LJ Hooker

A Seasoned Property Investor’s Guide to Maximise Returns p. 7 1 Am I generating the right rental income? Charging your tenants the correct level of rent for your property and location is fundamental to the success of your investment, and it’s important to review this each year as the market changes. Generally, your property manager will provide you with the best indication of what your rental income should be and also advise you on when you should be increasing the rent and by how much. Remember, you want to make sure that the rent you are asking for is competitive in the market so that you attract good tenants while also getting a strong rental return. However, it’s also important to do your own research of the market to get an understanding of how much similar properties are renting for in your area. The LJ Hooker website is a great starting point to do your research. When looking at comparable properties, look for the same suburb, the same sized house/unit in a similar condition, and those with similar amenities and land size. If from your findings you believe that you are under-charging the rent for your property, talk to your property manager to see what they think – this is an important step, as they live and breathe the local market. Based on your discussion with them, you could perhaps look to increase your rent within the regulations of your tenant’s lease, or look to adjust it once the current lease has ended.