Recent Buying Selling Lifestyle
Recent Buying Selling Lifestyle

How to settle in as a new landlord

15-Mar-2018
Written by Ashley Blake
As a landlord (as you would know!) you have lots of responsibilities and decisions to constantly make. From keeping a good grasp of your financial situation to making sure your insurances are always current, being a landlord can prove to be quite time consuming at times. Appointing a property manager will help ease this pressure and make the process of renting your investment property easy and stress-free.

Whether you are a seasoned investor or a first time landlord, knowing how to maximise your investment property is key to its success. Here are a few tips we thought might help you along the way…

1. Remember, your property is a business, not your home
When you make decisions about your property, it’s only natural to put on your tenant hat and imagine yourself living there. What would you want? How would you decorate?

The reality: If you’d really like to get the most out of your investment, you’ll want your property to attract the most diverse selection of renters possible So, keep your interior simple and standard, with a neutral background that will suit all tastes — not just yours.

2. Know your rights and responsibilities
Australian law has many regulations in place to protect you as well as your tenants. It’s crucial to familiarise yourself with these laws. Rights and responsibilities do vary by area, but the one requirement that holds true for all landlords is the assurance of the safety of your property, its appliances and other items.

While it may be tempting to visit your property when you please, your renters have a right to advanced notice before you can show up. It’s always best to contact your property manager first to discuss getting access and they will arrange this with the tenant on your behalf.

3. Let us do the work for you
Although it may be tempting to manage your own property, letting our team do the hard work for you such as tenant search, legal paperwork, inspections etc can free up your time immensely. Our team have years of experience in property management and the real estate industry and have the ability to foresee potential problems and nail them from the get-go.

4. Keep up repairs and maintenance
The upkeep of your property is vital for new landlords. This is directly linked to your tenants’ legal rights which concern repairs and maintenance under Australian law, so it’s important to fully understand what tenants are entitled to. There are certain upkeep issues — no hot water, for instance — that require immediate attention by law.

5. Don’t be afraid to raise the rent
Certainly, there’s always the risk of a good tenant moving out when their rent is increased. But if you don’t raise your rent when the market goes up and when your property manager advises to, you’re being unfair to yourself by throwing income away.

6. Don’t be buddies with your tenants
It’s certainly a day brightener to be known as the ‘cool landlord’. Sadly, personal friendships with renters almost always lead to the landlord being taken advantage of. Intentional or not, one of the most common issues will rear its ugly head — your tenant will expect leniency if he’s late on rent. You’re his ‘friend’, after all. Do yourself a huge favour and stay out of this uncomfortable position. Keep your relationship strictly professional.

7. Get landlord insurance
One of the most common misconceptions among new landlords is the assumption that their building insurance will cover them in the event of damage or loss of rent. The truth is, building insurance does not cover any rent default or destruction by your tenants, which is why it’s best to invest in landlord insurance.
Also, insure yourself for ‘acts of nature’, which can pose a real threat to your property value. Let’s face it, Australia is no stranger to storms, floods or earthquakes. Even if where you live poses a small risk, it’s much riskier to take the chance. So, sign up and save yourself the stress, and extra expenses.

Our team are always available to chat to if you have any questions regarding property investment and are here to help!

SOURCE – Based on an article from Budget Direct

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