What To Do If Your Tenant Vacates…
If your tenant vacates your property you should trust your property manager and listen to them about the state of the market. Your property manager is dealing with the rental market’s performance every day and will likely have similar properties to yours in their portfolio.
When we give you an updated assessment of your rental property we are now required under the Code of Conduct to supply you with evidence that supports our appraisal. This information is really important for you to review, digest and gain the knowledge of where your property is sitting in the current market. In this market it is no longer the case to “let’s test the market” at an improbable figure, prospective tenants are well informed through real estate portals like realestate.com.au and know the value of rental properties. It is a case of supply and demand, over supply and lower demand unfortunately equals lower rents.
REIWA is telling us on average it is taking 8 weeks to rent a property, this is about 4-5 weeks of no rent and therefore no income. That is around 10% of yearly income from a rental property, a sizable amount of money. If a property is marketed at $515 per week and adjusted to $500 per week – it will take less than 2 weeks of having a tenant in the property to make up this difference in rent.
We don’t want to be all doom and gloom about the rental market, but we do want to make sure that you are getting the absolute best return out of your investment, so some good news. In the last 30 days our average days on market is 4½ weeks. While this of course is an average our team of property managers are trying to be proactive when making recommendations to you in getting your property leased faster. Recommendations are not only price, things to consider to make your property look the best on market is neutral painting, upgrade old carpets or getting it to look good on the internet with professional photos. No matter what, in the end we can’t rent your property if we get no enquiry, so listen and trust in the advice of your property manager, she is trying to do the best thing for you.