Archive for September, 2009

Great Post on ForRent.com – Apartment Communities Benefiting from Going Green

Tuesday, September 29th, 2009

I had an interesting conversation with Mike Whaling and Lisa Trosien on Twitter last week regarding the benefits for apartment communities going green during this economy.  A question was posed whether renters will actually see the benefit of apartment properties going green and therefore, pay the extra premiums associated with it.  According to the key findings from a Conscious Consumer Report (2009), 51% polled said they are “willing to pay more” for ‘green’ products. Confirming that study, Apartments.com published a survey stating “apartment communities that offer environmentally-friendly amenities are more likely to turn undecided renters into residents. Additionally, more than half of renters surveyed indicated they would take an apartment community’s commitment to environmental issues into consideration.” However, 66% polled in the Conscious Consumer Report said that price is very important in the purchase decision, implying that price can be the deciding factor.

Therefore, management companies that want to go ‘green’ need to consider factors that will help their bottom line in addition to the prospective renter.  You may ask, as Mike did, how can the bottom line in a community with sub-metered utilities be helped? Well, I called the one person I knew would know; that was my father, Scott Bucheister.  He is a salesman at Coastal Insulation and was recently certified by Earth Craft Virginia. He commented that “going green can have a direct impact for property manager’s finances by saving money on energy and maintenance costs.” Curious in what ways? Here are a few he mentioned:

Solar Lighting or CFL Bulbs:
The benefits of using solar lighting on an apartment property are abundant. First off, it has low energy costs. It has very little maintenance. And it comes from a renewable resource as it is powered by the sun. Another benefit is that solar lights continue working even if there has been a power outage. Because the energy isn’t coming off of an electrical grid, power outages make no difference. Installing solar lighting for your landscaping needs, wall lights, security lights, etc. around the apartment community will save money. Compact Fluorescent Light (CFL) bulbs will also prove beneficial to properties in common areas such as community centers, unit hallways, management and maintenance offices, etc.

Low Flow Water Devices:
Water and money can be saved by installing low-flow water devices around the apartment community. In community laundry mats, replace old washers with front-loading ENERGY-STAR washers that conserve water. In the community center install faucet aerators on your bathroom taps. Replace old toilets with new low-flow or ultra-low flow toilets or, in the kitchen, replace old dishwashers with ENERGY-STAR dishwashers that conserve water.

Xeriscaping & WeatherTrak Irrigation Systems:
Xeriscaping refers to landscaping and gardening in ways that reduce or eliminate the need for supplemental irrigation.  The specific plants used in xeriscaping depend upon the climate. Some common plants used in Western xeriscaping are agave, cactus, lavender, juniper, sedum and thyme. Advantages of xeriscaping include lower water bills, less time and work needed for maintenance, and there is little or no lawn mowing (saves energy).  Xeriscape plants, along with proper bed design, tends to take full advantage of rainfall and when water restrictions are implemented, xeriscape plants will tend to survive, while more traditional plants may be unable to adapt. “If you think about it, most apartment communities completely redo their landscaping every year with the flower beds, lawns, trees, etc. If they use native plants that are drought resistant they don’t have to replant every year to attract new renters,” said Mr. Bucheister. “In fact, I was so impressed with the idea of xeriscaping that I actually implemented this in my garden at home! It’s extremely convenient as I have little to no maintenance compared to beforehand.”

Besides xeriscaping, there are other irrigation systems that are environmentally friendly. While ordinary irrigation systems overwater your landscape, leaving you with high water bills, WeatherTRAK® smart irrigation systems help you save water, money and time by eliminating overwatering.  Drawing on information delivered wirelessly from 40,000 weather stations, the irrigation is automatically scheduled based on individual landscaping needs and local weather conditions. And catching rainwater using a rain barrel or other rainwater harvesting system can be used to water outdoor plants.

Energy efficient appliances, windows and light bulbs in apartments tend to help out the renters, yes. They can also be a great selling point in convincing a prospective renter to live at a community. And in my opinion should be done by all apartment communities. However, in the current economic situation property managers should also incorporate environmentally friendly ideas that will help their bottom line as well. Do you agree?

Original article can be found at ForRent.com

Apartment Leasing is Improved with Good Salesmanship

Monday, September 28th, 2009

The Apartment Marketing Blog has a very interesting and actionable post on salesmanship ideas that can improve close rates.  We all benefit from attending to ideas like these and others such as:

  • Dress codes,
  • Name tags,
  • Fresh cookies in the office and
  • Many others

Good luck and good leasing.

How to Win Online Prospects.

Sunday, September 27th, 2009

I recently wrote an article highlighting some key points for lead generation online on ezines.  The address is:

http://ezinearticles.com/?Online-Apartment-Leasing-Leads—How-to-Find-Them-and-How-to-Win-Them&id=2884453

You will find this article different because of the focus on what the process is in the prospect’s head while working with the Internet during the apartment search.  I’d recommend checking out the UrbaneLab for some good ideas regarding how to further decipher this process.  Their address is:

http://www.apartmentveteran.com/

Sometimes life comes at you hard as I’ve been reminded this weekend!

Sunday, September 27th, 2009

Here is an off the subject piece you may enjoy.  I took a hard fall this morning reminding me just how painful events can last for what is a moment or only a short time with our businesses.

I took a fall this weekend.. read about my  fall down the stairs here.

I am sure this is a character building experience somehow, but this morning mainly my back side aches and screams as a reminder.

Setting up Your Leasing Office for Success

Thursday, September 24th, 2009

Today I would like to evaluate the use of 7 techniques that will set up an enjoyable work environment for your staff and greatly impact your leasing success. These 7 techniques are meant to help you give prospective tenant that great first impression that means so much in $$$.

  1. Curb Appeal – When a prospective resident drives by your property, they have to say WOW! Some of the most economic ways of making that happen are: Keeping the property clean, frequent upkeep of the landscape, and every 1-3 years (depending on need) power-washing the exterior of your apartment and leasing office. Not only will this attract prospective residents, it will help with resident retention, and will make it more enjoyable place of work for your staff.
  2. Lighting – The type of light and the placement of light fixtures is important both inside your leasing office and throughout your property.
    1. First, lets address the issue of lighting outside. It is important that your property have lighting throughout for various reasons, but the two most important ones are safety and careful lighting of your apartment’s curb side sign (if you dont have one, you should) will add aesthetic value to your apartment at night.
    2. Lighting fixture should be placed higher than eye level, because low lamp like fixtures can shine direct light into people’s eyes. There are several types of light, but the best and most calming light is natural light (because of this, sky lights are great). The human body natural physiological response to light is general awareness and the general psychological response is happiness. The physiological excitation elicits a psychological response of happiness. The best way to explain this is: What is a nice day? Sunny and warm or dark and gloomy? When it is a nice day outside, people tend to be more active and typically enjoy themselves more.
  3. Color – Colors are a second important component of the environment. Dark colors and red (fire-like) colors are the worst choice. You will want to have light pastel colors that promote calm and secure feelings. Careful color selections can make prospective residents feel happy right when they walk in your door, and will keep your staff happier for a longer period of time. Read more about the psychological response to colors.
  4. Smell – This should be fairly self explanatory, but I have been in dozens of apartment offices that are musty! If your office does not smell good there is a big problem. The physiological response to bad musty smells is to leave the area! When you smell something old, musty, bad, etc, the sensory nerves in your brain trigger a “get out of here” or “dont eat this” response. So please, find a happy, soothing fragrance, it will do wonders for your prospective resident’s first impression, not to mention your staff will enjoy it as well.
  5. Sound – Soothing sounds such as running water have evolutionarily become a source of happy thoughts for humans. When I was an undergraduate, I participated in a study (as in I was a test subject) where we were asked to sit in a waiting room for 30 minutes before we were asked random questions about our week and our day. There were two test groups. One was placed in a “waiting” room with sounds, such as flowing water (like from a fountain) and light music. The second test group sat in the same empty “waiting” room without the soothing sounds. Six-hundred students and faculty participated in this study (300 in each scenario). As you may have guessed, people waiting in the room with soothing sounds, answered the questions positively 80% of the time, while people sitting in the room without the sound, answered questions positively only 48% of the time. SO, hopefully if you follow this logic, your staff and prospective tenants will respond positively 80% of the time.
  6. Comfortable Seating – Ok, this is a big deal especially when you want to have a prospective resident fill out an application or a lease. Sitting comfortably elicits a response from the parasympathetic system (or in other words, a calming effect). It is also smart to have snacks near by, because when the parasympathetic system is stimulated, a secondary response is slight hunger (so a bowl of different types of candy works quite well).
  7. A Mirror – This tip came from one of my neighbors. For over 25 years he has been a customer service consultant for several companies including Ford, and GMC. Having a full wall sized mirror behind your front desk at your leasing office will do many great things. First, it will make your office look much bigger than it actually is (this is great for properties with small leasing offices), this also positively affects your prospective resident’s first impression of the property because they wont feel as cramped in a small office as they usually would. Secondly, having a full wall sized mirror will help you deal with angry residents. Putting a large (full wall) mirror behind the customer service desk will drastically reduce angry resident outbursts. The reason it works: People do not like watching themselves be angry (just like you dont like to watch them get angry), it is a subconscious psychological reflex to seeing their angry selves staring back. Simple, but effective.

I hope you enjoyed it,

Sergio Navarrete

Apartment Marketing by Occupancy100.com

What are the three legs of Apartment Leasing?

Thursday, September 24th, 2009

Very simply, an apartment complex leases or fails to lease on three points:

1) Is it priced competitively to its market.

2) Are the apartment conditions and amenities offered consistent with the expectation of the renting demographic mix.

3) Socially, is the apartment complex suitable.  That is, is the complex a safe and happy place to live.

If any of these items get out of balance, management will struggle achieving or maintaining occupancy.

As an owner or manager, ensuring you are on your guard about the kind and quality of tenant is an important task.  This means monitoring the income statement for signs of other problems.  Checking the rent roll for hints of tenant issues (there is a strange connection between credit and behavior issues).

The Internet is big, but the basics still prevail.

Great Post by Scott Schneider – Is Your Internet Sales Strategy Broken? You Can Fix It in 20 Minutes.

Wednesday, September 23rd, 2009

I was recently in the market for a 2010 Honda Odyssey, fully loaded plus options.  My wife is expecting twins in February, and along with my 2-year old, we would soon outgrow our old vehicle.  The difficult decision to buy a (gulp!) mini-van was made; we settled on the Odyssey and figured out what options we wanted.  Being a member of the internet-savvy generation, I started by getting online price estimates from Autobytel.com and Edmunds.com and also researched what others were paying for the vehicle.  The only decision left was where to buy it.  I hope the next part will shock you into action…

I began by sending an email to twelve local Honda dealers, thinking I would find the one that offered me the lowest price and use that as a starting point for negotiations.  I was very surprised when only nine of the twelve dealers had valid email addresses listed on their website!  Even more shocking, of the nine dealers who got my message about buying a new car, only FOUR responded!  I replied to all four with a few clarifying questions, of which only three followed up.  I ended up purchasing my very expensive mini-van from one of those three dealers.

It’s amazing to me how quickly those three dealers increased their odds of making the sale from 1 in 12 to 1 in 3 by doing only the bare minimum of what is expected of any sales team.  Here I was, a prospect who had already done all his research, didn’t need a test-drive, didn’t need to discuss various options and features, and wasn’t going to take a long time haggling over price – and 75% of the dealerships I contacted never even got a chance to make the sale.   The similarities between purchasing a car and leasing an apartment are many.

Is your Sales team missing opportunities?  You should be able to complete these steps in 20 minutes or less to make sure you don’t have cracks in your Internet Sales strategy:

1. Review every page of your website to ensure the contact information (phone and fax too!) is up to date and that none of your pages are broken.

2. Test any automated contact forms on your website to make sure they work properly.

3. Send a test email from your website to each listed email address and make sure they work properly.

4. Clearly define whose job it is within your organization to respond to emails and how often the email inbox should be checked.

5. Clearly define a follow-up strategy for all email/internet prospects.

6. Determine how you are going to audit your organization’s adherence to Internet Sales procedures. This should include scheduled website testing from steps 1-3.

Don’t let your competition get the jump on you just because they remember to answer their email!

The original article can be found at: Multifamily Insiders

5 Great Apartment Marketing and Management Ideas

Wednesday, September 23rd, 2009

Hey everyone, after reading several reports provided by the National Apartment Association and the National Multi-Housing Council,  I have extracted some of the most valuable apartment marketing ideas and tips. They are listed in order of importance, and if done correctly will help you get more leads, double or triple applications, and significantly improve leasing success. I hope you enjoy!

  1. ALL marketing materials must have your main contact information (This means your online rental application and website address too! – see #2, #3): Let me explain this a bit further. Many people have the misconception that advertising and marketing are the same thing – they are not. It is true that successful marketing will pay huge dividends when advertising, but it is not the same thing. Marketing is the act of creating brand recognition and “buzz” about your company. So, when I say that all of your Marketing Materials must have your main contact information, it means that everything that you produce (news bulletins, surveys, signage, and of course your ads).
  2. You must have a strong Apartment Marketing Website: Your community website should be geared to both your current residents, while catering to new prospective residents. Here is a good example of an Apartment Marketing Website. Your website should have helpful information for your current residents, such as online rent-pay, resident work order request, community news, and a directory of local schools, services, shopping, recreation, etc. Most importantly your website should have well organized and direct sales information for your prospective residents. Floor plans, apartment amenities, discounts, maps/directions, and MOST essential every single page of your apartment marketing website must have a link to a web based rental application (see #3). Here is an example of an Online Rental Application.
  3. Apply NowA link to your Online Rental Application on every page of your Apartment Marketing Website and every single website advertisement: This point goes along with #1. An Online Rental Application will allow your prospective tenants to “contact” you and thus it is part of your contact information! All ads and other online marketing materials should include a link to your website AND a link to your online rental application. VERY IMPORTANT NOTE: If you have your own Online Rental Application, and it is not encrypted, you are liable! You are collecting sensitive renter information, and it is your job to keep that information SAFE!
  4. Respond to prospective resident leads and Online Rental Applications within 60 minutes of being received: Think about your potential resident leads and rental applications as milk left out on the counter. You only have so much time before the milk is sour and can not be salvaged. In our personal experience, Online Rental Applications responded to within the hour they are received, close over 50% of the time if they qualify
  5. Re-adjust office hours: It is a wonder why apartment leasing offices are open during “regular business hours” – 8am-5pm, it just doesn’t make sense. Why is this? After 3 years of research (over 700 Online Rental Applications, and countless leads) and compiling data, we have found that over 50% of leads and Online Rental Applications are received after 5pm! So this means that all of those leads and rental applications are not being responded to within the 60 minute time frame. Also, many people chose to look for apartments after work, after 5pm, and if your not in your office, you are losing leases. The office hours we suggest are 9am-7pm.

I hope you enjoyed it,

Sergio Navarrete

Apartment Marketing by Occupancy100.com

Great Article by Jen Piccotti – Resident Retention – Appliances

Tuesday, September 22nd, 2009

Houston, we have a problem

Houston We Have a Problem!

Hopefully, we all understand very clearly how critical the move-in process is for establishing a positive resident relationship from Day 1. However, in the hustle and bustle of the daily grind, an astonishing figure has come to my attention:

According to 2nd Quarter 2009 data from SatisFacts Research, only 73% of residents indicated that all appliances and fixtures worked properly upon move-in!

That means more than one-quarter of all new residents had an appliance or fixture that did not work!

Are we okay with this stat? I hope not, because unresolved issues at move-in reduce the percent of residents “very likely” to renew by one-quarter!

So, what to do? Let’s re-evaluate the make-ready inspection process. One tip I learned from Bill Nye is the concept of “walking right,” or “follow the wall.”  This means, for the final inspection, the maintenance team member enters the apartment and follows the wall to the right stopping to check each light switch, outlet, phone jack, window treatment, doorknob, appliance, light fixture, etc. Eventually, you end up at the front door again.

Rework is always costly – whether in time, materials, customer patience, or all of the above. Ensuring the resident’s new home is truly in move-in condition will be the first critical step in assuring the resident they have made the right decision in making their home in your community.

What make-ready inspection tips are effective for you?

The original article can be found at: Multifamily Insiders

New Occupancy100 Video

Tuesday, September 22nd, 2009

Hey everyone,

We have been working hard to  create as many helpful videos for you to enjoy as possible. Here is a video that explains our apartment marketing solutions, and offers a great overview on Tenant Lead Generation, and the Online Rental Application.

Enjoy!