As a property investor your main aim is to make money out of your property – whether it be through regular rental income or long term capital growth. However, some landlords overlook the key role that tenants can play in achieving both these goals.
Keep the place in good order
All investors dread a call from the property manager saying they need repairs done in the property – this means money that isn’t sitting in your bank account.
As a landlord, you have a legal obligation to keep the property in good condition, and frankly, responding to those repair calls promptly means minimising any further damage.
A leaking roof for instance can lead to rising damp. That’s going to be a lot more costly to repair than a couple of slipped tiles. Worse still, allowing a property to deteriorate could see the tenant taking matters into their own hands, and a few duct tape-driven DIY repairs could just mask an urgent structural problem.
The bottom line is to get onto repairs promptly. Better still perform 6-monthly maintenance checks – an ounce of prevention can be worth a tonne of cure.
Add value – it pays off
Look at your rental property from the tenant’s perspective. Is the old hot water heater a power guzzler? Are the taps the old-fashioned high flow variety that generate over the top water bills?
Increasingly, renters are recognising that energy efficient, eco-friendly homes may cost more to rent but this can be compensated for by lower utility costs.
Adding a few money-saving ‘green’ features to your rental property is an additional capital outlay but the pay-off may be lower tenant turnover, reduced vacancy rates and the potential to command higher rent.
Protect yourself – and your property from the unexpected
While it pays to look after your rental property, it also pays to be prepared against the unexpected. And that means having adequate landlord insurance in place. This is an area we can help, advising on the policy best suited to your needs.
In fact, many of us in the office are landlords and can provide expert advice and personal insights across a range of property-related issues.
Contact either Owun, Suzanne or Costa on 02 9517 1818 or email@example.com to discuss your options. Or, if you feel like dropping in at our office, we are located at Suite 106, Flourmill Studios, 3 Gladstone Street, Newtown 2042. Be sure to share our blog on Facebook and Twitter and let others join the conversation!