INTERVIEW | Wednesday, 28 November 2007

In the exception, the rule

It is said that after prostitution, realty is the oldest existing profession. Many are convinced that by using the services of either, one stands to get screwed. David Darmanin puts Mike Bonello to the test.

A prime location isn’t enough to guarantee the quality of a business outlet. On the contrary, it is likely for any operator that relies on passing trade, to discount the need of providing an outstanding service. An estate agency located bang on in Tigne is almost comparable to a tourist-oriented trattoria in the heart of Rome, with the location being so ideal that one can hardly expect much quality really. There are exceptions. Re/Max Tigne franchise owner Mike Bonello, is full of it… and it certainly does not exclude motivation, sensitivity to good quality service, drive and willingness to succeed.

Have you always been involved in real estate? What attracted you to this industry?
My first experience in business was actually in catering, which is what my family has been doing for years. When my father decided to close shop and retire seven years ago, I wasn’t exactly sure what would happen to my business career. As chance would have it, my mother was interested in selling off a Sliema property that was meant for development. I was only 22 years old then, but that experience helped me grasp an initial understanding of how it all works. By coincidence, I found myself marketing a property as well as dealing with contractors, developers and prospective buyers. I was then recruited as a property consultant in the letting department of an estate agency, where I worked for the two years that followed. After learning the ropes, I was offered to join Re/Max, also as a consultant. Actually, I was the first consultant to join the first Malta branch, at a time when not even a single property was listed in the database. In the last three years, I have kept the record of top consultant within Re/Max in Malta.

How did you eventually end up owning one of the branches?
I always dreamt of owning and running my own office. At Re/Max I worked in an atmosphere that allows such dreams to come true. I came across the opportunity to take over an office that was going to open in Tigne – a location I was always very interested in. The rest is history.

Why is it that estate agents in Malta have such a bad reputation?
This is slowly changing. We are now earning respect from current and prospective customers coming from different sectors – be it in construction and development, in business or private. But yes, it is true that in general, estate agents aren’t very respected in Malta. This did not come about by coincidence. Finding my team of 14 consultants was no easy task. Very often, people attracted to this profession would have already dabbled in other types of business. This happens for various reasons, but mainly because when you work within a self-employed structure you get used to earning high enough salaries in accordance to your capabilities. When one gets accustomed to this system, it is understandable that fitting in a steady-wage-structure in employment is difficult. Many people who would have been formerly involved in business find the prospect of joining an estate agency quite attractive. I cannot deny that the real estate industry has attracted some serious drop-outs – effectively people who would have already had a bad reputation before joining. We have been lucky enough to come across people who have contacts, experience, are thick-skinned, resourceful and possess a host of skills and capabilities. I also make sure to balance out the team with a minority of consultants that are new to the industry. This melange of resources works out well because while there is a lot to learn from the senior consultants, the “younger” ones rub off new energy, creativity and freshness on the rest of the team. Turnover is negligible here and my team is very happy and motivated. With regards to training, we use an American system which has worked out well so far. Twice a year, we bring in foreign trainers while local ones keep educating the team throughout the year. The branch manager and myself ensure to value our team, recognise their efforts and of course – reward them for good results. We set hefty targets on our consultants when we opened. Seeing that we have exceeded them within the first year of operation, I will be taking all of my team on holiday to London in a couple of weeks time. It is in this give-and-take spirit that we operate here at Re/Max.

Do you agree that when working with people you automatically stand to be let down? If so, how do you prevent it?
It is true that even when you have strict recruitment policies, you cannot always guarantee that you will never be let down. What I can say is that there was never one incident in which our customers were fooled, and it can hardly ever happen. Either myself or the branch manager are always present in negotiations. We are physically there with our consultants for all second viewings. This not only shows our consultants that we care to help them out, but it keeps us fully informed of the goings-on of every single deal, in a hands-on way.

What areas do you think are the most lucrative in real estate? What do you focus on at Re/Max?
Each consultant is asked to focus on one of three sectors – first time buyers, second home buyers or up-market investors. The latter is of course extremely lucrative. We have been blessed with a location that allows us to be very productive with properties at Tigne Point, Portomaso and Fort Cambridge among others. That said, although the reward-per-sale ratio is significantly high with expensive properties, one cannot expect to sell one every hour. Cheaper properties expose us to greater quantities. Small-time sales keep the ball rolling simply because we make more of them, more often.

Let’s say I’m looking for the services of a real estate agency, why should I choose to use your office, and not any other?
This is easy to answer. Besides employing the best consultants, we happen to be the most successful office out of the eight Re/Max branches based in Malta. Re/Max Malta is the best selling estate agency out of all others. Internationally, Re/Max is the largest. The conglomerate owns 6,500 offices in 60 countries – employing over 120,000 consultants. Every property listing is featured in a common international database, with every consultant having access to it. It is virtually impossible to have this type of exposure if you list your property with other estate agencies.

What are your plans for the future?
As an office, I will continue doing my best to keep our consultants happy and on the ball. This way, I can guarantee to keep the status of best-selling office. For the longer term, my aim is to secure the largest national market share portion for my office.