Meet the Real Estate Tech Founder: David Shapiro from EquiFi Corporation

In our latest real estate tech entrepreneur interview, we’re speaking with  David Shapiro, co-founder of EquiFi Corporation.

Without further ado…

What do you do?

I created EquiFi to be a blend of a Fintech and Specialty Finance Company. It offers an equity-based home financing product for homeowners and homebuyers and give investors access to home price appreciation in the $30 trillion housing market through the Equity Funding Instrument (EFITM). The EFI is an alternative financing instrument that provides new home buyers with the ability to benefit from an equity co-investment in the purchase of their home and offers existing homeowners a new channel to access the existing equity in their homes.

What problem does your product/service solve?

I help liberate consumers from the burden of overfinancing their homes, thereby creating greater and more diversified wealth while increasing the population of qualified home buyers giving real estate agents a larger market to prospect.

What are you most excited about right now?

I organized EquiFi as a Public Benefit Corporation which is a C Corporation that has a stated social purpose. I am finally getting Wall Street to realize that a PBC can also make money.

What’s next for you?

We are working on an upcoming product launch with mortgage originators and a housing finance agency.

What’s a cause you’re passionate about and why?

Personal financial awareness and financial psychology. I’m an entrepreneur, an author, and a speaker. I’ve written extensively (3 books and countless articles) on financial well-being and needs-based selling. The challenges have never been greater than they are today with the largest generation (millennials) at risk of not learning the single most important component of financial planning…compound interest!

Thanks to David for sharing his story. If you’d like to connect, find him on LinkedIn here.

We’re constantly looking for great real estate tech entrepreneurs to feature. If that’s you, please read this post — then drop me a line (drew @ geekestatelabs dot com).

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from theokbrowne digest http://geekestateblog.com/meet-real-estate-tech-founder-david-shapiro-equifi-corporation/

The Century 21 Rebrand with CEO Nick Bailey

I’m certainly a fan of the new Century 21 branding. Below is an episode of Listings Bits: an interview Greg Robertson did with Century 21’s CEO, Nick Bailey.

Happy listening.

[via VendorAlley]

The post The Century 21 Rebrand with CEO Nick Bailey appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/century-21-rebrand-ceo-nick-bailey/

Houses that Unfold with the Click of a Button

Did you know homes can unfold? I didn’t, until seeing the following video the other day.

If you’re curious to learn more, look into what Ten Fold Engineering is working on.

The post Houses that Unfold with the Click of a Button appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/houses-unfold-click-button/

What are Commercial Real Estate Lease Operating Expenses?

The following post is copyrighted by Austin Tenant Advisors - .

When leasing commercial real estate it’s important to understand what is being included in the rental rate and what all you are paying for. Most commercial leases are going to be triple net leases where you pay your pro rata share of operating expenses as well as the base rental rate.

In many cases such as when renting commercial real estate in Austin Tx the operating expenses are going to be about half of what your base rental rate is. For example in Northwest Austin class A office space base rates are $30 sf and the operating expenses are estimated at $16 sf. In downtown Austin operating expenses are over $20 sf. As you can see operating expenses are a significant portion of your total rent amount.

Below you will learn what operating expenses are, what’s included, and what can be negotiated.

What are Commercial Property Operating Expenses?

The definition of commercial property operating expenses (OPEX) is the costs associated with maintaining and operating a commercial property such as office space, retail space, and warehouse space. Depending on the building lease structure the operating expenses maybe a component of the gross rent or be in addition to the base rent. Most commercial office leases in Austin are going to be triple net (NNN) leases in which the OPEX are paid by the tenant in addition to the base rent. With multi-tenant buildings each tenant is responsible for their share of opex which depends on the rentable square footage of their space compared to the total rentable square footage of the building.

What do Operating Expenses Include?

• Property Taxes – The city is going to charge the property owner property taxes which are in turn passed along to the tenants. Taxes will typically be the largest portion of Opex.
• Insurance – All commercial property owners need insurance as required by the lender.
• Common Area Maintenance Charges (CAM) – such as maintenance & repairs, administrative fees, utilities, parking lot maintenance, management salaries, property lighting, etc. What is included varies by property type and building owner.

What is Not Included In Operating Expenses?

The short answer is they do not typically include capital expenses, debt service, commercial property marketing costs, leasing commissions, tenant improvement allowances, or capital reserves for future repairs.

Is Commercial Real Estate OPEX Negotiable?

If you are a larger tenant then landlords may be negotiable on their controllable items such as CAM charges since they can control how the building is managed. For example getting the landlord to agree to capping the annual opex increases. Landlord’s have no control over property tax increases, therefore will not agree to cap those.

How to Negotiate an Operating Expense Cap

• Year to Year (aka Non Cumulative Cap) – Cap the CAM percent that the landlord can increase year over year. For example with a 3% year to year cap the maximum increase the tenant is responsible for is 3%, even if it increases to 4% the 1st year.  If CAM’s increase by 2% then tenant only responsible for 2%. Most tenants prefer this approach
• Cumulative Compounding Cap – Again an annual maximum Cap is set however landlord can recoup previous years unused increases. For example  if CAM increases by 2% year 1, tenant pays 2%. Year 2 CAM increases by 4% and tenant is responsible for paying the 4% (3% for this year and 1% left from year before). Landlords prefer this method.

Examples of Commercial Property Operating Expenses

I pulled the info below from one of the commercial leases I was reviewing. Most have this sort of language in the lease that defines what operating expenses are AND what they are not.

Operating Expenses May Include the Following:

1. Costs incurred by Landlord or Landlord’s agents and contractors in connection with the provision of services pursuant to Section 7 of the Lease (but excluding the cost of utilities consumed in the Premises and the premises of other Occupants of the Building and Project to the extent Tenant or any other Occupant is separately paying for the cost of utilities);
2. Costs incurred by Landlord or Landlord’s agents and contractors in connection with maintaining the Project in accordance with Section 9.3 of the Lease;
3. Professional building management fees and the fair rental value of any management office space in the Project;
4. Costs of capital improvements, structural repairs and replacements to the Project (collectively, the “Permitted Capital Improvements”): (i) that are intended to reduce (or avoid increases in) Operating Expenses, (ii) that are required by a governmental authority subsequent to the Commencement Date (except for capital repairs, replacements or other improvements to fix an existing condition before to the Commencement Date which a governmental authority, if it had knowledge of such problem prior to the Commencement Date, would have required to be fixed pursuant to then-current government regulations in their form existing as of the Commencement Date and pursuant to the then-current interpretation of such governmental laws or regulations by the applicable governmental authority as of the Commencement Date), or (iii) that that are replacements, retrofits or refurbishments of nonstructural items which serve the Building and/or the Project in the whole or in part (including, without limitation, Building Systems, and items in Common Areas; provided, however, unless required by Law or in order to comply with Landlord’s repair and maintenance obligations under the Lease, in no event shall Permitted Capital Improvements include (1) purely cosmetic capital improvements to the Building or the Project or (2) the replacement of any Building Structure (other than sealants for any part of the Building’s envelope, including curtain walls and windows). Expenditures for Permitted Capital Improvements shall be amortized at a market rate of interest over the useful life of such Permitted Capital Improvement (as determined by Landlord’s accountants in accordance with GAAP);
5. Costs of supplies, including, but not limited to, the cost of all building-standard lighting as the same may be required from time to time;
6. Costs incurred in connection with obtaining and providing energy for the Project, including but not limited to costs of propane, butane, natural gas, steam, electricity, solar energy and fuel oils, coal or any other energy sources;
7. Costs of water and sanitary and storm drainage services;
8. Costs of janitorial and security services;
9. Costs of general maintenance and repairs, including costs under HVAC and other mechanical maintenance contracts; and repairs and replacements of equipment used in connection with such maintenance and repair work;
10. Costs of maintenance and replacement of landscaping; and costs of maintenance of parking areas (including, without limitation, the Project’s parking facilities) and other Common Areas;
11. Insurance premiums and deductibles, including fire and Special Form coverage, together with loss of rent endorsement; public liability insurance; and any other insurance carried by Landlord on the Project or any component parts thereof (all of such insurance shall be in such amounts as may be required by any Superior Rights Holder or as Landlord may reasonably determine);
12. Labor costs, including wages and other payments, costs to Landlord of worker’s compensation and disability insurance, payroll taxes, welfare fringe benefits and all legal fees and other costs or expenses incurred in resolving any labor disputes;
13. Reasonable legal, accounting, inspection, and other consultation fees (including, without limitation, fees charged by consultants retained by Landlord for services that are designed to produce a reduction in Operating Expenses or to reasonably improve the operation, maintenance or state of repair of the Project) incurred in the ordinary course of operating the Project;
14. Costs incurred by Landlord or Landlord’s accountants in engaging experts or other consultants to assist them in making the computations required pursuant to the Lease;
15. Costs of subsidized food service that is made available to all Occupants;
16. Costs necessary to comply with any REAs or any ground or underlying lease of all or any portion of the Land;
17. Seasonal and holidays displays; and
18. Events, parties and celebrations that are available to all Occupants.

Operating Expenses Do Not Include the Following

In no event shall Operating Expenses include any of the following (collectively, “Exclusions”):

1. Costs of repair or other work caused by windstorm, fire or other insured casualty to the extent of insurance proceeds received;
2. Costs of repairs or renovation necessitated by condemnation to the extent of any award received;
3. Any interest or principal on borrowed money or debt amortization, except for Permitted Capital Improvements;
4. Depreciation on the Project;
5. Any costs incurred by Landlord associated with payment of damages as a result of any breach of this Lease by Landlord;
6. Landlord’s payment of damages for personal injury resulting from the negligence or willful acts of Landlord’s Responsible Parties;
7. Costs and fees associated with the sale or refinancing of the Project or any associated debt;
8. Penalties for Landlord’s failure to pay taxes, assessments, debt services or any other charge, unless such failure arises from Tenant’s breach of the Lease;
9. Costs for which Landlord is reimbursed (other than Operating Expenses paid by Tenant);
10. All costs associated with the operation of the business of the entity which constitutes “Landlord” (as distinguished from the costs of Project operations) including, but not limited to, Landlord’s general corporate overhead and general administrative expenses;
11. The cost of services provided by any affiliates of Landlord to the extent such costs exceed the costs of such services rendered by unaffiliated parties on a competitive basis for Comparable Buildings;
12. Costs of installing any specialty service, such as an observatory, broadcasting facility, luncheon club, or athletic or recreational club;
13. Costs (other than maintenance costs) of any art work (such as sculptures or paintings) used to decorate the Building;
14. Interest and penalties due to late payment of any amounts owed by Landlord, except such as may be incurred as a result of Tenant’s failure to timely pay its portion of such amounts or as a result of Landlord’s contesting such amounts in good faith;
15. Costs arising from Landlord’s charitable or political contributions;
16. Rental loss, bad debt or capital expenditure reserve accounts (other than escrow accounts for the payment of property taxes and insurance premiums);
17. Promotional gifts; entertainment, dining or travel expenses;
18. Salaries, wages and benefits of personnel above the grade of property manager (unless equitably allocated); or
19. Reserves for bad debts or for future improvements, repairs, additions or otherwise.
20. Costs, including marketing costs, space planners’ fees, legal fees, advertising and promotional expenses, and brokerage fees incurred in connection with the original construction or development, or original or future leasing of the Project, and costs, including inspection costs and permit, license, incurred due to the installation of new tenants improvements in the Project after the Commencement Date or otherwise painting, decorating, improving or redecorating vacant space for tenants (excluding, however, common area costs of the Project or parking areas);
21. Costs or amounts paid as ground rental for the Project by the Landlord;
22. Costs to the extent arising from the gross negligence or willful misconduct of Landlord or its agents, employees, vendors, contractors, or providers of materials or services; or
23. Costs incurred to comply with Laws to remedy a condition existing prior to the Commencement Date (including, the removal of hazardous materials in existence in the Building or on the Project prior to the Commencement Date).

The post What are Commercial Real Estate Lease Operating Expenses? appeared first on Austin Tenant Advisors.

Geek Estate Newsletter #26 – Are you Selling Green?

The purpose of Geek Estate’s mastermind community is two fold:

1. Curate the most incredible and diverse membership of real estate innovators, creatives, doers, and creators in the world.
2. Make our members wildly successful in their careers building real estate companies.

In this week’s member newsletter (#26), I talk about selling green homes,  a curated green homes search experience, and the broader trend toward sustainability.

In the “Built World reads” section, I highlighted an article in Forbes, Exclusive: Britain’s Co-Living King Has Raised $400m To Take On WeWork In America. The Collective based in the UK is aiming to double in size (Germany and the USA). I continue to be fascinated by WeWork, and the broader competitive landscape in co-living.

I also shared a podcast: This Week in Startups (E813): Wealthfront Andy Rachleff: early Benchmark, $10b+ assets, Risk Parity fee cut, economy. There’s some great advice to heed: “figure out your competitors greatest strength, and turn that strength into their greatest weakness.” (I’ll probably write a future blog post, or entire mastermind newsletter, about this quote)

If you want to read the entire newsletter, and future newsletters, please apply for membership below.

Geek Estate Membership

Interested in joining?

Apply for Membership

The post Geek Estate Newsletter #26 – Are you Selling Green? appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/geek-estate-newsletter-26-selling-green/

Interior Design Details Renters Should Look for

Apartment hunting is difficult, especially when you’re looking for something long term to call home. If you’re a renter you won’t be able to renovate or add style details, so it’s important to keep in mind the aesthetics of your new home in addition to prices, location, and amenities. You’ll be living here for a […]

The post Interior Design Details Renters Should Look for appeared first on RENTCafé rental blog.

from theokbrowne digest https://www.rentcafe.com/blog/home-and-garden/interior-design-design-and-decorating/interior-design-details-renters-should-look-for/

Need New Clients? Try Tenant Real Estate Leads

Want to hear something surprising?  More than one-third of our nation’s veterans who are in the market to buy a home are unaware of the VA loan, according to a 2010 Department of Veterans Affairs survey. And they aren’t the only ones. Many potential tenant real estate leads are woefully ignorant of some very valuable information.

“In the 35 largest housing markets in the country, nearly 14 percent of renters have high enough credit scores and incomes to afford a median-priced home in their market,” said usnews.com’s  Devon Thorsby, quoting a Zillow study.

So, what are they waiting for?

Money.

Zillow’s senior economist chalks up these renters’ lack of a home of their own to a lack of a down payment. With the many low-down payment options and down payment assistance programs in existence, they may just be capable of buying a home. How many of them, we wonder, are unaware of that?

Without this information, they’ll continue being at the landlord’s mercy when it comes to how they live in their home, whether or not the kids can have a pet and what color they can paint the walls.

They’ll continue enriching his or her bottom line while missing out on one of the best wealth-building vehicles on the planet – real estate ownership.

So, intrepid marketer that we know you are, we offer up this brilliant real estate lead idea for you: Reel in some buyers by fishing in the tenant pool.

 

Who are these people?

According to the U.S. Census Bureau, 37 percent of U.S. households are renter-occupied. That’s a total of 43,837,496 households.

Statistics from the National Multifamily Housing Council shows that the largest share of apartment renters earns more than $50,000 per year and nearly one fourth of them have children.

“As householders age and become more settled, their homeownership rates rise steadily,” according to a study from the Joint Center for Housing Studies of Harvard University.

“About one-third own their homes while the majority still rent. By the age of 40, however, two-thirds of householders own homes,” they conclude.

 

The timing couldn’t be better

A recent Core Logic data dump shows that, although rent growth slowed from August 2016’s rate, it’s still up 3 percent on a year-to-year basis.

Rapidly rising rents, such what we’re seeing nationwide, should prove irresistible incentive for many tenants. Combine that with eye-opening facts about low down payments and down payment assistance to convince tenants to ditch the landlord and purchase a home.

Methods to generate tenant real estate leads

Determine which marketing vehicles you’ll use to reach out to these potential tenant real estate leads. Think old-school on this one — postcards, newsletters and email blasts are all effective. And of course, the right leadsite can make all the difference.

Consider creating infographics showing how it may be cheaper to buy than rent. Bust the myth of the 20 percent down payment. Explain how insane it is to rent when you can build wealth through the forced savings of homeownership.

Then, you’ll need to grab their attention quickly with stunning facts. For instance, the Census Bureau tells us that the median net worth of U.S. homeowners is “$199,557 vs. $2,208,” for renters, according to the Orange County Register’s Jonathan Lansner.

The median net worth of homeowners is 90 times that of renters!

Show these prospects the benefits of homeownership – how it helps build wealth and how, over the long term, it’s cheaper than renting.

Then, show them how they can buy a home with down payment assistance and government-backed loans.

Targeting tenant real estate leads can be as simple as choosing a condo or apartment community and farming it. But, like most things in business, composing a plan of action will make the process far more efficient and effective. Consider employing some of the following strategies:

• Buy tenant lists – There are a number of companies that offer targeted mailing lists. Check out InfoUSA.com, Melissadata.com and Experian.com. Then, narrow down your request to only those demographics who are likely to buy a home.

For instance, using demographic information from NAR’s “Profile of Homebuyers and Sellers,” you might request a list of names and addresses of married couples from age 35 to 50 with a combined income of at least 28 percent of the median price of a home in your area.

 

• Beef up your online presence — Start loading up your blog and social media posts with pertinent info for these people.

 

• Ditto on general website content — Create a financing section on your website. Devote a page to listing the local, state and federal down payment assistance programs. RealtyBillings does an excellent job with this one. Add pages describing the VA, FHA and USDA loans as well.

 

Make contacts and explore every avenue

 

• Beef up your site’s buyers’ section – Add information on neighborhoods, schools, shopping and services. Neighborhood pages, by the way, are the best way to rank well in local searches.

 

• Schmooze – If you work closely with an insurance agent, offer to hold a homebuying seminar for their renter policy clients. Then, wine and dine licensed property managers. Offer referral fees for any tenants who eventually do business with you.

 

• Troll online – Never underestimate the power of Craigslist – “It’s free and it produces more leads than anything else I do,” Sheri Moritz, Keller Williams Raleigh, tells the Active Rain University. “Stop Renting! You CAN buy a home!” is one we noticed just today.

In some parts of the country, rent hikes are slowing down, but they’re certainly not stopping. This offers little solace to renters who face steep hikes in their monthly cost of living expenses.

Now is the perfect time to pursue these tenant real estate leads.

Looking to generate even more leads?

Trying to generate leads online? Check out our video:

 

The post Need New Clients? Try Tenant Real Estate Leads appeared first on Easy Agent Pro.

from theokbrowne digest https://www.easyagentpro.com/blog/tenant-real-estate-leads-gen/

NYC RE Tech Meetup Tonight: Rental Tech

For those in New York City, the Spring 2018 real estate tech meetup is tonight at 6 pm. The topic is rental technology, and they have a speaker, panel discussion, and BEER!

Companies represented:

• Flip ( https://flip.lease/ — previous founder interview here)
• hOm ( http://www.iamhom.com/)
• Jetty ( https://www.jetty.com/)
• LiveWith (https://www.livewith.com/)
• Loftsmart (https://loftsmart.com/)
• Ollie (http://www.ollie.co/)

If you can make it, the logistics:

When: Thursday, April 26, 2018, 6:00 PM to 9:00 PM EST

Where: Rise NYC (43 West 23rd street, 2nd Floor · New York, NY)

Cost: $15 per person

You can RSVP here. Yes, it’s in a few hours, so I apologize for the late notice.

The post NYC RE Tech Meetup Tonight: Rental Tech appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/nyc-re-tech-meetup-tonight-rental-tech/

Garza Ranch Office Space

The following post is copyrighted by Austin Tenant Advisors - .

Garza Ranch is a new 34 acre commercial development in Southwest Austin that will include 400,000 sf of office space, a 140 room, five story Aloft boutique hotel, a 370 unit apartment complex and a 2.2 acre park. The new project is located off of South Mopac Expressway in Southwest Austin, really close to William Cannon. Software House International (SHI) has already announced plans to build and move into 1 of the 2 buildings to be built. The remaining 150,000 sf has not been spoken for at this point.

Brandywine Realty already has contractors doing the infrastructure work to build roads and utilities to the property that is expected to be completed by the end of 2018. The office buildings are expected to be complete by the 1st quarter of 2020.

For more information about office space for rent in Southwest Austin  at Garza Ranch give us a call at 512-861-0525

The post Garza Ranch Office Space appeared first on Austin Tenant Advisors.

Why is Recruiting So Damn Hard for Brokers?

Pretty simple. Your “brand” means absolutely nothing. No brand values. No differentiator. If that’s the case (as it is for most real estate companies), the only way you can recruit is by paying more.

Solve your brand, and you’ll solve your recruiting issues.

[Graphic via business2community.com]

The post Why is Recruiting So Damn Hard for Brokers? appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/recruiting-damn-hard-brokers/

Compass Opens Shop in Seattle

A few weeks ago, I shared the news that Compass was entering the Seattle market. The wait is over — they’ve opened their doors, via a partnership with Northwest Group Real Estate. I’m anxious to watch how Compass positions themselves in the Seattle market over the next 12-24 months. If any agents or brokers in the area have any good or bad experiences with the brand, I’d love to hear from you.

The press release:

COMPASS DEBUTS IN PACIFIC NORTHWEST WITH PRESENCE IN SEATTLE AND BELLEVUE

Northwest Group Real Estate joins fast-growing real estate technology company

SEATTLE ​– April 25, 2018 – Compass, the fast-growing real estate technology company, today announced its debut in the Pacific Northwest in partnership with Northwest Group Real Estate (NWG) and its 25 agents led by president and founder Nick Glant. Compass has hired 14 Seattle-based full time employees and plans to open permanent offices in both Seattle and Bellevue.

Compass has experienced exponential growth with its unique agent-centered model that harnesses the power of data and technology on one end-to-end platform, simplifying the experience of buying or selling a home. Seattle marks the company’s 14th city where it seeks to make agents’ lives simpler, while helping Compass clients sell their homes faster and for more money. Compass’ national expansion comes on the heels of a $550 million Series E investment by the Softbank Vision Fund and Fidelity, and supports Compass in its pursuit of market leadership across the top 20 U.S. cities by the end of 2020.

“We’re thrilled to join the Compass team and the culture of collaboration and respect that they have built across the country,” said Nick Glant, president and founder of Northwest Group Real Estate. “In partnering with Compass, we see an opportunity to support our agents with the incredible technology, marketing, and national support only Compass offers.”

Compass aims to grow its Seattle presence in the coming months with 30,000 sq. ft. of office space in Seattle and Bellevue. The team will also hire additional expert marketers, designers and administrators to provide best-in-class support to its agents.

“Seattle is a natural fit for Compass as a booming real estate market and headquarters to so many of world’s best technology companies,” said Robert Reffkin, founder and CEO of Compass. “We’re excited to work with partners like the team at Northwest Group Real Estate to bring world-class technology, marketing and support to real estate agents and their clients across the Puget Sound region.”

Compass was founded in 2012 on the insight that the real estate industry lacked the technology necessary to help real estate agents run and grow their business on one end-to-end platform. In the past five years, Compass has grown to be a $2.2 billion company with more than 60 offices in 14 cities nationwide servicing more than 3,000 agents. In addition to Seattle, Compass plans to enter five more top U.S. markets before the end of 2018, and open 50 new offices in its existing markets

The post Compass Opens Shop in Seattle appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/compass-opens-shop-seattle/

Sponsored Post: Home Warranty Companies Doing Better Than Ever

[Note from the editor: This is a sponsored post, from this month’s Geek Estate Blog sponsor, ReviewHomeWarranties.com.]

Home warranty is a rather small niche inside real estate but it has been constantly picking up to an extent that a single company, namely American Home Shield, is turning over more than a billion dollars every year. It’s true that American Home Shield is by far the most recognizable name in this industry with an estimated market share of more than 60%, but still, it is pretty mind boggling to realize they turn as much revenue as they do considering it’s a fairly cheap service that only nets $616 per customer per year on average.

American Home Shield does not advertise the precise number of customers using their service but by applying simple maths it is safe to assume that the number is higher than 1.5m households, which is more than 10% of all American households! If we take into account that American Home Shield is not the only company around offering these type of services, we can estimate that 1:5 American households owns a home warranty.

How did such an obscure product has achieve such greatness? The answer is, as always, marketing. In fact, the product itself is notoriously problematic so the marketing departments of home warranty providers had a dual challenge – get more customers interested, and additional, fixing the poor reputation. They have successfully done so by using the following methodologies:

Working with BBB and other complaint sites

The largest and most successful home warranty companies started amending their poor reputation by working with mediation sites like the Better Business Bureau. For example, American Home Shield’s BBB rating is B in spite of 82% bad feedback and more than 10,000 complaints in total. The firm managed to resolve the vast majority of complaints and satisfy disgruntled customers, restoring its good rating and the public’s trust in it.

Working with affiliate sites

The top home warranty companies work with affiliates that send through referrals in exchange for a commission fee. Such affiliates include Consumer Advocate (massive site) and Review Home Warranties (a niche specialized guide). This makes home warranty companies appear more trustworthy and reputable, as well as the direct benefit of getting quality traffic to their website.

TV advertising

American Home Shield has a brilliant commercial airing on national TV and creating brand recognition and awareness. It provides insight on the nature of the service, who needs it, and why, within a one-minute timeframe.

These commercials made American Home Shield almost synonymous with the term “home warranty”. In fact, there are almost as many searches on Google for American Home Shield as there are for any type of home warranty!

Website content / blog

All the large home warranty companies have significantly improved their website’s content over the past few years. Most of them are boasting freshly updated blogs with helpful tips for homeowners that can attract more generic type of audience and use soft-sale technique.

A better service!

The home warranty industry could not have sustained if all clients were disgruntled for prolonged periods of time. With no ear-to-mouth recommendations or recurring clients, you just can’t reach the levels of growth this industry has been experiencing. It is reasonable to believe these companies are improving their level of service as the most substantial part of the process of restoring their reputation.

Concluding words

The home warranty industry was facing a major challenge which has been overcame through a multidisciplinary approach and the industry is now stronger and bigger than ever. There will be more challenges ahead, of course. At a market share of approximately 10% of all American households, this industry is no longer “under the radar”!

[Note from the editor: This is a sponsored post, from this month’s Geek Estate Blog sponsor, ReviewHomeWarranties.com.]

The post Sponsored Post: Home Warranty Companies Doing Better Than Ever appeared first on GeekEstate Blog.

from theokbrowne digest http://geekestateblog.com/sponsored-post-home-warranty-companies-better-ever/

What are the Different Types of Commercial Real Estate Property & Buildings?

The following post is copyrighted by Austin Tenant Advisors - .

When looking at the different types of commercial real estate property investors and tenants have different objectives. Investors look at commercial real estate (aka commercial property) as a way to make money by generating profits from land or buildings. The primary ways investors make money with commercial real estate properties are through one or more of the following: appreciation, cash flow, and principal build up by having tenant rents pay down the loan. Many investors are looking hard at investing in Austin Tx commercial real estate.

Tenants on the other hand are looking to rent commercial property in prime locations for their businesses. Since there are many different types of  commercial property tenants have to thoroughly evaluate their needs to determine which type is best suited for their company. To help below I have listed the different types of commercial real estate. 

Office Space

Office buildings consist of multistory buildings in the suburbs or downtown high rises and skyscrapers with common area lobbies, hallways, and bathrooms. These larger buildings can be up to 300,000 to 500,000 rentable square feet. They also can be single tenant properties, smaller professional office buildings and condos. Short term serviced executive suites and coworking spaces would also fall into this category.

Traditional office space are typically classified as A, B, or C. Class A office buildings will be the newest, nicest and most expensive buildings in the best locations, and with the best amenities. Class B offices are nice but typically a little bit older and without all the amenities. Class C buildings are the oldest, less maintained, and least expensive office buildings, and in less desirable locations.

Industrial Space

Industrial spaces have multiple categories as they are designed to service different types of users. They will range from small Flexible or R&D properties to larger warehouse and distribution centers. Companies that rent industrial space may need a little bit of office space however a large portion of it will be warehouse space used for bulk storage, retail warehousing, manufacturing, distribution, light assembly, etc. They typically equipped with loading docks that can be grade level allowing vehicles to drive in or dock high allowing 18 wheelers or box trucks back in to deliver product.

Retail & Restaurant Space

If you are looking for visibility for your company than retail space will typically have the best locations for your store or shop. Retail shopping centers, pad sites located on highway frontages, small neighborhood shopping centers, single tenant retail buildings, large big box shopping centers (aka power centers) with stores such as Petsmart & Best Buy, grocery store anchored centers, and regional outlet malls.

Multifamily

Multifamily includes anything larger than a fourplex such as apartment complexes or downtown high-rise apartment buildings and condos. You will also see mid-rise, manufactured housing communities (e.g. mobile home parks), and special purpose housing.

Land

Any raw, undeveloped or rural land in the path of future development. You will also see pad sites for sale on many highway frontage roads.

Other Types of Commercial Property

Any other nonresidential property including hospitality, hotels, self storage units, & medical space such as nursing homes and hospitals

The post What are the Different Types of Commercial Real Estate Property & Buildings? appeared first on Austin Tenant Advisors.

Are Preferred Vendors Ruining Your Reputation? Be Careful Who You Recommend

 

Many agents call them preferred vendors. You recommend them to do a client’s pest inspections, home inspections, trash out, house cleaning, landscaping… Whatever they need. And yes, they are vendors. But they’re your affiliates.

Whatever label you attach to this group of people, do you have any idea how they’re representing you?

Give your reputation a boost – get a Leadsite, and start representing your business’ best features online.

But you trust them, right?

“A preferred vendors list you are able to easily share with your clients is something they will remember you by,” according to Florida agent Will Caldwell, writing at Inman.com.

But, unless you keep tabs on the folks that populate that preferred vendors list, those memories may turn out to be nightmares.

A couple of years ago I was tasked with selling my childhood home in Hawaii. My agent was someone I have known for decades, who just happens to be the top agent in town. So, not only was there a great amount of personal trust in her, but professional as well.

Naturally, she chose the escrow company.

Sadly, the escrow officer screwed up the paperwork from day one

The officer was blatantly and incomprehensibly unqualified for the job. She didn’t overnight it to my sister on the mainland (the joint seller of the home) in time to close. When it finally was overnighted, it was sent with the wrong paperwork. She never even returned one of my phone calls.

Then, there’s the story about a woman in Las Vegas whose listing agent decided to hold an open house on a day that he was otherwise engaged. So, he enlisted the help of another agent in his office to hold the home open, and contacted his preferred lender to tag along.

It was a holiday weekend so only one potential buyer viewed the home. But, it was a good one – the owner of a popular local restaurant.

After touring the home, the potential buyer stopped to ask the agent some questions, whereupon the lender’s representative interrupted to let the buyer know that “the new builds down the street are offering 4 percent to 5 percent rebates.”

Without the home’s security system (with audio, no less), the Vegas homeowner would’ve never known about her agent’s lender steering her open house attendees to the new construction site down the street.

Let that sink in for a minute

Imagine this is your listing and this lender is someone on your “preferred vendor list.” Imagine your client seeing and hearing the interaction.

Now, in neither of these examples was the agent directly at fault, but in both, the agent bore the brunt of the experience. I lost all trust in my old friend and will think twice about recommending her to anyone. The Vegas homeowner fired her agent.

Well-vetted preferred vendors are trusted ones

When looking for new or replacement affiliates, don’t be like the majority of real estate consumers who go with the first agent they interview. Ask around the office to get names of tradespeople that other agents have good luck with. But, don’t stop there.

Add to the list of interviewees by checking reviews on Yelp and ratings at the Better Business Bureau. Check the vendor’s social media sites.

Due diligence isn’t just for your clients

Then, continue the due diligence throughout the entirety of your relationship with the vendor.

Make the time to follow up

You can be doing everything right in your real estate practice – have the most impeccable customer service system in place – yet what your affiliates do, and don’t do, is a direct reflection of your professionalism.

And, if you either don’t monitor them, or, worse yet, remain loyal to them despite shoddy work or behavior (which was the case with the Vegas agent), it is you who will end up losing, not the affiliate.

It’s imperative that you check in with clients after recommending someone to them. Ask how they were treated and, if the feedback is negative, speak with the vendor. Ask for his or her side of the transaction.

If you have any qualms about retaining that name on the list, get rid of it. And always discontinue working with anyone who turns out to be a repeat offender.

Regardless of how you feel about someone personally, don’t allow them to sully your professional reputation.

If you’re ready for a website that works as hard as you do – check out LeadSites. With a LeadSite, you can start putting your ideas into action and watch your business grow.

Now it’s time to use that reputation to start marketing successfully. Learn more here.

Making good connections goes beyond preferred vendors. Learn more about networking in this video:

 

The post Are Preferred Vendors Ruining Your Reputation? Be Careful Who You Recommend appeared first on Easy Agent Pro.

from theokbrowne digest https://www.easyagentpro.com/blog/preferred-vendors-ruining-reputation/

What Are the Different Types of Office Space?

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Office Space for lease comes in all different types, sizes, building classes, and shapes. Many companies right now are favoring open office space layouts, however those are not for everyone. Maybe you like eclectic old houses zoned for commercial use or prefer an office in a downtown high rise. Whatever your needs there are many to choose from. When searching for office space for rent in Austin Tx you will come across many different types of office space. Below are a few to consider to see which ones are the best fit for your company.

Traditional Office Space

Traditional office buildings are typically multistory office towers in the suburbs or downtown that have common area lobbies, bathrooms, and hallways. In most situations landlords handle all of the repairs, maintenance, and cleaning. Parking is on a square footage basis (2-5 per 1000 sf depending on the building). So if you lease 5,000 sf you may get 10-25 parking spaces. In downtown areas parking will be an additional charge.

For most law firms, financial services companies, accounting & investment firms, etc the traditional office layout works the best. Traditional office space allows your employees to have their own private rooms to work and meet with clients since confidentiality is key. Common features of traditional professional office spaces are

• Reception
• Conference room
• Private offices
• Bullpen
• Break area.

Most traditional office space leases require that you sign a multi year lease that is typically 3-5 years or longer.

Creative Office Space

Creative office space is also thought of as office space with an open layout. They all share a similar decor, layout, style, etc however creative offices share a few common traits such as

• High ceilings
• Floor to ceiling windows
• Wood floors or nice carpet tiles
• Big break areas
• Fewer private offices and walls
• Lots of glass walls

Creative offices encourage functional collaboration. With fewer walls between departments there is typically more transparency, collaboration, and communication between leadership, managers, and employees.

Office spaces that are creative also tend to be more efficient allowing you to fit more employees per square foot. You can get more people in a space when you have fewer rooms and more rows of tables or cubicles.

Startups, tech companies, creative agencies are typically drawn to creative open office space, however large companies and even law firms and financial companies are exploring this type of space to encourage communication and collaboration within and across departments and teams.

Downtown High Rises

These are basically traditional offices spaces found in high density downtown areas. You will see downtown skylines painted with large class A office buildings typically 20 to 30 stories with 300,000 to 5,000 sf of rentable office space. Most of them come equipped with all of the class A amenities as described in the office building classification below. 

Coworking Office Space

These are basically shared office situations. You have the flexibility of doing shorter term leases and they come furnished. Shared meeting rooms, break areas, and desks are common. These are best for small companies or tech startups who need short term work space. You can either rent a desk, a room, or a suite of rooms. Along with the flexible commercial lease terms you get to enjoy socialized events and interaction with other tenants and companies. 

Executive Office Suites

These are typically plug n play work spaces complete with furniture, phones, internet, and reception services. Regus for example will lease a full floor of a building and lease them out in smaller parcels to other companies for short flexible terms typically month to month or 3, 6, 9, 12 month increments.

Old Houses Zoned For Commercial Office Use

These are basically houses that were once residential now zoned for office space use. You typically find these in or around downtown neighborhoods. These are great for those wanting their own entrance and cool eclectic space. Lot’s of creative users and tech companies like these for their proximity to downtown.

Flexible Office Warehouse Space

For those that needs a little bit of office and a little bit of warehouse space these are perfect. It allows you to have some office space with your own entrance and an overhead door in the back for shipping and receiving. Flexible offices spaces are typically single story buildings found in semi industrial areas. You will have your own entrance and bathroom that you must maintain. You are also typically responsible for the cost of maintaining the HVAC unit.

Types of Office Building Classifications

Most office buildings are in one of the following 4 categories: Class A, Class B, or Class C, however this is not an exact science. There is not an industry wide standard on what determines a building classification. It depends on the landlord or agent, building owner, market, and other buildings in the neighborhood. Office building classes are somewhat subjective and it depends on a number of factors such as

• Building age
• Condition
• Amenities
• Location
• Rental rates
• Curb appeal
• Historical significance
• Maintenance
• Ownership
• Building infrastructure (e.g. HVAC, IT, Plumbing)
• Available technology
• LEED certification

These building classifications are not permanent as they can change depending on market trends, renovations, etc.

What is Class A Office Space?

Class A office buildings will be the nicest and highest quality commercial office properties in the market. You will see a mix of downtown high rises, historical buildings, and suburban office spaces that have the best locations, most recent technology and infrastructure, lots of tenant amenities such as building conference room, fitness center, showers, onsite deli, etc. Class A office space will have the highest rental rates. These buildings will attract image conscious companies such as attorneys and financial investment firms.

What is Class B Office Space?

Class A office buildings are a little bit older but still have nice amenities and good ownership. You will find a mix of smaller tenants looking for nice space but at a lower price. You can find class B commercial properties in prime areas but at lower prices than class A. They typically don’t offer as many amenities and services

What is Class C Office Space?

Most Class C office buildings are older with little to no tenant services. The finishes are lower quality both internal and external and they lack modern functionality and technological advances. They will also not be in the best locations. Rental rates in class C commercial buildings will be the lowest.

Not sure what type of office space your company needs? No worries – it varies by your company situation, size, ideal location, budget, and plans over the next 3-5 years, however we can help you find exactly what you are looking for. 

The post What Are the Different Types of Office Space? appeared first on Austin Tenant Advisors.

How To Avoid Problems With Commercial Leasehold Improvements

The following post is copyrighted by Austin Tenant Advisors - .

When you lease commercial real estate in most cases you will need to do some sort of leasehold improvements. If it’s a brand new space in shell condition then obviously it will require a lot more planning and work. If it’s 2nd generation space that has been leased before it may not require as much work (only carpet and paint in many cases) unless you need to remove or add a bunch of walls.

Regardless of what tenant improvements are needed the end result can determine your satisfaction. Below is the definition of leasehold improvements, a few common problems that you may encounter, and suggestions on how to avoid them

What are Commercial Leasehold Improvements?

The definition of leasehold improvements -Improvements done to commercial spaces that tenants rent out such as office, retail, or warehouse space. Examples are building or demoing walls and ceilings, new flooring, plumbing and electrical, cabinetry, building offices and conference rooms, etc. 

Leasehold improvements generally convey with the landlord upon the termination of a commercial real estate lease and the tenant moves out. The cost of the improvements is typically negotiated between the tenant and landlord. Depending on the landlord, your credit, market you are in, scope of work, total deal terms such as lease term length, lease rate, rent concessions such as free rent, etc you can generally negotiate to get them to pay for a portion or all of the improvements. The longer lease you sign the more money you can generally negotiate for commercial leasehold improvements.

Common Problems with Tenant Leasehold Improvements

1. Over Budget – You expect to do the leasehold improvements at or below the tenant improvement allowance you pre-negotiated and you still go over budget. Every dollar above the allowance comes out of your pocket.
2. Behind Schedule – Time = money. Delays in construction time could mean that you are in holdover in your existing space or have to delay the date you open for business. Or you could end up without a place of business until the space is completed.
3. Disagreements – Arguments and disagreements over the scope of work and timing can diminish the excitement of your project. 
4. Not meeting expectations – leasehold improvements done incorrectly that have to be redone cost time and money

Ways to Avoid Commercial Leasehold Improvement Issues

1. Constant Communication – Make sure everyone is on the same page with the scope of work, budget, and timing. Consider having weekly conference calls or onsite meetings to review progress and obstacles. Don’t be afraid to clearly communicate the bad news either. If the tenants needs a contingency plan it would be nice to know sooner than later.
2. Realistic Budget – Be realistic with the budget. Better to overestimate than underestimate. Don’t cut any corners and establish a worst case scenario.
3. Create a Schedule – Be sure to estimate a timeline from Beginning to completion and provide enough time for each task. Make sure to build into the budget some contingencies and establish worst case scenario in case there are delays and problems.
4. Know Your Limits – Don’t commit to more than you can handle. Be realistic with the scope of the project, the pricing, and the timeline. As long as you hire competent contractors you will increase the success of your commercial tenant leasehold improvements.

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