The excellent fees Australia wide are indicative of a fragmented and very profitable service industry that has not changed
Property management companies by and large have bad press.
With many tenants resentful of treatment and many landlords being disenchanted with poor service.
The existing websites REA & DOMAIN raison d'etre is to service the owners of properties and their agents.
No one until now has focused much on the other half of the equation the tenant.
Therein lies the opportunity.
The real estate boom that has engulfed Australia is turning to dust in WA and the bust will move to all states as our two legged stool of an economy of flipping houses to each other using money borrowed from overseas and digging holes and flogging the unimproved contents fails and sends us into recession which will further shift power to the tenant in a change that no one working has ever experienced.
The old mantra of "List and Last" will be turned on its head.
There will also be opportunities for a RENT to offer end to end services to landlords who wish to self manage either directly or working with services such as XERO accounting.
At this stage of RENT's development it seems to me its about getting domination of rental traffic.
The early movers with data, infrastructure, the right software engineers algorithms and the computing power of the cloud which has not been affordable until recently will have distinct advantages over the incumbents.
If its RENT or someone else the old paradigm is in for a big shakeup in my opinion
RNT Price at posting:
28.0¢ Sentiment: Buy Disclosure: Held
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