DIY rental property management
Are you starting to write your own property investment story? Handling a rental home can make for an exciting and rewarding tale, but it pays to be aware of a few of the potential plot twists awaiting those who wish to tackle this adventure on their own.
Deciding whether or not to go solo or to employ the expertise of a property manager can be a game changer; one of the most important decisions a landlord will make towards the overall success of their investment property.
Advice from Oxygen's property managers
It is easy to be lulled into a false sense of security when it comes to DIY property management. You might know someone who manages their own property and claims the task to be simple enough, but unfortunately, while you yourself (the landlord) and the house may be straightforward...tenants never are. Your friend might have more luck on their side than you realise.
In addition to unpredictable tenants, you also have to prepare yourself for the mountainous legal implications that await you when taking the responsibilities of property management on. The law is a fundamental part of property management. You will need to ensure that you possess a thorough understanding of the rules and regulations (not to mention the paperwork) required throughout the entire process.
Other hiccups simply come from the everyday elements associated with owning an investment property. These issues can range from small nuisances such as organizing lawn mowing, all the way to – at the other end of the spectrum – colossal fiascos: the kind that draw you out of bed at 3am on a public holiday to arrange for emergency linesmen and electricians to get the power working again for your panicking tenants.
On the subject of tenants, it should also be noted that – in placing yourself personally on the front lines of property management – there is certainly potential for uncomfortable personal connection between yourself and those who pay you their rent money. Your polite, friendly nature could win you a collection of equally friendly tenants; we hope you are one of these lucky ones!
In some cases, tenants feel they can play the ‘friendship’ card to talk themselves out of bad behaviour (complaints from fellow tenants or neighbours), relinquishing bond money for repairs, and sometimes even payment of rent! As a property manager, you should never have to feel uncomfortable about chasing up rent or deducting bond money for repairs.
Avoiding conflict with tenants
If you feel you might end up facing unwanted conflict in these circumstances, we encourage you to seek the advice of a professional property management company, as such companies remove emotion from the equation and have the required experience to handle such matters with diplomacy and tact.
Property managers are also well-experienced in the art of ‘first impressions’; they know what qualities to look for in a potential tenant, which can save you plenty of future drama.
On the reverse side of this situation, tenants can often fall victim to an intrusive landlord. Some landlords feel that because they own the home, they have the freedom to enter the grounds of the property at leisure and without warning.
Consideration of tenancy laws
When you have agreed to house tenants in a home you own, it becomes their private dwelling. For this reason, there are strict tenancy laws in place that stipulate how often inspections can be done as well as the amount of notice you are due to give your tenants before arriving. Failure to comply could land you some severe and costly penalties.
Once your property is no longer vacant, your contracts have been signed and your tenants are settled: leave them to it. Keep things professional. You wouldn’t see a hotel manager waltzing into the rooms of their guests without calling first: in the same way, you shouldn’t see a landlord walking around the garden or entering the front door without notification and proper communication prior.
It certainly is not impossible to manage a property on your own, but it can be a challenge! At Oxygen, we sincerely advise that you seek the counsel of a professional before taking this risky dive.
When it comes to property management, you truly cannot beat experience. If you are considering renting out your property, contact our team for a free rental appraisal.
