Why You Should Use A Property Manager For Your Investment Property

With so many units being snapped up in Sydney’s inner city, we expect a lot of buyers to be ready to rent out their new properties in the coming months.

But while some landlords might be tempted to manage the tenancy themselves to keep costs down, it can add significant time and pressure. Here, we look at why you should use a professional property manager to manage your investment property.

What does a property manager do?

If you’ve been a tenant yourself or had another investment property, you’ll probably know that property managers are responsible for finding tenants, collecting rent and conducting inspections. These important areas of a tenancy are the bread and butter of property management, but the profession has broadened to offer value far beyond these day-to-day tasks.

This means that great property managers act as true partners in your investment property, offering specialised knowledge in what can be a complex process, as well as advising landlords on ways to maximise the value of their investment.

Why use a property manager #1: They know the market

Property managers in your area will usually have worked with countless properties, so their local knowledge is often second-to-none. Not only do they know how to present a property in your area in its best light to prospective tenants, but they also have detailed knowledge on who’s looking for rental properties at different times, when to raise the rent in line with local trends, what types of renovations could add value to your property and much more.

For example, our colleagues at The Agency are currently reporting a new demand from professional couples with children seeking proximity to good schools and transport and quality high-end homes.

Why use a property manager #2: They understand regulations and laws

Renting out a property can be complex, especially when you need to consider laws and regulations such as those related to smoke alarms, strata schemes, pool fencing and insurance, among others. This is a lot of information for any investor to be across when managing their own property, but it’s all part of the job for a professional property manager.

Why use a property manager #3: They’ll find quality tenants

You might think finding a tenant is simple, but finding a great tenant takes dedication and know-how. Property managers know how to attract high-quality tenants and how to read between the lines of an application form to identify any red flags. This experienced eye is essential in finding tenants who not only pay rent on time but also care for your property, therefore reducing maintenance costs and maintaining the property’s value.

Why use a property manager #4: They’ll stay on top of maintenance

Dealing with maintenance and repairs is an important part of any property manager’s job description, but it’s not enough to wait until issues arise. Sometimes small bits of wear and tear can lead to much bigger repairs if not caught early, so it’s important to stay on top of the property’s condition. A good property manager will know the warning signs and proactively deal with any niggly repairs to avoid bigger repairs down the track. They’ll also save you the time of coordinating the repairs by liaising directly with the tried and tested tradespeople in their contact book and your tenants.

Why use a property manager #5: They can help grow your investment

Whether it’s renovation recommendations or investment strategies, great property managers have a wealth of knowledge about how to maximise your investment portfolio. This could include making recommendations on tax depreciation schedules, giving advice on renovations that can increase rental yield or putting you in touch with property or finance experts who can further help you.