Real Estate Deregulation of Queensland Commissions

1. Deregulation

2. Phones
Questions

4. PROFIT
LOSS

5. Secret Shopper
• By Phone 68% offered a discount
• Only 5% followed up the enquiry
• Listing presentations just offering a discount
before the client evens asks for one
• Open for inspections – names not even taken

8. 5% of the 1st $18,000 plus 2.5 % of the balance
on a sale price of $500,000
is $12,950.00
2.5% of $500,000 is $12,500 difference of $450,000

9. Com
• 5% of $18,000 plus 2.5% on the balance price
• $500,000 = com total $12,950.00
• Example 2.5% up to $400,000 and 5% on the
balance of $500,000
• $10,000 (2.5%)
• plus 5% of $100,000 = $5,000
• Total com $15,000
• Difference $2,050

10. option to charge 2% up to $500,000 and what ever you get over that
figure charge 5% of the balance

11. • Points of
Difference

12. Go Pro

13. Google Glasses

15. Let Fee
• One day of inspections – 96.2 km
• 6 inspections – two no shows
• 2 applications
• Time -2hours 40 min
• 96.2km @72cents = $69.27
• One staff member $16 per hour $38.40
• Total $107.67 – no return

16. 19 Smith St - $320pw
• 7 Inspections time took 3 hours 15 min =$50.40
• 56 km round trip x 7 inspections
• Total of 392km @72c = $282.24
• Process application Takes about 1 hour $16.00
• Total $348.64
• Loss of $28.64
• Not Counting the Condition Report or
documentation

17. 19 Smith St - $320pw
• One more inspection
• Total 8 inspection time 45 min = $57.60
• Another 56 km @72c = 448 = $322.56
• Total to rent this property $380.16
• Loss $60.16

18. • $400,000
• average value
• 100
• properties
• $40 Million
Property Portfolio

19. HOW
MUCH

22. Preparation

24. mr.riley@bigpond.com
www.malcomriley.com.au
0438406932