What's the best way to maximise your property investment? According to Peter Blackshaw Gungahlin's Kristy McNickle, it's by hiring the right property management team and defining your needs and the needs of your property.
Establishing investing goals
"A lot of landlords don't necessarily think about their investment goal," says McNickle. "We sit down and find out what a client's intention is for the property." Property managers can then make a strategy "to help [clients] run their investment as a successful business."
People purchase an investment property for a number of reasons. They might intend to rent it out for an extended period of time, or they might just be going overseas on a work contract. Property managers work with them to determine their investment goals, and then design a customised strategy.
This strategy includes everything that needs to be planned and allocated over time, including benchmarks for one year, five years, or even further into the investment. McNickle explains, "because of our experience, property managers think of the things that landlords might not" – including tax depreciation schedules and bookkeeping that makes things easier at tax time.
Peter Blackshaw customers have access to a 24/7 online portal that stores all statements and invoices for our investors, as well as any photos and reports. This is particularly important for landlords who are overseas or who can't check in regularly for other reasons.
Improvement and renovation suggestions
Making the right changes is essential to maximising your investment. "We have the knowledge to understand what will increase the value of your asset and bring in high rents but not overcapitalise," says McNickle. "A fresh coat of paint, window finishings and floor coverings always get a better result, but there's also smaller things that can make a huge difference."
We have the knowledge to understand what will increase the value of your asset.
At the start of the relationship, property managers discuss renovations with the landlord, and then continue to do routine inspections. Property managers write very thorough reports and include photos of each room, so property managers can discuss and make discussions about renovations with investors.
"Property managers also have access to a lot of tradespeople who can assist in providing quotes and arranging repairs throughout the tenancy," explains McNickle. This is a major advantage to investors who might not live nearby or who need help making decisions about renovations.
Advertising and tenant selection
Property managers "give advice and facilitate the entire letting process from start to finish," says McNickle. That means finding the right tenants.
Letting a property on your own can be time consuming and difficult, but property managers know how to do it quickly and efficiently because they have a number of resources including access to a prospective tenant database and the ability to lead professional viewings.
The right pictures and a well thought out advertising can go a long way in attracting tenants, and property managers have professional skills when it comes to marketing your property.
Rent reviews and market knowledge
At Peter Blackshaw, our property managers are also incredibly knowledgeable in market trends. We know what properties are worth in any given area, and, according to McNickle, "we use that to plan rent changes and lease negotiations."
"Rent reviews should always be conducted a couple of months prior to the end of a fixed term tenancy," says McNickle, and it's essential that your property manager has a"good local knowledge of the market, not only the comparable properties and the rents being achieved, but the prospective demand as well."
Want to learn how to run your investment property like a seasoned professional? Reach out to the property management experts at Peter Blackshaw, including Kristy and her team at Peter Blackshaw Gungahlin.