Top advice to investors
Once you’ve chosen your investment property, there are many simple things that may cost you a bit more upfront but are guaranteed to save you money in the long run. Install a smoke alarm Smoke alarms don’t cost much; however, many landlords don’t have one installed in their rental properties, which can end up costing a fortune if a fire was to occur, on top of putting the lives of your tenants at risk.
Inmanycasesyour insurance policy may be voided for fire-related accidents if you haven’t completed a smoke a l a r m c h e c k i n t h e l a st 1 2 months. Don’t ignore mould It may seem like a small problem that is easily fixed; however, if you leave it for too long it can end up costing yo u a l o t o f money.
I know of a landlord who pays the electricity bill on behalf of his tenants because they have to use a dehumidifier full time to stop the mould spreading.
If you can help it, try to stay away from south-facing properties that are poorly ventilated. Make it secure By not installing small things like window security bars you are putting your tenants at unnecessary risk of harm and theft.
Also, the damage to your property from someone breaking in through the window can often be much more expensive than the cost of a few simple security measures. Get a good strata manager If you have a poor strata manager or you yourself never do check-ups on your property, you’re unlikely to know about minor repairs or maintenance that is needed.
These minor repairs can quickly turn into a major, very expensive repairs if left unattended. Don’t skimp on tradesmen When you buy a property there can be a lot of upfront expenses, especially if you’re renovating, so it can be tempting to let a friend of a friend who does some plumbing on the side redo the bathroom for you at a cheaper cost.
However, this can end up costing you much more down the track when you need to pay a professional to fix all the errors.
Renovations require time and skill.
I always outsource to a professional who can manage everything and will get the job done to a very high standard very quickly.
DON’T SKIMP: Installing a smoke alarm is important in any investment property.