As Australian millennials tend to have lower rates of financial comfort than those over 50, according to Members Equity Bank’s Household Financial Comfort Report, younger people looking to eventually purchase a city home are turning to investment properties to help build their portfolios and renting them out as an additional source of income.
While becoming a landlord sounds like a tempting prospect, it can present a number of difficulties and complexities for the unprepared. Those looking to buy property in Carlton can benefit from the expertise provided by a property manager.
Renting out property is not as simple as choosing a tenant and collecting rent cheques; there are a number of rules and regulations to be followed. The NSW Residential Tenancies Act 2010 outlines the many laws a landlord must be familiar with over 12 distinct parts. Making sure that you’re in compliance can be a headache, even for someone with legal training. A local property manager who is familiar with applicable legislation can help you avoid costly mistakes.
Some areas where an unprepared landlord can face penalties include:
Some landlords are comfortable with their responsibilities, but others will find that a property manager suits their needs.
If you live outside of a certain distance from your rental property, you may find it inconvenient to check in when necessary. A local property manager can keep an eye on things and take care of incidents on your behalf.
Landlords who have expanded their holdings may suddenly find themselves with more properties than they can handle. Hiring a property manager can take the burden off of keeping tabs on so many units.
If these apply to you, or you just want to take the hands-off approach to being a landlord, contact Ray White today to learn more about property management in Carlton.