GOOD MORNING FROM ELITE AGENT 👋

Ever wondered why that listing down the street is priced at $499,750 instead of a clean $500,000? There's psychology at work. Research from Janiszewski and Uy reveals that precise pricing creates a powerful anchoring effect – buyers adjust their expectations less when faced with specific numbers. When shown a precise price, participants valued a property at $784,671, while those given round numbers estimated only $751,867.

The precision principle works because it signals thoughtful valuation rather than arbitrary pricing. That oddly specific number suggests comprehensive market analysis, detailed comparables, and careful consideration of a property's unique attributes. It communicates to buyers that you've done your homework down to the dollar.

In today’s edition of The Brief

• How radical transparency helped Mike Drennan grow a rent roll by 400% in under a year

• Why communication, not complexity, is the key to retention and long-term stability in property management

• What AI agents creating their own social networks reveal about the future value of human connection

Today’s read time: 7 minutes, 6 seconds

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PROFILE

From two contacts to 400% rent roll growth

When Mike Drennan arrived in Adelaide in December 2023, he knew exactly two people. Less than a year later, his rent roll had grown by more than 400%. Here's how transparency and relationships made it possible.

Starting over with nothing but a strategy

After building one of South Africa's most successful independent agencies – 45 agents, commercial and industrial expansion, market-leading profitability – Mike made a decision most agents wouldn't consider.

Rather than chasing sales commissions, he purchased a rent roll as his entry point into the Australian market.

"I just dove straight in," he says.

By April, just four months after landing, he'd closed his first acquisition. But here's what made it work

The conversation that changed everything

Mike's approach to his first vendor meeting was unconventional. Rather than projecting confidence, he led with radical honesty.

"I told them straight up, I've just landed, I don't fully understand the market yet, and I don't even know if what I'm buying is fair value."

"The energy changed immediately."

The result was zero lost managements in the first 12 months. The full article reveals his exact approach – and why most buyers get it wrong.

Why communication beats complexity

"Lack of communication or poor communication causes most problems in this industry," Mike says.

His retention philosophy extends beyond landlord relationships to something most property managers overlook entirely. What he learned about managing expectations – even when things go wrong – could change how you approach every difficult conversation.

What you'll learn in the full article:

• The transparency framework: How leading with honesty in acquisitions builds lasting trust

• The win-win principle: Mike's non-negotiable deal philosophy that protects both parties

• Network building from zero: The specific groups and connections that doubled his portfolio organically

• The long-term play: Why rent rolls create stability that sales alone can't match

Mike's story proves that starting over doesn't mean starting from nothing.

Read the full article here.

ICYMI, yesterday we found out how family loyalty can become a business trap

RBA DECISION: EXPERT COMMENTARY

RBA lifts cash rate as inflation stays hot

The cash rate now sits at 3.85% after a 25 basis point hike – a sharp shift from just months ago when the conversation was about cuts. On a $600,000 mortgage, that's roughly $94 extra per month. Economists expect price growth to slow through 2026, particularly in Sydney and Melbourne where buyers are most sensitive to rate changes.

TECH

AI agents build their own social network

Elite Agent founder Samantha McLean explores the viral phenomenon of Moltbook, where 1.3 million AI agents created their own social network. "They're reproducing the internet they were trained on," she explains after investigating agents who launched memecoins, formed religions, and even faked credentials. With one AI agent skipping ahead to "Day 47" on LinkedIn after just one post, her analysis of what this means for authentic human value online is worth a few minutes.

HOW IT SOLD

12 offers in seven days on Belmont North home

Lisa Borstel's multi-channel campaign attracted 50 groups to the open home. The three-bedroom house exchanged in seven days – against a suburb average of 29.

Read the full story

This story started with a 10-minute phone call. Imagine boosting this on socials to your farm area. getailsa.com

CELEBRITY HOMES

Hulk Hogan's beachfront mansion lists for $11M

The wrestling legend's Clearwater retreat – a three-storey Italian-inspired mansion sitting right on the Gulf of Mexico – is now up for sale at $11M. Inside, you'll find five bedrooms, a grand double staircase entrance, and a primary suite that spans 1,000 square feet with panoramic ocean views. The two-storey, rounded glass walls facing the beach? Yeah, you'll want to see those.

MOVERS + SHAKERS

Patrick Lang named Partner at Belle Property North Shore

The rebrand unites offices in Lane Cove, Hunter's Hill, Lindfield, Willoughby and Ryde under one banner, with Lang bringing 15+ years experience and 515+ property sales to the leadership team. More here.

Nicole MacGee returns to The Agency

She's been appointed as Head of Operations for the Property Management division in a newly created role supporting their portfolio of over 12,000 properties. More here.

Anthony Butler joins FOUNDIT as Senior Buyer's Agent

The experienced property strategist will leverage the platform's research tools and analytics to support buyers with market insights and negotiation expertise. More here.

Success doesn’t rest on weekends! 
Get the latest on top agent and agency moves every Sunday with our weekly roundup in Movers & Shakers. Subscribe now.

AGENTS ON SOCIAL

You can buy or sell a house without an agent. You also can also buy sushi from a petrol station.

Both are technically possible; neither is recommended.🍣🏠

Seen an Agent On Social we should include? Let us know here (email link)

Wishing you a productive day!

Elite Agent is the definitive platform for ambitious agents and industry players. Thought Leaders is the weekly show where top operators reveal how they’re reinventing real estate. AI-Powered Agents is your playbook for deploying AI that sells homes and scales teams.

Elite Agent is crewed by Mark Edwards, Catherine Nikas-Boulos, Rowan Crosby, Charmagne Arrubio, Iris Rebello and Samantha McLean. We aim to uplift the real estate industry by delivering forward-thinking, hype-free news and education that fosters knowledge and fuels ambition.

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