6 Ways to Reduce Stress as a Landlord
Finding a tenant in today’s market is no easy task. Many low quality tenants prey on private landlords and as a result, it is essential that you check all references.
1. Secure a quality tenant
Finding a quality tenant in today’s market is no easy task. Many low quality tenants prey on private landlords and as a result, it is essential that you check all references. If a tenant gives you a mobile number for their employer or their private landlord, ensure the person you are talking to is who they say they are. Unlike a property manager, you will be unable to do a tenancy database check to see if the tenant has defaulted elsewhere, nor can you check property ownership records to see if a private landlord is who they say they are.
2. Find quality tradespeople
You will need to find quality tradespeople, who are well priced. Your tradesmen should understand the implications of the Residential Tenancies Act, in relation to access and legislated timeframes for repairs. They should also respect the tenant’s rights.
3. Reduce your costs
Chat to your accountant about ways to reduce your costs. They may recommend a depreciation schedule to maximise your tax deductions and show you ways to make some of your outgoings, including property management fees, tax deductible. The money saved could allow you to purchase another investment.
4. Ensure you meet your legal obligations
Since the overhaul of the Residential Tenancies Act in 2011, renting a property has become even more complex. It is essential that your paperwork, including the lease agreement, is in a prescribed form. Failure to use the correct forms or outdated forms, can result in hefty fines. A property condition report must also be given to the tenant. This must also be in a prescribed form and must comply with legislative timeframes. Many new, legal requirements have come into place over recent years, including minimum standards for locks, security and safety requirements for blind cords. It is essential that you meet all of these obligations.
5. Be insured
As a landlord it is essential that you have building insurance, however many landlords do not consider landlord insurance. At a minimum you should ensure you have a landlord policy that covers your contents to include carpets, blinds and whitegoods. You should also ensure that you are covered for loss of rent, not only from defaulting tenants but should your house become uninhabitable, through circumstances such as fire. As with any insurance policy, you should be aware of what the excess is. Some landlord policies are excess free, whilst others can charge the equivalent of four week’s rent.
6. Hire a property manager
Find a good property manager who can take away all of the stress. A good property manager will be able to source you a quality tenant, digging deep to check a tenant’s history using databases not accessible to private landlords. Ensuring your property is well looked after, a good property manager will help minimise your expenses and manage consistent quality tradespeople.. In WA, property managers are registered and are required to complete annual compulsory training. Our team of specialists receive additional industry training and development to ensure your property remains in well-trusted hands. For more information on how Blackburne Property Management can help reduce your property hassles, call 9429 5777 or email firstname.lastname@example.org