When you invest in property, you do so with the hope that, in the long-term, the rental payments and perhaps an eventual property sale will outweigh the original investment cost and you’ll earn a substantial sum of money as the end result. If you want your investment property to yield great returns, proper maintenance and management are essential. A poorly cared for investment property can quickly depreciate in value and become a poor investment overall. Use these tips to make sure your investment is handled well.
Hire someone to help you out.
In the long-term, taking care of an investment property can be a big ask. You may not have the time, energy, or will to deal with every electrician call-out, maintenance issue, or plumbing repair as it arises. In this case, getting property management collingwood involved to look after your property to ensure it stays in perfect condition is the ideal solution. You can sit back and manage your own affairs and they’ll deal with all the nitty gritty daily business of making sure your investment will pay off.
Find great tenants.
One of the easiest ways to destroy the value of your investment property is to fill it with tenants who don’t take care of the house, don’t pay rent, don’t stay on top of their energy and water bills, and generally give you a hard time. These tenants often leave you in the position of having to make home loan repayments without rent to support the cost, rapidly depleting your investment and racking up your stress levels. They can also do damage to the property – another reason why a decent sized (but fair) safety deposit is crucial when you sign a lease with a tenant. Before you choose a tenant, make sure you conduct interviews, get references, check credit scores and seek out the best possible people to care for your property and ensure that you get returns on your investment.
Do your part.
While tenants must do their part and keep up their end of the deal in keeping the property neat and paying rent, as a landlord you also have to make sure that the property is maintained at all times. This means that the property will retain (or even hopefully increase) its value while also maintaining a positive relationship with your tenants. Stay on top of any damage that needs to be fixed and make yourself easily available via email and phone so your tenants or property mangement team can get hold of you if there’s a problem.
Work on boosting the property value.
If you do have a gap of time when tenants are not living in your property, or if you’ve made the investment in order to improve the property’s value and then sell it on at a higher price, then there are many simple ways to boost the value of the home. For example, adding on an extension and increasing the overall size of the house so it has more bedrooms, an attic, a garden cottage, or ensuite bathrooms and extended spaces can all make it far more valuable to future buyers. Adding new paint and improving the curb appeal of the house can also do wonders for its future price listing, so don’t neglect the exterior when making property improvements.