Posted by ME/NJ on 11/2/07 9:25am
Msg #219420

Gas prices and fee's

When business was great and gas prices were 3.20 and up I had increased my fee to cover the gas cost and told my clients when it falls below 2.xx I would return to my normal rate.

Now that the market is slow and prices going back up again I am not sure I can increase the price of service without risking the loss of work now. Not like we make tons of money doing this to begin with.

3.20 is my limit anything above that I am forced to review cost per signing again, the last time this happened I reduced my coverage area to reduce expense and time. It did work out better then I thought.

Now that I reduced coverage area (plus SS and TC are using agents closer to the job now) not many places I can trim the "fat" lol

Reply by maddieNJ on 11/2/07 9:53am
Msg #219429

I agree. I'm thinking of doing the same thing. Doesn't help I have a gas guzzler SUV. How far are you going these days?

Reply by CF on 11/2/07 10:40am
Msg #219441

That is the thing too.....I have opened up my area of coverage to still make $$$$. That means farther to drive. I am not having a good feeling today is the 2nd and not 1 call and nothing on the books for next week.

Reply by Karen/OK on 11/2/07 3:19pm
Msg #219483

After how many miles do you start/increase your mileage fees?

Reply by Phillip/TX on 11/2/07 3:24pm
Msg #219486

My base rate is for up to 40 miles, after that I increase.

Reply by LJ on 11/2/07 3:51pm
Msg #219491

Is 40 miles round trip or 1 way?

Reply by Phillip/TX on 11/2/07 3:56pm
Msg #219492

40 miles one way... memer I am in Rural East Texas... 40 miles barely gets me to next town... LOL but if they want me to do it, they pay.

Reply by BetsyMI on 11/2/07 4:03pm
Msg #219494

I have one fee for 0-30 miles one way, from there on up it's negotiable.

Reply by Karen/OK on 11/2/07 4:04pm
Msg #219495

Then you probably have a higher base fee than those of us in populated areas. I've been working on adjusting my mileage fees all morning but can't decide on what a good limit would be. Anyone else have suggestions?

Reply by Lee/AR on 11/2/07 4:52pm
Msg #219505

I factor in 'drive time'. It isn't just about the mileage & cost of gas.

Reply by BrendaTx on 11/2/07 6:46pm
Msg #219522

I'm very familiar with Phillip's area and he's so right. About 40 min. to the nearest Wal-mart in either direction if I remember correctly. There's Center in one direction and Nac and Lufkin in the other.

At first when I looked at that 40 miles I thought, "Huh?" and then I realized that Nacogdoches is the only sizeable town within that radius. Beautiful area...just not very populated.

(My grandma's little house was on Magnolia St.)

Reply by ME/NJ on 11/2/07 5:42pm
Msg #219510

avg round trip is 30 - 40 miles

But as Lee mentioned 15 mile trip in NJ could take you an hour one way during rush hour. About 60% of my closings may fall between 3-6pm.

Before gas prices went up I would travel 60 miles one way, this caused some problems when docs would be late and I had other appointments lined up.

Now I service parts of Monmouth, all of Ocean and parts of Burlington counties. I try and keep it all Ocean county and someone covers me on my days off and I cover Monmouth on her days off.

Reply by Karen/OK on 11/2/07 6:40pm
Msg #219519

Re: avg round trip is 30 - 40 miles

Your points are well taken. Thanks for your input. It has helped in my decision.