Why investment
Investment in property is one of the most stable forms of growing your wealth. Whilst markets change, and prices of property rise and fall, the cycle always continues. The key is to buy when the market is down, and sell when the market is up – this will almost always guarantee a return on your investment. If you would like to grow or start an investment portfolio, talk to your local N7 Real Estate Agent to find out more about what options there are for investing in property.
As an investment property owner, you want to know that your property or properties are being managed by a team of professional, ethical and caring people. This is what N7 Real Estate strives to achieve for all of their investment property owners (Landlords). N7 Real Estate can offer you a personalised service, from purchase through to finding a quality tenant who will treat your property as their home. We pride ourselves on quality of service.
Property management is an industry that undergoes legislative changes constantly, so it is important that you can be assured your investments are being managed by people who are informed and follow the right procedures to get the maximum return for you. By choosing N7 Real Estate, you are choosing a Property Management team that is fully trained in all aspects of property management and who understand the obligation of landlords and tenants.
We have outlined a few key points for you to consider when choosing a managing agency for your investment property/properties.
Selecting the right property manager
Selecting the right property manager is one of the most fundamental decisions you’ll make and can make a difference not only to your overall returns, but also the enjoyment of your investment.
Over the last few years, property management has undergone a significant transformation, from simply a rent collection service, to a dynamic investment management and service system. This changing scene has brought about the need to appropriately manage new legislation and the consequences to ensure fairness for both owners and tenants alike. This includes, in some regions, the Strata Titles Act, Residential Tenancies Act and deregulation of fees charged.
It is important to realise that together with the legislation comes a greater onus on owners and agents to follow the requirements of these laws.
Now more than ever, it is prudent to ensure that your property is professionally managed by entrusting it to a manager who is trained, experienced and equipped to meet these ever changing needs.
Property managers work within a licensed Real Estate Agency. It is therefore the agency owner who is ultimately responsible for the property, so it is essential you choose a reputable name you trust when selecting the business for management of your property. It’s a big decision that creates a medium to long term working relationship and you need to feel comfortable with the company you’re dealing with. Rest assured, when you choose N7 Real Estate, you will be joining thousands of happy Australasian property investors and owners who have put their faith and confidence in us to professionally manage their property.
Our property management services
Once you have entrusted a N7 Real Estate agent to manage your property, you will be exclusively authorising that agency to act on your behalf. We will then appoint experienced property managers, who will be responsible for the day to day management of your property and tenancy.
Your property manager/s will act as guardian/s of your property and will provide a range of ‘personalised’ services that all include:
- Professionally screening and selecting tenants
- Providing a detailed explanation of the owners/tenants rights and obligations
- Receiving rents and issue receipts
- Arranging for repairs and maintenance to the property
- Paying of accounts such as water services and council rates
- Processing any insurance claims that may arise
- Exercising the owners/tenants rights to terminate leases and tenancies
- Reletting the property at the end of each tenancy in the event of a vacancy
- Preparing and checking the property’s inventory
- Doing all such lawful things as may be directed by the owner in writing from time to time
- Professionally and accurately reporting on the condition of the property at the inception, during and end of each tenancy
- Such authority is given for a period of time and thereafter until 30 days written notice is given to terminate the management by either party.
Finding a tenant for your property
When you buy an investment property, or rent your home, it’s important to secure long term tenancies where possible to maximise the investment returns. As your selected agent, we will use all our experience, knowledge and data resources to find you a suitable tenant in the shortest possible time, who will treat your property as well.
A good quality, long term tenancy proposition is far more attractive, than constant turnover in tenants.
OPEN HOMES – With the increasing demand for rental properties, your property manager may suggest opening the property at an agreed time to ensure a sufficient pool of candidates view and apply for the property at one sitting.
ADVERTISING – Your agent is constantly monitoring the best medium for advertising your property, for the purpose of attracting a suitable tenant and ensuring the best result for your dollar.
To ensure that your property is leased to the best possible tenant, your property manager will select the most appropriate medium to promote the vacancy, which may include website advertising, print media and office rental lists.
Your property may be advertised in all or some of the following:
- Rental search websites
- “For Rent” classified sections of newspapers
- “For Rent” signboards
- Office window displays
- Brochures distributed from the agency
- Email newsletters distributed to the agents mailing list
- N7 Real Estate inter-office referral system
- An accurate account for the advertising costs is submitted at the commencement of each new tenancy, as these costs are tax deductible.
Your responsibilities as the owner
Owning an investment property is one of the most popular methods throughout Australasia for acquiring wealth.
However, you’ll need to be aware of the sorts of responsibilities that you will have as an owner. The most obvious responsibilities are:
- To provide the premises in a reasonable state of cleanliness and repair having regard for the age, character and prospective life of the property.
- To comply with all requirements in respect of health, building and safety laws in so far as they apply to the premises.
- If you are the handy type, you may wish to carry out some repairs and maintenance yourself to the required standards.
- The owner is responsible for ensuring that the property is kept in good condition. Some expenditure incurred for repairs (not of a capital nature) can be an allowable tax deduction against rental income.
How to set a fair rental price
Setting a rental price is one of the most critical decisions you will make as the owner of the property. Your N7 Real Estate property manager is best qualified to assist you with determining a fair market rental value for your property.
The condition of the property must be considered when assessing rent. Location of the property is also relevant, as is the length of term offered.
Some owners make the mistake of setting the rent too high and consequently not attracting a tenant. This will waste your advertising dollar, along with the loss of potential rent whilst trying to secure a suitable tenant willing to pay the higher rate.
We hope you’ve found value in the information provided. Please note that this information is intended as a guide only. N7 Real Estate companies, members, directors, offices and employees do not give warranty as to the accuracy, reliability or completeness of any information provided on this website and shall not be liable for any loss or damage suffered as a result of anyone relying on information provided. N7 Real Estate recommend you seek independent advice from your own real estate, financial, taxation, and legal advisors before entering into financial or other transactions.