The Advanced Rent Option (ARO) Launches National Rollout
The Advanced Rent Option (ARO), which allows licensed lettings agents to offer their landlords a year’s rent upfront as part of their full management service, is being rolled out nationally, after a highly successful pilot in the South East.
ARO is a game changer for the lettings industry, providing security and peace of mind at a time where both these commodities are in high demand and diminishing supply. Allowing agents to advertise and deliver a year’s rent upfront to their landlords, the ARO is a simple concept that has proven to be one of the most powerful landlord prospecting and lead generation tools available.
This unique offer enables agents to attract and retain more landlords, which in turn helps them to build a larger, long-term fully managed portfolio. Licenses are available on application and will be limited to 1% of the industry. Preference will be given to small-medium independent market leaders. A local exclusivity option is available for the right businesses.
Catherine Shinerock, Brand Manager of ARO Ltd comments: “This project has been two years in the pilot stage and it has proven to bring huge benefits to the lettings market, offering The Advanced Rent Option (ARO), which allows licensed lettings agents to offer their landlords a year’s rent upfront as part of their full management service, is being rolled out nationally, after a highly successful pilot in the South East.
“The response since launch has been beyond our expectations and we have been able to demonstrate that ARO is the holy grail of landlord prospecting and lead generation, attracting more landlord enquiries at a lower cost, than any other form of marketing.
“Now agents across the UK can stand out from the crowd by offering landlords something that no one else can. ARO is available for reliable, proactive and go-ahead agents, who understand the value of the ARO and how to use it to fast forward their businesses and grow their managed portfolios.
“We are looking forward to working with our ARO licensed agents to offer landlords a better, more secure and versatile service.”
Sanjay Gandhi, Director of Moss Property in Doncaster commented: “I wanted to look at ways to generate new landlords and thought that ARO would be the perfect product to do that. We have competitors in the town who offer a rent guarantee, but the difference with that product is they take a 35% cut and don’t really offer market value.
“My team has embraced ARO and it has been a great way to generate new landlords, as it’s been a conversation starter. Landlords are always interested in getting their rent payments upfront. One of the biggest concerns for landlords and agents is being paid, whether that’s the rent, or the management fee. So if I can have a product that looks after my landlords and looks after me, then it’s a win win situation.
“Since launching ARO a few months ago, we’ve grown our portfolio by around 3%-4%. I’ve got to highlight that it’s not for everyone. I’ve had many landlords who’ve said they like the idea, but are happy to have the rent monthly and go on our standard service. But we would not have been able to speak to that landlord if we didn’t have ARO in the first place.
“It’s been a great new business generator and has helped to bring more landlords into our standard service, as they know that with us, they can switch over to an ARO licence, should they decide they want it at a later date.”
Spencer Fortag, Director of Dockside Property Services in Kent and Landmark Estates in Canary Wharf commented: “In my 28 years in agency, ARO is the simplest, most exciting and dynamic idea I have seen. I’m delighted to have been selected for an exclusive local ARO Licence and I can’t wait to start using it to continue the growth and success of my agency.”
Agents will be offered either a local exclusive, or non-exclusive ARO licence and will be invited to express their preferences during the application process. ARO isn’t available to every agent – in order to qualify agents will need to demonstrate compliance with all industry regulations, show high levels of professionalism and have a real passion to grow their business and add value to the ARO brand.