We Think a Phenomenal Property Management Brokerage System is the Perfect Solution for Concerned Sales Brokers
Before COVID, our company ran an exceptionally tight ship. We were well positioned for upcoming changes and grew quickly. However, our work quality declined more than we could accept. Larger, well-funded competitors struggle even more, yet we have gained market share from property managers who lost control. One of our top goals remains to make mom-and-pop investors wealthy by delivering consistent, long-term income.
The rental market has become tougher. Landlords face slim profits and mounting pressure. In the past 24 months, one bad tenant or a costly turnover often leads owners to sell their homes. Before COVID, our owners rarely sold because they made easy money. Today, rising repair costs, application fraud, and other expenses form a perfect storm.
Staffing and Candidate Challenges
We once boasted an amazing salary staff—most of whom joined before 2022, our worst year in many ways. We want to double our size while maintaining quality, but that is challenging. We now struggle to fill account manager roles that once made up most of our team. These roles require a real estate license and attract a smaller pool of candidates.
Our model of lower pay offset by quality in-office time and a balanced work life no longer works. Modern candidates expect different compensation and career paths. We also realized that holding on to full-time salary staff limits our control over strategy and decision making.
Rethinking Our Approach
We once believed salary staff best delivered our proven rental investment strategy. We even targeted hires with no real estate background so we could train them in our methods. Over time, we noticed that a dollar does not go as far as it once did for wage earners. In 2022, many employees lost their drive for excellence. We could no longer rely on the same formula.
Owners sometimes focus on a 1% difference in management fees. They rarely ask how an empty home can cost over $50 a day. Meanwhile, rising costs, increased vacancy risks, and legal liabilities further erode profits. We realized that a great manager makes a huge difference over time. We needed to stop paying people not to drive results and instead partner with those who have skin in the game.
Embracing a Commission-Based Model
We have decided to shift to a commission-based model that aligns costs with revenue. In this new approach, brokers share both risks and rewards. Our partners now work on commission and focus on results. They will drive customer engagement and reduce vacancy losses by using proven strategies.
Sales agents now face direct consequences for empty homes. When a home stays vacant, an owner loses at least 8% of annual income. A commission-based model motivates brokers to negotiate, communicate, and follow our strategies. We expect this model to attract highly motivated professionals who share our customer-first mentality.
Expanding Our Service Offerings
We are also exploring a la carte services such as:
These services will provide easy payment options and increased flexibility. As housing becomes more central to daily life, owners demand faster, more reliable service. Our shift to a commission-based model also opens our talent pool and helps us scale our operations nationally.
Read Our North Carolina Rental Owner / Investor Frequently Asked Questions (FAQ)
Read Our South Carolina Rental Owner / Investor Frequently Asked Questions (FAQ)
Looking Toward the Future
We have already implemented a digital support group and built a strong field operations division. Our technical support team now serves as the glue that holds our processes together. This change improves customer service and allows us to deliver more value.
We plan to build an ecosystem for our broker partners through Reddit and Facebook groups. This network will help brokers exchange advice, tips, and referrals. Our long-term goal is to partner with the best talent in the housing industry. By aligning costs with revenue and embracing scalable practices, we are ready to lead our market.
Our pivot to a commission-based model is not just a cost-saving measure. It is a strategic move that will drive efficiency, quality, and long-term growth. We believe this approach will position us as a national leader in housing services.
