Think with your Head, not your Heart
When you’re buying an investment property, you got to keep reminding yourself this isn’t your dream home. It’s a ‘brick and mortar bank account’ that ideally needs to increase in value for you, so you need to take into account a number of strategic factors to ensure it’s a worthy investment.
One of the first things to look for, and who doesn’t love a quote from ‘The Castle’, is “Location, location, location!”
Here’s some location tips:
- Buy in an area with a strong demand for rental accommodation so you know your pad won’t be sitting vacant (think of proximity to work precincts, universities, hospitals and the like)
- Being close to public transport hubs is always a positive factor
- Ensure there are conveniences such as shops, restaurants, post offices and so on nearby
- Expanding areas normally have new infrastructure and amenities in place to accommodate the rising population. Hence they attract a lot of investors.
Preparing your Property to Rent – Make a Good First Impression
When you’re renting your place out, you want to attract the right people to live in it. You want to make a good impression right out of the blocks, so placing a priority on presentation is important. Here’s how:
- Spring clean inside and outside as much as possible
- A fresh paint job can really create miracles
- Mow the lawn, mulch the flower beds and trim the trees
- Take care of minor maintenance issues – cracks in the walls, broken blinds, loose taps and so on. When you show you care about your property, you’re more likely to attract a tenant that cares too
- Put a bunch of flowers on the kitchen benchtop. When you lock in your tenants buy them some chocolates. If your tenants feel valued and respected, they’re going to want to stay longer.
Marketing your Rental
Tenants who pay their rent on time, keep your place tidy, stick around for a few years… sounds like a dream, right? Well, they’re out there! We just need to find them, and by marketing your property right, it can be done. Here’s some things to think about with this:
- Professional photography portrays your property in the best light possible. We always recommend getting this done, it’s a small investment for the professional shine it gives your listing
- Your rental price has to be comparable to other similar properties in the area. Price it too high and you won’t attract any interest, too low and you’ll get the wrong kind of tenant in
- Ensure your rental is being marketed through the right channels so that it is seen by the right people
- Have the right property management team to sift through the applicants and find the perfect match for you. Say hello to Queensland Lifestyle Real Estate! Once your perfect tenant is in, we’ll do our best to keep them there by building a solid relationship with all parties. Then you just need to sit back and watch the rent come in.
As well as building and contents insurance, landlord Insurance should be one of the first things on your checklist. This one is definitely a no-brainer, for the simple reason that we just can’t predict the future or the curve-balls of life. Landlord insurance will protect against financial loss from:
- Unpaid rent
- Tenant theft
- Malicious damage
- Absconded tenants
- Death of a tenant
- And many more!
Know Your Rights
Investing in Queensland for the first time? Brush up on your tenancy laws here, because every state has different laws when it comes to renting. This site gives a good summary of them: www.rta.qld.gov.au/About-the-RTA/Legislation
If you need to know anything specific, please give us a call. We’re always happy to help!