Melton The top investment choice for most Australian’s is property investing. Reason being is that the value of property is almost guaranteed to increase over time. Think about it, why would banks allow you to borrow up to 80% of the property’s value when buying? Think about it… the Australian Banking system is basically built on the continual growth of residential property!
In saying this, being a landlord is of course not for everyone. Being a landlord can be very stressful at times and you definitely need to know what you are in for before making the commitment. I would recommend that employing a property manager is the first step to building a successful property investment. Yes you will need to pay for a property manager but in the grand scheme of things, they could potentially get you higher rental returns. They are experts in the property market so it’s best to trust their judgement.
When choosing your property manager don’t just go for the agent with the cheapest fees. Do your shopping, get opinions from a number of property managers before deciding on one. You are trusting them with your investment, so you will need to feel comfortable knowing that they have your best interest at heart. Look at more than just the management fee figure. Ask about their systems and operations in place.
– How do they screen potential tenants?
– How do they take care of maintenance?
– How will they advertise your property? Will it attract the best possible tenants?
– How will they pay you?
Before getting into the property investment market, know what your rights and obligations are. It is as simple as jumping on the consumer affairs website:https://www.consumer.vic.gov.au/renting you must know what you can and cannot do by law when you are a landlord.
Have your property presented to attract the best tenants possible. Good tenants will not settle for anything, they will want a home that is the cream of the crop. They will be comparing homes, so if yours is presented better than your competitors, the better of the tenants are more than likely to apply for yours.
Landlord insurance, is it important and who should I go with? Bond yes will cover small damages by tenants so it is highly recommended that you do have landlord insurance. Look around for companies that best suit you. Professionals Melton recommend AON Landlord Insurance: http://www.aon.com.au/australia/associations/api-gold/landlords-insurance.jsp
Do some research with the area of the property you chose to invest in. What is the rental return like for the area, is there a high rental demand etc.
If you are interested in investing, chat to one of Professionals Melton’s friendly agents today! 9743 6400.
