Real estate offers many benefits for investors, and its continued strong performance has made it the preferred investment option for many Australians. But, First National Real Estate National Communications Manager, Mr Stewart Bunn, says it takes more than good luck to maximise your returns from investment properties.
“Property investment is still a popular option, representing a rock solid, secure and long-term method of creating wealth and growing capital,” Mr Bunn said.
“In fact, property has delivered an average 12 per cent return for the past 24 years, even before tax and maintenance costs, so its not surprising that a recent survey shows 59 per cent of home buyers and investors plan to purchase an investment property in the next year.
“That’s probably because Australian property performed exceptionally well throughout the GFC and still shows great resilience in the face of share market gyrations.
“But for investors to maximise the financial benefits of their property they need to look at their investment as more than just collecting rent or striking a deal on management fees.”
According to Mr Bunn, the crucial component for a successful rental property yield is to appoint a trusted and reliable property manager.
“A good property manager is one that provides expert advice on the opportunities available for them to take advantage of to improve the yield of their property investment portfolios,” Mr Bunn said.
“At First National, we have an in-depth knowledge of the local market and can assist with the two most important criteria when choosing an investment property – location and quality.”
Mr Bunn said properties located close to transport, schools, place of work, shops and recreational facilities are in greater demand and usually command a higher rental.
However, investors should not be afraid to look beyond inner city properties as lower priced outer suburbs can produce higher yields and frequently enjoy strong demand from prospective tenants.
“It is also wise to maintain your asset in good repair and ensure it is well presented. That way, rent is maximised, vacancy periods reduced and a high standard of tenant is attracted, who will ensure their rent is paid on time.
“Sometimes, simple improvements like a fresh coat of paint in bathrooms and kitchens, or installing new window coverings, can make the world of difference.”
As an experienced property manager, supported by rigorous processes and systems, First National provides the highest standard of advice to investors, backed by leading edge technologies that match tenants to vacant properties and comprehensive marketing programs.
“First National uses the latest technologies and prides itself on getting the best results in the shortest time,” Mr Bunn said.
“A professionally prepared tax depreciation schedule can also play an important role in the efficient management of your investment.”
For further information contact Stewart Bunn, National Communications Manager, First National Real Estate, on 0413 624 317