Are you looking for a rental property? If so, consider all of your options and make sure you find a property that is both profitable and meets your needs.
Read on to learn the five key features to look for when finding rentals properties in Perth.
Location, Location, Location
The area of the property will play a significant role in how much rent you can charge and how quickly the unit will turn over.
Here are important considerations when looking at the property’s location:
This is important because it will affect the demand for rental properties in the area.
If the economy is strong, there will be more potential tenants, and they will be willing to pay more. But if it is weak, there will be more vacant properties and less demand for rentals.
This can affect the desirability of the rental property.
A desirable neighborhood will be safe and attractive and have good schools and amenities. On the other hand, an undesirable area will be less safe and attractive and have fewer amenities.
Other things to consider with real estate investing include good visibility and easy access to public transportation. They should also be close to popular amenities like restaurants, shopping, and entertainment.
The Size Of The Property
Perth rental properties come in all shapes and sizes, from one-bedroom apartments to five-bedroom houses. The size will affect both the average rent and operating expenses.
For example, a larger unit will require more utilities and maintenance than a smaller unit. However, it will also be able to command a higher rent.
As a result, you will need to carefully consider the unit size when searching for the right rental property.
The Condition Of The Property
When considering different rental properties, pay close attention to their current condition.
A house that needs significant repairs will be more expensive to maintain. It will likely sit vacant for longer while you wait for the right tenant. Meanwhile, a rental property that is move-in ready will be much easier (and less expensive) to manage. It will also most likely attract higher-quality tenants who are willing to pay more rent.
It’s important to strike a balance between making necessary repairs and overspending on luxury features. But, generally speaking, it’s better to err on the side of caution.
Before you sign a lease on that investment property, make an effort to check the property’s condition. Don’t be fooled by superficial appearances.
Without due diligence, you could be inheriting an unprofitable rental property. Here’s what to do when inspecting the house:
- Inspect the kitchens and bathrooms, looking for evidence of leaks or water damage.
- Check that all the home appliances are in good working order.
- Take a look at the windows and doors, making sure that they close properly and that the frames aren’t warped.
- Check for signs of insects or rodents.
By taking the time to thoroughly inspect an income property before you sign a lease, you can avoid costly repairs down the road.
By understanding what’s coming down the pipeline, you can make an informed decision about whether or not the property is a profitable investment.
For example, if a new commercial building or shopping centre is slated for construction nearby, that could mean an influx of new residents – and more demand for rental units. Conversely, if a major employer is planning to move out of the area, that could have a negative impact on rental prices.
By keeping tabs on future developments, you can increase your chances of finding an ideal rental property that will be profitable in the coming years.
No one can predict where or when a disaster will strike. But knowing the risks can help you make informed decisions about where to invest.
For example, coastal regions are often at risk for hurricanes. Meanwhile, inland areas may be more susceptible to floods or tornadoes.
Take the time to research the risks in each potential location. That way, you can safeguard your property investment and maximize your chances for a profitable rental property.
Here’s how to minimize your risk:
- Research the area carefully. Pay attention to news reports of past natural disasters. Also, learn as much as you can about the chances of future events.
- Talk to local officials. Ask the municipal planning department about evacuation plans and what infrastructure is in place to protect against natural disasters.
- Purchase insurance. Have adequate coverage in case of damage or destruction.
- Create a contingency plan. Have a plan for what you’ll do if a natural disaster does occur, including where your tenants will go and how you’ll communicate with them.
These steps can help protect your investment properties and give you peace of mind.
From location and size to condition and future developments, each factor plays a vital role in determining whether or not a particular property is right for you. You may also consider hiring a professional real estate agent to help with your search. By keeping these factors in mind during your search process, you’ll be well on your way to finding a profitable rental property that meets all of your needs.