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Rent Exchange–Property Management Newsletter
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Property Management
On the following pages you will find our June Property Management Newsletter.
Included in this month’s Newsletter is an article about the 5 Point Plan created by the Property Investors Federation. TheProperty Investors Federation say they will fix the rental property crises.
Also included are tips on how to make your rental property stand out. As mentionedin the article, hiring a Property Manager can save you a lot of time and effort in managing your rental property.
Don’t hesitateto contactDebbie Harrisonwho can ably assist you with any Property Management issues you may haveor if you have any questions about anything in the Newsletter orpropertymanagementingeneralplease donothesitatetocontact our Property Manager, Debbie Harrison.
Property Investors Federation strategise plan to fix rental property crisis
A five-point plan has been created by the Property Investors Federation which it says will fix the rental property crisis.
The plan includes harsher penalties for bad tenants, returning of the bright-lines test to two years, bringing back the right for landlords to issue no fault 90-day notices and making mortgage interest tax deductible.
The federation ’ s vice president Peter Lewis said no landlord wakes up wanting to evict their tenants for the sake of it.
"Obviously, if you get rid of a tenant, then you are losing money on that property ... The problem is that if you go and say to them you have to leave because of this particular thing that you ' re doing, human nature makes you say ' oh we won 't do that any more, we 'll reform, we 'll do better ' , " Lewis said.
"But most people revert and we have seen this publicised recently with a lot of the Housing New Zealand tenants. "
A public list of tenants who owed money after their tenancy ends, damaged the property or disturbed neighbours was also proposed in the plan.
Lewis believed the cost of borrowing was putting off potential investors, too, meaning fewer rentals.
"A lot of that price increase is being caused by these taxation changes that are badly affecting a lot of residential landlords.
"And thus the first reaction of course is to put the rent up as far and as fast as possible. " The proposed changes were intended to help both landlords and tenants, Lewis said.
"I' m a landlord and I have been a landlord for 31 years. My ideal is to have happy tenants who I get on well with, co-operate with and it' s a mutually beneficial arrangement.
"I provide quality accommodation for them, I' m responsive to their requests and their needs and in return, they pay me a reasonable market rent, just like any other business. "
Renters United have labelled this proposal as a “ very old school way of thinking ” .
"What we ' re seeing here is a plan for people to continue investing in property so they can extract as much money as they want out of their renters rather than something that actually upholds the human rights that renters have and comes to a solution that' s actually better for anyone that isn 't just those that own thousands of properties, " Renters United spokesperson Geordie Rogers said.
Another of the federation ' s proposes is an expansion to allow landlords to request a 12 week bond.
"The idea that they 'd be charging $7000 for the median rent on a bond is ridiculous to me, especially when they ' re in a position where they do have the capital to put that behind a loan to repair the property or even to pay for insurance - which a lot of us renters are already paying for on behalf of these investors, ” Rogers said.
With new rental developments being completed, and a range of variety in the types of rental properties, landlords need to make their homes stand out from the rest.
It is always going to be important to make sure your property is appealing above all else. At the end of the day, there are many little things that add up to create the means for successful tenants to move in.
The following will help guide you by giving you options to make your rental property stand out and the things you can do to prepare your property for prospective renters.
Show off the home’s best features Identify what makes your property unique. Does it have large bay windows? Is it the landscaped garden? Are the rooms bright? Or does it have an eye-catching front door? Whatever it is, make sure you draw attention to it in your listing.
Most prospective tenants will search online listings first, which is where high quality photos are key. Professional photos will help grab their attention and heighten their appeal in your rental property. By staging your property, you will make it look even more attractive to renters.
You want to make sure you cover every angle of a room. If your budget allows, make your property look good for a day, with staged furniture and props, and snap some great photos showcasing the best features. This can give you a competitive edge and a wider audience reach, especially for out-of-town renters.
First impressions always matter Street appeal is vital, and it can have a real impact on rental decisions. Renters are more willing to pay top price for a well-presented property. So, if you are hoping to make your rental stand out, you should focus on making the best impression with it. Take into account the front garden, doorstep and exterior. Is there anything you can do to refresh these areas to make it look more attractive from the street? Perhaps some basic landscaping or replacing broken fence palings? If you own a unit, have a look at the condition of common areas such as the stairwell and foyer. It’ s a good idea to request repairs or updates where they might be needed.
Next, set a high standard for cleanliness. While you want your property to look good from the outside, the inside matters even more! Consider having carpets professionally steam cleaned and wash any dirt or marks off the walls and cabinetry. Quality tenants are attracted to rental properties that are clean, safe and clearly well cared-for.
There are some simple ways you can improve curb appeal. First of all, does your property look inviting?
Small fixes go a long way Fixing whatever is broken prior to listing your property will give you a better chance of attracting more people to it.
Tend to small cosmetic fixes such as refreshing paint where needed, fixing leaky faucets, replacing old light fixtures and filling up minor cracks in walls. Pay attention to the exterior, too. Is the front gate squeaky? Does the porch light work? Are there any overhanging branches obscuring the garden path that need pruning back? Get as specific as you can. This will help to paint a clear picture of your property and give potential renters a better idea of what to expect. Do not forget to highlight your property ’ s unique selling point, either. Get creative with your listing and make it easy for potential tenants to visualise living in the property. If, for example, it boasts a balcony, write about how tenants can enjoy summer evenings watching the sunset on their balcony.
Some other ways to give your rental property listing an advantage include advertising on social media or enticing tenants with add-ons such as free wi-fi, security systems or an in-unit washer and dryer.
Hire a property manager A property manager can take care of a rental property on your behalf. They can assist you with all of the above as well as provide advice on how to increase your property ’ s value along with screening potential tenants.
One of the biggest benefits of hiring a property manager is that they save you a lot of time and effort in the managing and staging of your rental property. They will also give you a greater chance of attracting and securing high-quality tenants.
Small repairs here and there can save your tenants any frustration down the line. It also prevents any bigger, more costly repairs for you in the future.
Detailed listings When it comes to the property write-up, make sure you give it an accurate description. How many rooms are there? What is the storage space like? What is the size of the property? What is the rental cost? What amenities are nearby? Do you allow pets? If you have recently renovated or updated appliances, make it known.
The information contained in this publication is general in nature and is not intended to be personalised real estate advice. Before making any decisions, you should consult a legal or professional advisor. LJ Hooker New Zealand Ltd believes the information in this publication is correct, and it has reasonable grounds for any opinion or recommendation contained in this publication on the date of this publication. Nothing in this publication is, or should be taken as, an offer, invitation or recommendation. LJ Hooker New Zealand Ltd accepts no responsibility for any loss caused as a result of any person relying on any information in this publication. This publication is for the use of persons in New Zealand only. Copyright in this publication is owned by LJ Hooker New Zealand Ltd. You must not reproduce or distribute content from this publication or any part of it without prior permission.
