Following the global credit crisis and near collapse of many international markets together with numerous financial institutions, credit providers have been forced to carefully reconsider there existing credit lending policies and are forced to implement new stricter credit lending criteria.

This change in credit policy has of course impacted the property market as is also the case in many other markets causing an anticipated shift in focus from property sales, to property letting.

In analysis of this trend from sale to letting, we note that many property investors will need to consider property as a long term investment in line with international trends with a minimum ownership period of at least 3 – 5 years.

The Need

Long term property ownership presents new challenges for investors to consider, challenges such as the need to generate income through tenanting to cover investment loan repayments together with property maintenance to protect their investment.

This need forms the basis for the NOWLETTING business practice, a practice that is both necessary and essential to property investors to insure that their property investments continue to achieve long term capital growth supported by income through tenanting.

A Sustainable Business

Effective property letting services and professional property management presents benefits for both the letting agency and property owners alike. These include a sustainable business opportunity for the letting agency by securing new tenant rental income and further by maintaining the properties to ensure good capital growth on their owner investments.

Having experienced this need for property letting services in our own experience as NOWLETTING it is readily noted that professional service delivery is a skilled business that when operated correctly can deliver a strong sustainable business.

When compared with other business types or other franchise opportunities, letting and property management presents a strong case as a preferred business venture given the low capital risk involved, with no bank loans or financing required, and no investment in expensive product, equipment and premises.

The Further key to the NOWLETTING business strategy is focused on Annuity income, income which will be compounded as each new property is added to your letting portfolio. This strategy is key to our success as in any other business types your income may vary from month to month based on sales and this poses potential problems for any business owner to meet month end financial obligations.

A Specialized Business

Letting is a specialised service and when operated correctly can deliver fantastic results. An interesting trend developed that saw many real estate agencies convert from sales only businesses to a combined offering of sales and letting services.

This trend obviously developed as a result of less property sales in a down turned market and a need to sustain there businesses under difficult trading conditions.

This practice has been in operation for approximately two years and in this time many agencies have either slowed down on there rental property activity or stopped completely.

Building in Isolation

Building a new business on your own takes a lot of hard work and dedication, many new business start-ups often start out with good intentions but end up loosing momentum due to lack of the right know how, business skills, technology and training, which means they end up making the wrong choices and implementing expensive mistakes to try a rectify various problems that they may be experiencing.

The internet as a Trading Portal

The advent of technology has changed the face of many businesses over the past few years and the housing market is no exception. People looking to rent or buy properties are more often than not to be found browsing the internet from the comfort of their own homes. In fact, statistically, less than 5% of modern day sellers, purchasers, landlords or tenants set foot inside a traditional estate agency office! Given this shift from office to internet super highway, the way that properties are advertised for sale or rent has also changed!

Strong internet presence with extra details such as floor plans and 360 degree photography is far more important and has far more impact than the traditional static photograph in the agent’s window or local/regional newspaper. The internet is our 24 hour, 7 days a week shop window with the majority of enquires now coming directly off the website and via well established property portals.