Maximising the returns on your investment property

It’s important to have a strategic approach to owning an investment property and ensure that your returns are maximised at each step of your investment path.

Minimise Vacancy

Every day your property sits vacant means a loss in income on your investment. Finding a tenant isn’t always straightforward or fast and it is important for the property to be well presented and in a good state of repair to attract the best possible tenant at the best price.

Professional photos are essential to present the property in its best light while videos and walkthrough inspections are highly regarded by prospective tenants. This along with advertising your property for lease ahead of the available date can help to find you an excellent tenant.

Minimise Risk

If they are not well managed, costs associated with an investment property can increase. A thorough ingoing condition report including photos should be conducted at the start of the tenancy.

The ingoing report will be the first reference for the vacating inspection to ensure that the property if left in the condition at the start of the tenancy less fair wear and tear that will occur over time.

Communication is an essential component to minimise risk and prompt action on repairs can reduce larger damage to the property and minimise potential conflict with the tenant.

Routine inspections are important to keep check on the condition of the property and ensure that the tenant is looking after the property and identify any repairs and maintenance that may need to be done.

Landlord insurance is also recommended to protect your property against potential risk that can occur throughout a tenancy.

Maximise Rental Income

The rental market will fluctuate depending on a number of factors including market demand and it’s wise to ensure that you are keeping up to date with where your investment sits in the market and ensure that you are achieving the best possible rent.

Reviews of the rent will usually occur ahead of the lease expiry with analysis of comparable rentals and advice on possible rent increase recommendations and the option to offer the tenant a renewal.

Tax Depreciation

Don’t forget to arrange a tax depreciation schedule for your property to maxmise possible tax deduction over your investment. This is often an area that is forgotten or unknown by investors and is an important tool that can assist with cash flow over your investment.