I’m sharing my top tips to help you boost your cash flow and make strategic decisions for your investment property! Property improvement is a viable way for investors to increase their rental income, particularly if competition in the market is weak and tenants can afford to be selective with their applications.
Cosmetic Renovation
It’s no secret that top quality rentals, and those kept in immaculate condition, are far more likely to attract high-quality tenants and return a higher profit. The successful renovation of your property will allow you to justify asking tenants for more money, regardless of whether they are current renters or future applicants. Modernising the look of the home with a new layer of paint, installing fresh light fittings and minimalistic cosmetic upgrades to handles and taps can quickly boost rent! A clean, minimalist and modern upgrade can be low cost and will attract a more desirable clientele.
Adding Amenities
Investment property owners can also choose to add or upgrade the properties amenities. These are upgrades or additions that would make a positive difference to the life of the renter, and would significantly justify the increase in rental price. Simply installing a security system, air conditioner units, or a dishwasher will not only attract a tenant willing to pay a higher price but also can justify a rental increase to a current tenant.
However, a difficult aspect of this industry is its fluidity. The market is always changing, with no one property being the same! If investors are interested in increasing their cash flow, it is important for them to understand the current market, their competition and the existence of any niche opportunities. Not all of the above recommendations will be applicable to your property, or appropriate. Make your decisions strategically, and contact your property manager with questions about the current market and what will help you in boosting that cash flow!
Property Management
Lastly, don’t be afraid to tap into your property managers rental knowledge to maximise the success of your investment property and increase cash flow. An experienced property managers know-how can be the driving factor in changing your vacant property to a long-term leased one.
Remember, your property manager is there to answer any questions you may have, big or small! The aim is to know what questions to ask to maximise knowledge and profit. You might ask such questions regarding the demand for your property type in the rental market, whether your property manager has noticed trends changing in the market, and what strategies and forecasts they have in mind for your specific property. The most important thing you should expect from your property manager is openness and the ability to communicate effectively.
For any questions regarding these points, or any other queries you might have about increasing cash flow from rental properties, I’m more than happy to have a chat. Like I said, questions big or small, we’re here to make the process as easy as possible for you.
