What is Asset Management about in the world of property? Let me tell you, it is about ‘17 heads and 14 handles’.
I had a great night out on Friday with a good friend for her birthday. Her son works in our industry and although still in his early twenties has proven himself to have a fantastic set of natural sales skills. Some people are just born to help and be successful in a certain setting and this is definitely the case here.
So in a short time of about 4 years he has gone from being a negotiator to running a branch of 6 staff with little formal guidance, especially early on.
In the past 12 to 18 months he has also started to build the lettings book within the business from scratch, again with some success which is where our conversation started over a beer.
As we spoke about laying good foundations when building a managed book I was asked what I meant? Now there are many answers to this question, especially when dealing with a managed portfolio in a complex and ever changing environment however, I thought the basic over-riding answer was:
‘When you take a property on today from a client to manage, aim to give it back to them in 10 years in the same condition that you received it in’. Simples!
He looked at me, smiled and the word ‘impossible’ left his lips like I had had one beer too many.
I asked ‘why?’
The response, ‘well just the fact that tenants live in a property makes this impossible, the wear and tear alone means this can not be done. Send me some proof.’
SO how is it done? The answer is Triggers broom.
(If you do nothing else today watch this clip from Only Falls and Horses, it will make you smile).
As Trigger says ‘look after your broom’.
Now I accept asset management is a team game that relies on the involvement of a good property manager, a committed landlord and great tenants but, if they all play their part it is a simple process.
- The tenant always reports required repairs and the property manager always looks for repairs and required refurbishment at inspections.
- The repairs and requirements are clearly communicated to the landlord.
- The landlord commits too investing into their asset.
- Good quality tradesmen complete any required repairs / refurbishment.
- The tenant continues to enjoy their home, treating it as they would if it was their own.
- Go back to step one as many times as required.
Here are a few examples of houses before and after that we looked after here at Tortoise 10+ years.
Opening inventory for Hereward Street April 2011
The virtual walk through video for the sale of Hereward Street 2021
Opening inventory for Dingley Court May 2011
The sales video tour of Dingley Court 2021
The properties looks the same / similar as 10 years ago. Ok we had new carpets, decorated, maybe had a new kitchen, changed the boiler, had three different sets of tenants. However as Trigger would confirm ‘it is still the same property’.
Our process of picturing the life of a property under our care helps us to measure our success and also helps us to to identify if the team game fails.
SO:
Asset management, is all about 17 heads and 14 handles. Nothing is impossible! (As my mum still tells me).
If you want to know more about how we do this call Tortoise Property on 01733 592020.
Mike Matthews
Level 3 in lettings and property management
Financial planning certificate
Certificate in mortgage advice and practice
Diploma in business and management studies (Open University)
22 years of experience as a landlord
Ran an Estate Agency for 15 years and recognised in the Best Agents Guide for 2022
Accredited by Safeagent
Recommended by my Wife, my Mum and my Dad (I still need to confirm this statement with my wife)
Tortoise Property
01733 592020