Don’t let your investment property deteriorate
Allowing your investment property to deteriorate over time is a big mistake.
While in the short term it may be tempting to save money on regular maintenance, in the long run neglecting the property will prove very costly. Your investment is less likely to increase in value as much as others, the rental income will be lower and tenants will be less likely to respect the premises.
What should you be maintaining?
If you own a rental property, it pays to spend money on things like;
- quality locks
- security screens
- a fresh coat of paint
- floor coverings
- window treatments
- tap fittings
- contemporary tiling
- repairs to cupboards.
Many of these expenditures are tax deductible and will likely lead to higher returns.
A well-maintained investment property is also less likely to be damaged by tenants. Though rare, the best way to avoid destructive behaviour is to provide tenants with a property in top condition. Most tenants will keep a rental property in the same condition they found it.
You can also make things easier on yourself from the outset by purchasing a rental that is low maintenance and structurally sound from the outset, however even the best investment properties need regular maintenance and occasional upgrades.
Employing a professional property manager will also contribute to protecting your long-term returns.
Apart from collecting rentals and attending to tenancy matters, your property manager can access industry databases to check if a tenant has a history of significant problems, including non-payments of rent and property damage.
With slightly more than 50 per cent of rental properties managed by professional managers, investors who utilise this resource can achieve a real competitive advantage over rental properties managed privately.