7 Tips To Increase Your Yield
If you want to optimise the return on your investment, it’s critical that you don't simply set and forget. Follow these 7 simple tips to ensure that your property is well maintained and reap the financial rewards achievable through a presentable asset:
1. Maintain your property to attract better tenants who will remain in place for longer reducing vacancy periods.
2. Be diligent with your tenant selection to avoid problems associated with bad tenants such as property damage, non-payment of rent, property neglect and misuse. A great tenant will take pride in the home and treat it as if it was their own.
3 - Conduct inspections regularly to highlight any problems or issues early on. Never rely on tenants to report faults or damage. Be proactive and inspect the property quarterly.
4 - Understand your responsibilities as a landlord. All maintenance and repairs, both inside and out is a landlord’s responsibility. This includes gas, electrical and plumbing. While gardens are generally the responsibility of the tenant.
5 -Maintain appliances. It is the landlord's responsibility to upkeep any devices included in the rental. Items can include ovens, hotplates, hot water systems, air conditioning, pool equipment, smoke alarms, RCD’s, garage doors and remotes to name a few
6 -Set a budget for larger improvements to ensure you have a safety net if needed. Multi-lot Strata developments will have a body corporate, who will take care of maintenance, this will be factored into the quarterly levies. For larger works, a special levy may be imposed.
7 -Employ a property manager. They are professionals in the field of looking after and maintaining properties, and in most cases their fees are tax-deductible. A good property manager will identify any red flags straight away and have access to an extensive range of trades that are trusted, reliable and cost-effective.
By maintaining your investment, you will ensure that the property is working hard for you, earning maximum dollar while holding value.