Thursday, April 30, 2009

Metro Property Management Simple Investment Tips

Now is the time to invest in property! This is the silver lining in a dark cloud. If your numbers add up and you can add or start your portfolio what should you look for?

Here are some tips:

There is an advantage to the property being new, you have less maintenance plus there will be a builders warranty
New properties are much easier to rent out
In the current market they offer great value for money
In turn you will get good capital growth
Allowing you to maximise tax benefits while minimising the cost of owning the property

Once you have made the investment decision the next step is to find a property manager who will look after your property.

At Metro property management our clients love doing business with us because:

Property management is our core business so our clients deal with one company instead of multiple agencies
We manage properties here, there and everywhere which means no matter where your property is located we can manage it for you
Our clients love having one point of contact and consistency in the level of service we provide
We easily handle multiple properties
We are the experts in managing large developments, off the plan, complexes and new homes
Our focus is on minimal days on market
Our team is committed to the performance and growth of your investment
Our property managers ensure your rent is paid on time
We pride ourselves in regular feedback

Thursday, April 23, 2009

Choosing the right property manager to care for your investment!

Finding a property manager who will manage your properties is critical to investors. Here is a list of areas that you must consider prior to making your selection; and remember it is no longer necessary to use a local real estate agency, if you have several properties try and find an agent who will manage all of them as the advantages of dealing with one company and one manager far outweighs the need of dealing with several.

An informed and proactive property manager:

Understands that a vacant property is the enemy of investors
Comes to the intervew prepared with comparable rent values and an estimate valuation
Has forwarded to you via email or mail information on their business
Asks what your specific needs are and sets an agenda for your meeting
Follow us if they do not list the property
Provides references or testimonials
Understands how the current rental makret is performing
Isn’t easy to negotiate with, remember you want a property manager who can negotiate
their fees or you need to ask yourself how will they get you market value for your rental
Does not hand out keys but meets all prospective tenants at the property
Have processes in place to call or sms you after each open for inspection
Looks after a reasonable size portfolio
Clearly explains their tenant selection, arrears, rent reviews and lease renewal process
Clearly understands how you want to be communicated with and frequency
Makes contact with you on a regular basis
Provides you with simple property management statements
Provides your accountants with a financial year statement
Provides you information on landlord insurance
Attends body corporate meetings on your behalf
Is experienced at VCAT however is not a frequent attendant
Is committed to their professional development

It is important to remember that the cheapest property management rate will not get you the best property manager.

Metro Property Management core business is investment properties. We manage properties here, there and everywhere, we research every area and our clients love the fact that they only have to deal with one company for all of their property needs.

Wednesday, April 22, 2009

“Never let a good crisis go to waste!!”

Barrack Obama’s Chief of Staff Eham Emanuel told the New York times right after the election “Never let a good crisis go to waste; there are opportunities to do big things”.

More recently Secretary of State Hillary Clinton told members of the European Parliament “never waste a good crisis” and then President Obama himself explained on a recent internet address “there is great opportunity in the midst of the great crisis”.

Over the last few months we have been inundated with information about the Global Financial Crisis – the G.F.C. and the havoc it is creating globally.

It certainly has been used as an excuse for just about everything that occurs around the world and in business.

However let’s take a moment to stop, think and ask ourselves why we look for excuses or reasons to blame something or someone else for the situation we are in.

A lot of businesses can behave like ostriches. Let me stick my head in the sand and when I pull my head out the crisis will be over.

Seth Godin in his book The Dip talks about businesses going through lows and highs. It’s the decisions and risks we take in the dip that sets us up for success when the market turns.

But how many of us have the courage to act and take risks when opportunities arise. Remember out of adversity comes opportunity.

So let’s review opportunities available to us in the current market:

It is a buyer’s market; house prices have stablised or are still falling in some areas. A buyers market provides you with the opportunity to choose the best investment.

Interest rates are at their lowest since 1964 and many investors are starting to experience positive return on their investments.

Rental returns have risen consistently over the past 2 years and with vacancy rates at critical levels this will not change.

So do your numbers, if they stack up then now is the time to add to your portfolio, the return on investment is certainly stronger than what you get from stocks, shares and superannuation.

For many of you who have not invested in property before the first step can often be the hardest. However it is never too late to start.

Metro has a number of relationships with business partners that provide our clients with guidance on how to buy your first property or expand on your current portfolio.

Owning property should be financially rewarding and Metro is here to resolve the challenges that may occur from time to time.

Don’t let a good crisis go to waste and remember there are great opportunities amidst the G.F.C

Monday, April 20, 2009

Women making key investment decisions

Property is the number one investment choice in comparison to stocks and shares and women are rapidly becoming a growing force in regards to property investment.

In fact in our many years in real estate it is indeed rare to come across men who will make the final decision to buy, rent or sell.

  • Property does deliver better returns
  • Bricks and mortar is still a safe investment
  • An increasing number of single mothers and self employed women are investing in property and building portfolios

Some of the things to consider when making that investment decision are:
Upcoming areas, infrastructure, local facilities, size of property, your return on investment.

Metro Property Management manages properties here there and everywhere.

Many of our clients are women investors and tenants; we make renting or owing property comfortable, enjoyable and easy.

See you at our opens.

Interest Rate Cuts

The recent RBA announcement of a further.25% drop in interest rate cuts made it the lowest cash rate in 30years.

Consumers waited with baited breath to see if the banks passed it on.The Commonwealth was the first to reduce its rates quickly followed by ANZ and the Westpac, the NAB has held off.

No bank has passed on the full cut to their customers and it seems that they tend to take turns in who is going to lead the charge, by how much and who is going to hold.

However we do have to admit that the Australian banking system is far more secure that the US banking system and many larger banks are still making reasonable profits.Shop around for those banks that are passing the cuts to their clients and send a strong message to those that are not.

What does a further interest rate cut mean to the investor – well now is the time to invest in property. Vacancy rates are still between 1-2% ; which is at critical levels, many investment properties are becoming positively geared and although rent values have stabilised overall there is still great return on investment.