How To Maintain Your Property’s Value And Increase Tenant Retention
Keeping the value of your investment property high requires ongoing focus and attention, but many landlords find this challenging. Read our top tips to maintain the value of your investment property.
When buying an investment property, you’re likely to spend time and resources finding a property that will add value over time and maximise your initial outlay. But the work doesn’t end once you’ve found the perfect property.
By being proactive with rental maintenance and repairs, looking after outdoor living areas and adding new features that appeal to tenants, you can not only maintain the value of your property but increase tenant retention.
Tip #1 Be Proactive With Rental Maintenance And Repairs
A key area of concern for tenants is repairs and maintenance, with a national study conducted in the last 4 years showing that more than 1 in 7 renters are afraid to ask their landlord for repairs for fear of being evicted, blacklisted or facing rent increases. Their concern is often justified – 21% of those surveyed waited at least a week after reporting necessary repairs and 11% had an increase in rent after requesting repairs. This feeling of insecurity leads to an unstable relationship between tenant, landlord and property manager, increasing the likelihood your tenant won’t stay for long in your property.
This is where it's beneficial to have an experienced property manager on your side to proactively keeps in touch with your tenants and identify any current and potential future issues and put concerns at ease. Through open communication and a good understanding of the property, tenants know that the property manager is there to help, making them happier and more likely to stay in the property.
While urgent repairs will arise unexpectedly, it’s possible to be prepared for non-urgent maintenance requests that make a difference to your tenants. Here are some common repairs we look out for:
- Broken or blown light bulbs that tenants can’t reach or change themselves;
- Issues with kitchen appliances;
- Faulty air-conditioning or heating units;
- Overgrown plants, including trees close to power lines;
- Broken windows.
Tip #2 Don’t Neglect An Outdoor Space
It’s not just the inside of your property that counts. It’s the exterior of the property that creates the first impression so why not make your property stand out? Consider the condition of any outdoor spaces or the building exterior and how they might be perceived by your current tenants, or those looking at open for inspections when the property is up for rent. If the exterior doesn’t reflect the quality of the property, you risk losing the interest of prospective tenants and reducing the pool of quality tenants to choose from.
Areas for improvement to be aware of include:
- Fixing any broken windows or railings;
- Re-painting any chipped surfaces;
- Ensuring lawns and gardens are well-maintained;
- Adding plants to liven up outdoor spaces and make the property feel more welcoming.
Tip #3 Add Features That Increase Rental Value
Even if no repairs are required, there are often new features that would improve the tenants’ experience of living in your property, thereby increasing retention and commanding a higher rent. Upgrades that add value to the property and benefit both landlord and tenant often include:
- Adding heating or air-conditioning;
- New paint, carpet and blinds;
- Installing a dishwasher;
- Adding built-in wardrobes to the bedrooms.
How Do I Now Find The Best Tenants Possible?
When it comes time to finding and securing new tenants, attracting the right people is key to keeping the property well looked after in the long-term. You’ve made the financial commitment to maintain your property’s value, so you want a tenant who will take care of your property and let you know when repairs and maintenance are required, as well as reporting any urgent issues.
Marketing plays a key role in this process. This includes attracting tenants through high-quality photography, a well-written description that sells the property to your target audience and premium listings that make your property standout online. But it doesn’t finish there. Once applications are received, check all references and work history to ensure only reliable tenants are placed in your property. Remember…short-cuts in verifying tenant applications can lead to long-term pain.
Like To Learn More?
To find out more about how an experienced property manager really can help maintain and increase the value to your investment property, contact our team of specialists today.