Episode 2 – Investor tips when purchasing a tenanted property
Saturdays with Sally – This was our second Facebook LIVE event. Every second Saturday, we do a Facebook LIVE event to communicate with our audience. Our aim is to offer education content to investors, property owners and occupiers in the Launceston rental market.
In this episode, Sally provided tips to investors who are purchasing an investment property with a current tenant in place. It is really important to talk not only to the sales agent who is selling you the property but the actual hands on property manager, taking care of the day to day management of the property. It may not be a worthwhile investment purchase if you find out the tenant is in serious breach of rent arrears and hasn’t paid rent in two months, oh.. and is pending eviction!
Tips to ask the existing property manager:
- How many tenants are on the lease here? Keeping this in mind for wear and tear on the property.
- Industry standards, is the property currently compliant? (Think heating/wiring upgrades, smoke alarm compliance etc)
- Do you have any concerns with this tenancy from rental payments to maintenance?
- Are there any pets on the lease? (Ensure you obtain correct landlord protection insurance)
- Ask to see a copy of the current condition report ensuring you are aware of how the property should be maintained, was it clean and functioning well when these tenant’s moved in? Any upgrades you should budget for?
- Any lease inclusions? (Think water usage, gardener)
Don’t forget to tune in every second Saturday to our Facebook page for future tips on Facebook LIVE. You are able to ask questions live and have Sally answer them for you. What if you miss it? Don’t worry, the recordings will then also be placed here for you so you don’t miss an episode!