The Australian real estate market has been booming, with 2024 seeing significant rent hikes across the country. The median weekly rent in Australia is now at $627, which is 8.5% higher than this time last year.
This record surge in rent prices presents a great opportunity for you to maximise returns on your investment property. But with higher returns come greater responsibilities, and managing a rental property can be challenging, especially in such a competitive market.
To truly get the most out of your investment, you need a reliable and experienced manager who can handle everything from tenant screening to maintenance, rent collection, and legal compliance. A skilled investment property manager keeps your property well-maintained, tenants satisfied, and your income steady.
But how do you find someone so good?
Let’s find out.
6 Things to Look for in a Skillful Property Manager
1. Strong Communication Skills
One of the first things to look for in an investment property manager is their communication skills. As managers deal with property owners, tenants, maintenance workers, and real estate agents, their job heavily relies on proactive and professional communication.
Clear and prompt communication helps avoid misunderstandings, which is often at the heart of property management. For instance, if a tenant reports a leaky tap, a skilled manager will act quickly and inform both the landlord and the tenant about the next steps. This helps build trust between tenants and landlords.
2. Organisational Skills
With multiple properties under their wing, a property manager must stay organised. Handling maintenance requests, lease renewals, inspections, and financial reports require excellent time management and organisation. If these tasks aren’t managed properly, things can slip through the cracks, leading to bigger problems.
For example, in Australia, regular property inspections are legally required, especially when renewing or ending a tenancy. A good property manager must ensure these inspections are timely and thoroughly documented. While a property management software can help, the ability to manage everything without feeling overwhelmed is still a critical skill.
3. Knowledge of the Local Market
Setting the right rental price is perhaps the most important role of a manager, without which your investment property wouldn’t fetch the desired profit. A great manager knows the local market and understands what influences rent prices, like location, property size, and market demand.
Rental markets can vary widely from one suburb to another, even in the same city. For example, Adelaide’s rental market is vastly different from a small town like Gawler. So, your property manager should be aware of the ever-changing real estate regulations.
Failing to keep up with compliance can lead to hefty fines. But with a professional handling your property, you shouldn’t have to worry about changes in rules. This means staying updated on tenancy laws, rent controls, and bond regulations, which may differ between cities and states.
4. Financial Management
Your manager must be good with numbers. Investment property management involves collecting rent, managing a budget for repairs and maintenance, and handling invoices, which requires your manager to be good with numbers.
If your rent collection gets delayed or repairs go over budget, it affects the profitability of your investment property. Likewise, your manager needs to know how to handle security deposits in case of damages. All of this rests on meticulous record-keeping and transparency.
5. Tenant Management and Retention
Happy tenants tend to stay longer, reducing the cost and hassle of finding new ones. Your investment property manager should know how to maintain a good rapport with tenants.
This includes:
- Promptly addressing tenants’ concerns
- Ensuring the property is well-maintained
- Conducting regular check-ins
While it’s not mandatory, your manager should also know how to screen tenants properly. It’s a standard practice to keep your investment property safe. As a professional, your manager should run background checks, review rental histories, and verify employment details.
When your tenants decide to leave, a skilled manager makes it as smooth as possible. This includes final inspections, returning bond money, and finding new tenants quickly to minimise vacancy periods.
6. Problem-Solving Skills
In investment property management, problems may arise from time to time. Whether it’s a broken vent, a dispute between tenants, or a delayed rent payment, your manager needs to solve them efficiently.
As a manager, they should not ignore any issues, even if it seems something minor like a noise complaint. Instead, your manager should mediate the situation and ensure the complaint gets addressed as amicably as possible. This means the manager must remain calm under pressure and find practical solutions that work for everyone.
Why Choose My Money House
A great manager will look after your investment property with due care and ensure that your investment property is maintained, and your tenants pay their rent on time.
At My Money House, our property manager will undertake the following tasks for you:
- Utilise our superior web-based property management system to ensure your property is maintained.
- Ensure that high-quality tenants are obtained.
- Take pictures during inspections to assure you that your property is being looked after.
- Maximise rental income and minimise maintenance costs.
- Receive regular communication and routine inspections on your property.
- Ensure superior returns through rent increases, low vacancy rates and a zero tolerance to rent arrears.
- Obtaining quality tenants that are reference and employment checked.
- National exposure through being Members of the Real Estate Institute in SA (REISA), QLD (REIQ), NSW (REINSW) and VIC (REIV).
- Accessing a large network of renters in an up-to-date database.
Conclusion
A great property manager is more than just someone who collects rent. They communicate protectively, keep every aspect of your property organised, and keep your tenants happy. They also understand the local real estate market, stay updated on legal requirements, and keep your investment property in top shape. In short, they are the connecting link between maximising your returns and creating a positive experience for the tenants.
If you are a landlord in Australia looking for a great property manager, My Money House can help you. We are your one-stop shop for all things property management. Contact us to know how we can help you.
