Property Investor Newsletter Dec-Jan 2017

In this newsletter we cover important property management topics to keep you informed and maximising your rental income and optimising your capital growth.

Quality Tenants Really Are The Key To Success...

A quality, long-term tenant is critical to the performance of any investment property, which is why it is important not to compromise during the application selection process. It can often be a better choice to have a vacant property for a little longer than lower your standards and end up with a troublesome tenant that could cost you money in the long-term. Outlined below are a few handy hints to help investors maximise their rental income.

1. Be selective with your tenants

In a tight rental market it can often be harder to attract quality tenants, but this does not mean you should lower your standards. It is important to always be rigorous in the screening process, which includes rental references, personal references and employment references to determine that the tenants will care for the property and maintain the rental payments...

Rental Appraisals

If you are looking to purchase an investment property, it is important to ensure that you obtain an independent written rental appraisal (similar to a valuation when buying a property) from an experienced property manager rather than a salesperson.

Salespeople can unintentionally share a rental figure when put on the spot without the necessary market condition knowledge and documented research...

Buying A Tenanted Property

If you are considering buying a tenanted property it is important that you ask the right questions such as how much is the rent, is there a bond held, how long have they been in the property for, have they been issued any breach letters/notices, how many people, pets, etc. to mitigate any ongoing potential risk.

The tenancy agreement terms are important as well. The agreement between the tenant and the current landlord are transferred to the new property owner if it is a fixed term tenancy upon settlement. A fixed term tenancy cannot be terminated prior to the end date without the consent of the tenant...

Bundaberg Sales Market Data

The outlook of the house market is classed as steady and the unit market is classed as falling.

HOUSE MARKET Bundaberg is the second-most affordable house market in the QMM report.
The annual median house price increased an encouraging 2.9% to $283,000 in September. This compares with the median sale price of $280,000 in September 2012, which represented a five-year cumulative increase of 1.1%. On an annual basis, the number of sales fell 5.8% from 1064 sales in September last year to 1002 sales in September this year...