Who do you have on your team?

If you are going to be a successful property investor it's best to have a solid team that you trust. Make sure you get recommendations from family and friends. You're looking for team members who are successful investors themselves. Also keep in mind the best way to see if they would be a good part of your team, is to see how well they have done for others.

Once you have a list of people go and talk to them and see if they fit with you. Find out how your investing strategy fits with their philosophy.

But who is it you should have on your team?  

4 Things Great Tenants Hate

So you have a great tenant - that's fantastic, they are what all landlords hope for. They pay their rent on time, they look after your property and they are undemanding.

However, they can still get frustrated and want to move. Do you want to know what drives them over the edge? Here are a few areas that you control, that could drive them out. So take heed.

1 - Great tenants don't like being bugged.

They don't like it when neighbors (especially in an apartment complex) throw wild parties, they don't like drug dealers in the neighborhood and dealers' clients knocking on their door, and they don't like you showing up early Saturday morning wanting to get stuck into the garden.

Good tenants want to live undisturbed in a safe neighborhood. So if there is activity that is going on in the area that is annoying or unsavory, then work with the owners of the properties to sort it out.

As for you showing up 8am on a Saturday morning. Don't! Call your tenants first (at least 48 hours in advance) and work out a time that's good for both of you.

Neutral or Bold for your Rental?

So you have a unique design style your home looks like it comes out of an architecture magazine. You have funky paint, reclaimed furniture and your light fittings are made from recycled baskets.  Now you would love to put your 'flair' into your rental property, you are convinced it would stand out and people would line up at the gate, wanting to rent your property.

Good idea?

No, bad idea. Sorry.

You may love that style, but what about those people who like more of a french country look, or those who like a traditional home, or even the people who prefer a nautical theme? You've just knocked out all those people as potential tenants.  

The Bad Tenant - How to get rid of them.

It's the nightmare of all Landlords, the Bad Tenant.

No one wants them, and you're probably kicking yourself that you may have been able avoid them, 'if only' you had done X,Y, Z. Well you can't go back in time, so the next step is to deal with them here and now.

But what do you do?

First of all it depends on what is happening? Not paying rent, being rude to the neighbors, destroying your property (pulling out water heaters, tearing up the floor, setting fires etc)

Managing your Property Manager

You have an investment property, that's great, you also have a property manager to manage your property that's even better (check out this article why that's a great idea), but do you know how to get the most out of both?

Well if you want the most out of your investment property, then you really need to work well with your Property Manager, and the only way to do that is to participate. 

You don't want to be under the feet of your property manager, otherwise your relationship will sour, but I'm not saying have a 'set-i-and-forget-it' attitude either.

What I'm talking about is being confident in your choice of property manager, but also don't just take their word for it. Make them work for their keep! (Me included.)

Here's a couple of ways to make sure your property manager is doing the best for your property.

Water Heaters for your Investment Property

Owning an investment property means you are looking at getting the most money out of it, rather than sinking money into it. Which is exactly how it should be. Getting the most out of it often revolves around your tenants and what they are looking for in a rental property. Tenants these days, are looking to be more fiscally and environmentally responsible. One of the ways to save money on a day to day basis is with hot water.

I'm sure you know that a traditional water heater runs all day and night keeping the hot water hot, which means it is using power whether you like it or not. That means more electricity used which is both a financial and and environmental drain. If the water heater in your rental property needs to be replaced, you may want to consider a a different option which can be a good selling point to potential tenants (especially if they have to pay their own utilities).

There are many options to consider when it comes to installing a new water heater. Here are a few that might interest you. The Government of South Australia has some great information about water heaters. But if you don't like in SA you better follow up in your area when it comes to rebates.   

Adding Value to Your Rental Property

One of the best ways of making money from your investment property is adding value. By adding value you can (usually) increase your rental yield, as well as increasing the value of the property, so a win/win all round.

So what are some ways to increase value but won't break the bank? Well, in fact they are very similar to how to renovate your property post that we wrote about not long ago. But you have to keep in mind that there is not 'One List'. It depends on your city and suburb, what is normal for one area, may be pointless in another areas.

However, there are some things definitely worth considering.

Landscaping

An attractive yard, with a good fence can go a long way in attracting tenants. It broadens the appeal of who will be interested. A fully fenced property would work for a professional couple to a family. So it makes sense to add one if appropriate.

Finding Properties to Renovate

Do you like to renovate?

There are some people who love to find properties that they can do up, add value to and rent out, or maybe even flip. But sometimes it can be a little tricky to find the right kid of properties to invest in. Especially if you head further and further out from the CBD. This is  because you can often buy a new house and land for about the same price as decent house closer to the CBD.

So some things that will help you track down the right property to renovate. 

Ownership

You're likely to find the good places in an area where there is an owner-occupier percentage of 20% or higher. Looking for these areas will give you options. If you decide after you have renovated the property, that you would rather sell than rent out, then you are likely to find a buyer in these established neighborhoods. If you decide to rent out your property - especially if the property is a good one for families -  you will find that it will be easier to rent out too.  

The Art of Negotiating

One of the keys to getting a property that is good value, is the art of negotiating. I bet you have come across a really good negotiator, one where they can get thousands and thousands off the price - of anything! From cars, houses, furniture, they see the price as a starting point rather than the end point. Here are a few trick they probably use.

When it comes to negotiating in property, there are a few key areas that can create a more favorable environment - for you.