How Property Managers Maximise Your Investment Potential
If you own an investment property, one of your key decisions is whether you will self-manage or hire a property manager. Here’s how hiring a professional property manager can maximise your investment potential and help you achieve your goals.
1. Set The Right Rental Price
Setting the right rental price for your investment property is critical to its success. This figure impacts when your property is leased, what quality of tenant it attracts and what returns you achieve. Too high and you may experience extended vacancy periods, too low and you may secure tenants who are unable to renew their lease if the rent is increased, which affects your rental returns.
Hiring a professional property manager ensures that you set the right rental price for your property. Skilled at keeping abreast of local market trends, conditions, demographics and demand and comparable rental properties, they can determine the best rental price for your property. Having this local market knowledge also helps them advise on in-demand upgrades that could boost your property’s appeal, allowing you to charge a higher rent and attract a higher quality tenant.
2. Secure High-Quality Tenants
Securing high-quality tenants is key to achieving your property investment goals. Generally, good tenants rent long-term, pay their rent on time and take care of your property. As an investor, this means less vacancy and arrears and higher returns and stability.
A professional property manager is skilled at attracting and retaining high-quality tenants for your investment. They know how to market your property with your target tenant in mind, conduct thorough tenant checks and maintain a good relationship with your selected tenants. This expertise can result in less tenant turnover and a well-maintained property.
3. Conduct Property Inspections
As an investor, making sure that your property is taken care of is a top priority. A well-maintained property not only means it is always looking its best but can save you money.
A professional property manager conducts regular property inspections to ensure that your tenants are taking care of your property. Carrying out this process helps identify and repair any maintenance issues before they turn into larger, more expensive problems. A property manager also advises on preventative maintenance and upgrades that could boost your property’s value and keep your tenants happy.
4. Manage Rent Collection
When it comes to your investment property’s cash flow, consistent rent collection is vital. Receiving your rent on time each month ensures that you earn income from your investment each month and can pay your loan repayments on time.
Engaging a professional property manager means that your rent is always collected on time. They follow comprehensive policies and procedures to make sure tenants pay each month. In the event that your tenant delays the payment, a property manager imposes an arrears policy. If your tenant still does not comply, a property manager will enforce an eviction procedure. Having these policies and procedures in place gives you peace-of-mind as the landlord knowing that your investment property’s cash flow is in safe hands.
5. Understand Legislative Requirements
As a property owner, you must comply with strict legislative requirements in all dealings with your tenants. If you are self-managing, staying up to date with these constantly changing laws can be difficult and could result in costly breaches.
Hiring a professional property manager means that it is their job to know the latest legislative requirements and must inform you of your legal responsibilities as a landlord. As part of their role, they must also ensure that relevant laws are followed by all parties, so you and your tenants are protected at all times. Having a property manager stay across this task can save you stress, time and money.
If you are looking for a professional property manager to maximise your investment potential and help you achieve your goals, contact us.