRET works with banks to prevent fraud.
[07:10] FinRET instantly provides better and more data.
[07:35] How FinRET gathers financial data from smaller or international banks.
[09:04] FinRET is able to get expense and cash flow data that was previously inaccessible or difficult to obtain.
[10:07] It allows you to make informed decisions about whether to accept an applicant.
[10:14] FinRET will eventually let you score applicants to make decision-making quick.
[10:58] Benefits for renters: A seamless process.
[11:35] FinRET saves property managers time because financial verification was the slowest part of the process; went from being a 5-day process to only 15 minutes.
[12:33] FinRET plans to create integration partnerships in the future.
[13:34] Property management software leaders in the residential space.
[14:34] How to contact FinRET.
[15:00] FinRET’s pricing structure is per use/application basis.
Every property manager and landlord can benefit from better data faster.
Technology can change the game of verifying tenants.
FinRET instantly provides better and more data.
DoorGrowClub Facebook Group
DoorGrowClub Mastermind Group