Pros and Cons of RNT - Dog or Gem?, page-22

Certainly Marv we are all susceptible as Anaïs Nin said:
“We do not see things as they are, we see them as we are.”
But the good thing is we both believe the stock of rental housing units is in the region of 3 million!
But diverge as to composition, importance and breakup between self managed and real estate agent managed.
In my view I would rather be swayed by the rivers of gold and accept that the in small dividual taxpayers are recipients of rental income currently in the order of $40 billion. ( Based on the ATO data for 2013 ) Now that is a pie to have a piece of.
A couple of points regarding ATO data, many of those taxpayers have two or more properties and the composition of commercial/industrial/retail properties held by individuals are fraction of a fraction of income producing property held by individuals.
That type of property is more the domain of companies trusts and superannuation funds.
But back to if rent can make a quid.
You believe the privately personally managed market is insufficient to make a quid and rent will struggle and the existing market structure will remain pretty much unchanged.
I don't.
As I said previously and no one seems to want to grasp the nettle a once in a lifetime shock is heading the way of real estates agents management of residential property.
The owners of rental property resent by and large the fees they pay for the service they receive and tenants are even more resentful and the moment they get treated with any kind of respect they will run with that business.
A business focusing on those ignored in the transaction, the renter with todays sophisticated algorithms, data and analytics is going to take a big stick to the incumbents in my view and as they develop into a very low cost service provider assisting owners to self manage with say other services such cloud accounting etc etc then a remorseless erosion of agents income will take place.
This process will have a fire put under it as owners of rental property get torched as our property boom turns to dust and face falling rents and high vacancy rates, as is occurring now in Perth.
The owners will turn antsy and go with low cost service providers and the renters who have basically been told to eat sheet as second rate people will go to a business such as rent.