Being a landlord is no easy task. You have to find and manage the right property, set it up correctly and have tenants pay rent on time. But don’t let this responsibility overwhelm you; we have 6 simple tips that will help landlords better manage their property to make the responsibility simple, efficient and seamless for both themselves and their tenants.
1. Do I need a Property Manager?
While some landlords choose to go it alone and manage their investment property, putting it in the hands of a professional makes sense. If you’re going to manage the property yourself, it’s important to know what you can and can’t do and, just as importantly, what to do when things go wrong. That can be quite a lot of responsibility! Not only will using a property manager (usually a real estate agent) free up your time in handling the day-to-day concerns (i.e lease agreements, routine inspections, bond matters, rent collection, vetting tenants, organising repairs and maintenance), they’ll also ensure you comply with all the relevant rules and legislations.
2. What are my legal responsibilities?
Understanding your rights and responsibilities as a landlord is essential to ensure you don’t land yourself in a very costly and potentially embarrassing situation. Consumer Affairs provides a great breakdown of the responsibilities of tenants, landlords and agents and is a great starting place for first-time landlords.
3. Administer the bond correctly
It’s advisable to collect a bond upfront against any future damage or loss of rent from prospective tenants. However, a landlord can’t hold this bond themselves – it must be lodged with the appropriate residential tenancies bond authority who will hold the bond throughout the tenancy. A bond can be held against any damage to the property, but cannot be held against “fair wear and tear”.
4. Look after your tenants
Good tenants in rental properties are worth their weight in gold, as they will take care of your home and constantly pay their rent on time.
The important thing is to not rush in and accept the first prospective tenants you see.
Take the time to sit down with them, and review their application. You should request that they include: photo identification, any reference letters which can be from previous landlords and employers, payslips to show proof of a steady and sufficient income and a deposit ledger, which shows a history of their rental payments (only available if they’ve rented before with a real estate agent).
5. Regular inspections are a must
Landlords should conduct routine inspections of their properties to make sure the investment is being looked after and no maintenance issues go unnoticed. You may feel uncomfortable with entering someone’s private space, but it’s essential for maintaining peace of mind that your property won’t suffer any damages or wear and tear as a result of neglectful tenants. Be proactive about checking up every 6 months; you’ll quickly notice if anything has changed since last time.
6. Find trustworthy tradespeople for the jobs you can’t do
Build good relationships with professional tradespeople. You will need them to respond quickly when there are urgent repairs as well as complete good quality work at a reasonable price. A good property manager should have a list of professional tradespeople otherwise a Google search can always help.
Here at Cornus Developments, we know the process of becoming a landlord is complicated and takes time. It’s important to do your research so you can be sure that your investment property will bring long-term success for both you and your tenants. We want to help make it easier by providing quality apartments in prime locations with excellent amenities for your tenants. If you would like more information on any of our available properties give our sales team a call on 1800 267 687 today to discuss the range of 1,2 and 3 bedroom apartments available.