Property is one of the most sensible investment vehicles for landlords. Secure an asset that appreciates in value, whilst using the banks’ money, and enjoy a rental return at the same time.
We’ve seen so many of our landlords over the years generate significant wealth for themselves that sets them up for a wonderful retirement.
The question is, though: Have you maximized your return on investment?
There are a number of factors to consider here. Let’s talk about just a few:
1. Protecting the value of your asset. Owning a property comes with an obligation to ensure its’ properly maintained. Neglecting the maintenance may seem like a smart way to save your cash at the time, but it will always cost you more in the long run. Working with a Property Manager that advises you on sensible maintenance of your property means that your asset will appreciate at its’ full potential, and you won’t need to discount your rental for a poorly maintained property, or your selling price when you come to sell one day.
2. Mitigating against the risk of a dodgy tenant. It’s true – there is always a risk that comes with renting out your property. Will the tenant pay? Will they care for your property properly? Will they cooperate with your rental agent when maintenance work needs to be done? Whilst there is never a 100% guarantee, when you rent through a reputable Property Manager, they will take all reasonable steps to screen your tenant and obtain references, thus greatly reducing your risk, and ensure a sensible deposit is taken. Additionally, taking out a Landlord Insurance product against defaulting tenants means your legal costs are mostly covered when you need to use the law to enforce your legal rights. The relatively small monthly investment is well worth it if you should ever need to protection.
3. Scalability. What does that mean? Do you own more than one investment property in the same or a similar location? Why not consolidate your property management with a single company. For example, at Harcourts Platinum we have discounted management rates for landlords with multiple properties. When you add up the incentives over the lifetime of your investment property, it could make a significant difference to your return on investment.
As with all matters in business, you will want to work with people you can trust and you have confidence in. If you are a property investor with assets in the Helderberg area, speak to Harcourts Platinum today about our full suite of property management services. We can tailor a solution to your personal needs and help you maximize your return on investment. For enquiries contact Donita le Roux +27 82 668 1728.
