As property management specialists for over 24 years, we’ve built up a wealth of knowledge about the benefits and pitfalls of owning investment property. This applies particularly to the increasingly complex laws that govern tenanting property. There are a number of traps for new investors, while long-time landlords need to be aware of the changes that occur. Both will benefit from tips to make life as a landlord more rewarding.
Whether it’s for peace of mind or strategies to help with your investment property, we can provide advice and information in different forms for property investors.
Here are three of Leah’s tips for owners
Renovate to improve yields but don’t overcapitalise. For new properties this will of course be difficult, although there are usually ways of improving your return. But you have to be prudent; if your aim is to maximise your return, then don’t overspend on aesthetics and hidden features that don’t attract extra rent. Do your sums first.
Insure to your needs. This is an essential step, with options other than just the loss of rent to consider that were previously not available. If you can’t afford a loss from the unforeseen situations that might occur, take the time to find the insurance that fits your needs.
Think about leveraging your investment. I see a lot of owners who don’t consider building on their investment. If you’re content with what you have as your nest egg, that’s fine, but it should be the result of a considered decision not to utilise the equity you build in the property to acquire another. A lot of our owners have done this over time; I’m not just talking about the active property investor, but rather people who started with one property, maybe their home, and then bought another a few years later. And that’s another thing … Be patient.
Clients of Leah Jay also enjoy access to further support and information through our Investment Services team. It is our way of helping owners get the most out of their investment. This includes working with them to plan and manage targeted improvements to their property to yield greater rental returns. Our involvement carries right through to when the owner decides to divest, i.e. sell their property. We do not sell property, but that enables us to provide independent advice in relation to the sales process.