A clear goal that all landlords have is to maximise the potential of their rental properties. You want your properties to be free of maintenance issues and looking their best so you can attract great quality tenants and they can be happy.
However, any property owner who’s been managing their property for a while knows that making the most of your properties isn’t as simple as it seems. Improving your profits, or your ROI, isn’t as easy as listing your property at a high rent and waiting for applicants to contact you.
Your work may not be as successful as you’d like it to be if you don’t work with the right property manager and do the right things. So, you can keep reading to learn more about what you can do to assist you to earn more and keep yourself and your tenants happy.
What Does ROI Mean?
First, what do people mean when they say ‘ROI’ in regard to property management?
ROI stands for ‘return on investment,’ and refers to how profitable your investment is. How much money are you currently earning compared to how much money you are spending?
Positive ROI means that you’re making a profit, your income is higher than your expenses and you have more extra money to spend. Conversely, negative ROI means that your income is lower than your expenses, and you’re losing money.
How You Can Maximise Your ROI Potential
You want your ROI to be as positive as possible. But how do you make sure your ROI is positive?
Consider the following to maximise your potential:
Ensure Your Vacant Properties Are Listed ASAP. Your vacant properties make you no money – in fact, they could even be a drain on your funds because you still need to ensure they’re taken care of through property management. So, always be sure that your vacant properties are ready to live in and are listed for prospective tenants to see.
The less time your properties stay empty, the less money you’ll lose.
Market Your Vacant Properties Effectively. It’s not enough to simply list your empty property; you also need to market it effectively. Ensure that any listed photos are nice, your property is clean and any advertisements you put out for your listing are well thought out and eye-catching.
It’s a very good idea to work with a property manager who has experience with marketing if you have no experience yourself.
Conduct Regular Property Inspections. You should never wait until problems arise to conduct a property inspection. Instead, regularly have your properties inspected to check for any issues with the property itself or for issues with how your tenants are treating the space. This way, if you find any problems, you can fix them quickly before they become more problematic and more expensive to fix. Property management is already a complex job, you don’t need to face sudden issues that could’ve been detected earlier by a routine inspection.
Communicate Effectively. Proper communication is an essential skill in many parts of life, especially regarding customer service and teamwork. You and your property manager will want to provide excellent customer service to your tenants, potential renters and anyone else that you need to work with.
No one wants to work with, or give money to, someone they don’t like. Your tenants will be happier with you if you establish a rapport with them and show that you care on a human level, and tradespeople are more likely to work harder if you’re friendly yet professional.
Stay On Top Of Maintenance. A big part of property management is ensuring your properties are well-maintained. See that your properties are routinely checked and maintained so that they stay nice for your tenants.
Screen Tenants Before Accepting Anyone. A trustworthy tenant can be a pleasure to interact with whenever you speak to them, but a nightmare tenant can plague your work for years. Be sure to screen your prospective tenants before you rent to anyone so that you can find the best people for your spaces.
Are You Looking To Make The Most From Your New Zealand Real Estate Investments?
Now that you know more about it, are you ready to bring out the full potential of your properties and boost your ROI? We’d love to help you out. Call At Home Property Management to make your work as profitable as possible.
We know how to take care of properties and keep tenants happy, and we’re happy to offer our services to you. We can conduct inspections, find suitable tenants, communicate effectively to build up good relationships and more.
At Home Property Management is your best bet when it comes to improving your profits.