Landlords Property Rental Guide

Are you an established property investor or possibly just considering your first investment or renting out the family home?

Whichever is the case, we hope the advice below, based on our years of experience, is of value.

Accurately establish your property's rental value

Whilst you may be able to gather a broad appreciation of the rental market from comparing similar properties to your own in newspaper advertisements and online property-portals, you should always consider using an experienced property manager to set an accurate rental value for your property.

There are often small, but important, differences between properties that can make a difference to a property's rent. Furthermore, a property manager with dedicated experience in your local area should be able to identify ways in which your property's appeal can be enhanced to 'target' a specific tenant market.

A bentons property manager will provide you with a free rental appraisal.

We will meet with you (on-site is obviously best) and talk about what you are looking for in renting the property.

Are you looking to rent out your family home for a short period? To invest in property for the first time? To broaden your portfolio?

We will discuss the factors impacting on renting the property such as potential tenancies, current demand and other relevant rentals in the area. We will also consider options for improving the property to increase its rental value as tenants are usually prepared to pay more for well-presented properties.

Things that should be considered include:

• painting - new paint in fresh, light, colours can show off a property to its maximum advantage
• floor coverings - high-quality floor coverings enhance a property's appeal. Good-quality, scent-free carpets or well-maintained floorboards are important
• window fixtures - good-quality curtains or blinds provide privacy and security for tenants.
• exterior and gardens - a well-maintained garden can go a long way to attracting good tenants.

From this we will consider possible rental options and propose a suitable rental.

Market your property well

While it is possible to market your property yourself, most property owners draw on the support of an experienced property manager.

At bentons we employ a range of well-established and successful marketing practices including listing the property on all the major online property-portals and the bentons website, as well as direct contact with a database of established tenants.

Note: be careful whom you choose to market your property and be alert to overly-low fees (you get what you pay for) and overly-high suggested rentals (you could be caught without a tenant for some time or with a less-than-ideal tenant).

Present your property well

Even if you do not intend enhancing your property in any way before renting, fixtures and fittings should be checked and, if needed, serviced before the start of the tenancy to make sure they are in good working order. Try and make sure you have instruction booklets for things such as the oven, stove and hot water system.

Your property should always have good kitchens and bathrooms - these two things go a long way to 'selling' your property to a tenant.

• kitchen - ensure you have a clean and well-presented kitchen. Ideally there should be a dishwasher and up-to-date oven/stove. Make sure that all the plumbing works well and that cabinets are in good working order.
• bathroom - a modern, well-ventilated, bathroom with attractive bathroom fittings will attract a higher rental and, in the longer term, provide you with fewer maintenance problems associated with moisture, leaks and usage. Tiled floors are obviously preferable to carpets.

You need to make sure that lacks and fastenings are working and adequate.

Electrical and gas fixtures should be examined by a qualified technician prior to the tenant taking occupation. At bentons we have a network of service personnel qualified to undertake this task.

Select a good tenant

Selecting a tenant is the most important part of successful property management.

At bentons we have years of experience in identifying good tenants and have a large database of potential tenants we can approach on behalf of landlords. We always undertake credit and tenancy checks and take references covering employment, banking, previous rentals and character references.

Complete an initial property condition report

This report must be completed at the start of a tenancy before the tenant moves into the property.

The report documents the condition of the property at the start of the tenancy and is subsequently used when the tenancy finishes to assess the state of the property. This is an important task and not one that should be completed casually.

Taking the time initially to establish a clearly-documented and mutually-agreed property condition report can avoid a range of problems at a later date.

Keep the property well-maintained

Make sure you conduct at least one annual property inspection to assess the property's condition. These inspections are essential to ensure the property is being kept to an acceptable standard and to identify any repairs or maintenance work needed.

It is always advisable to ensure that any necessary repairs are completed within a reasonable time.

Bear in mind that you need to provide the tenant with 48 hours' notice of an inspection and at least 24 hours' notice of entry to make (non-urgent) repairs. You also need to reimburse the tenant for any urgent repair work that the tenant has had to have completed (as long as they have attempted to contact you first).

Don't forget to ensure that all statutory outgoings (such as rates, land tax, water, etc) are paid on time.

Keeping a property well-maintained not only keeps tenants happy, it avoids the potential for long-term damage to the property’s capital value.

At bentons We have a network of local, qualified repairers with whom we've dealt for years. When something needs to be repaired on your property you can assured that it will be done quickly, that it will be done properly, and that the price will be right.

Manage rents

Rent management can be difficult if it is not handled professionally.

You need to ensure that rents are paid on time (and provide you tenant with a receipt if the rent is paid in cash). You also need to chase up arrears and quickly take action should any ongoing payment difficulties emerge.

At bentons we provide all our tenants with hassle-free methods for rental payment. Effectively, tenants can pay rent seven days a week, 24 hours a day.

We also produce daily reports detailing any tenants who have missed a payment or are behind in rent. Tenants who are behind are contacted immediately and most respond quickly to our reminder letters, phone calls and SMS messages. Because our arrears are closely monitored it is a rare occurrence for us to have to attend the Tenancy Tribunal.

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