Having A Presentable Portfolio When Ready To Re-let
A crucial part of having an investment property portfolio is being able to make the maximum rental income from each property that you can. One aspect of this is having them tenanted as often as possible and avoiding costly vacancy periods. Another is making sure they are as presentable, desirable and modern as possible, in order to be able to fetch good rent and incrementally increase amount you charge each year subject to the rental market conditions.
Keeping your properties in tip top shape is a year round job, but say you’re about to need to re-let one or more of them, there are simple steps to take to keep that cashflow rolling in and values headed in the right direction.
If you’ve had long term tenants who have always been loyal but have suddenly had to vacate, you probably have a fair bit of work to do to get a property up to a standard that new tenants will want to move into.
If the property has shabby carpet or paint peeling off walls, you need new carpet and paint as a minimum to get it up to scratch. Poor presentation is the main reason properties don’t rent quickly. Re-carpeting and re-painting every few years is tax deductible and keeps the place looking as good as new.
Disclaimer: We’re not licensed tax agents so you should speak to a professional tax agent for further information.
Another one is to make sure the property has creature comforts in place when it comes to climate. Air conditioning, at least in the living room, is essential, especially in climates like Queensland. Other rooms should have as a minimum ceiling fans, plus fly screens on every external door and window. Without all these in place, tenants will walk in to an open inspection and straight back out again. Also consider when the property will be available for rent – in Queensland, October to April are hot months, so conducting opens with none of these features will be a huge turn off at open homes.
Kitchens and bathrooms are two of the most important features of a property. If they look old or outdated, people will associate that with a lack of cleanliness and be turned off. It gives the impression the Lessor doesn’t look after the property or takes care of maintenance.
Imagine you walked into an old bathroom with orange tiles, a shower curtain and water swelling on the vanity. Would you want to live there? A few superficial tweaks can give the room a completely different feel. Spray paint the tiles white and replace the shower curtain with a glass door and people will feel much more comfortable.
The same applies for a kitchen. Spruce up the benchtops, cabinets and any tiles and people will stop thinking about what has already been cooked there and will instead see themselves creating their own delicacies in the space.
If your property has gardens, get them looking their best before prospective tenants begin viewing. The better a garden looks when a lease begins, the higher the standard of shape that a tenant must keep them in. Remulching can work wonders with sprucing up a garden area.
Make sure your property manager is the right fit for your property portfolio. Blink’s brilliant property asset managers understand the importance of a whole-portfolio approach and will work with you to maximise the value and rentability of each of your properties.
Blink professionals screen tenants thoroughly, give advice and feedback on the market, list the property for rent online and amplify on social media, plus take care of minor repairs and superficial improvements.
They also have access to a database of high quality tenants they know are in the market for a good rental.
Once the property is almost ready to be viewed, you should make a checklist of last minute steps to take to maximise its appeal. First, ensure carpets are steam cleaned and the place has been professionally cleaned prior to inspection.
Then, you or the agent should arrive early on inspection day and open up windows and curtains to maximise air flow and remove any lingering scents, plus turn on lights to avoid any appearance of darkness.
A better presented property will attract more competition between high quality tenants who are prepared to meet your asking rent.