Whether your property is part of a long-term investment strategy or intended to achieve short-term goals, effective management is crucial to the success of your investment. Property management ensures that your property is maintained, tenants are satisfied, and your investment performs optimally.
Finding the right property management team can sometimes be overwhelming, but it is essential to ask the right questions and look to those with experience, dedication, and a reputation for providing outstanding service.
While there’s no singular rule as to where to invest, there has been a notable shift for the ‘away investor’, with many landlords looking to expand their portfolios in locations far from their primary residence. For the savvy investor, it makes sense to invest in areas that are poised for growth and impressive returns; however, it was not all that long ago that many investors kept their portfolios closer to home.
Great management comes with great knowledge of a region. Strong knowledge of the local region is key to effective property management. The concerns and needs of one property and its tenants may be vastly different from those of a similar property in another location. A property management team that understands the local landscape – both in terms of relevant legislation and the community’s unique environmental and social characteristics – will allow for a greater understanding of what is needed to make your investment a success.
For example, compare the needs of a regional property to those of an inner-city location: not only are the properties themselves likely to be different – in terms of type of property and size, as well as population density – but the needs of the tenants can differ to some extent as well. Those living in regional areas may have different needs when it comes to transportation, local amenities, or community services compared to urban locales.
If you take into consideration the climate and landscape of a region, this may also add another level of complexity to property management. For instance, areas prone to flooding, rising sea levels, or extreme temperatures require a specific level of knowledge and preparedness. It’s not that these areas demand more attention; rather, it is crucial to understand how these factors can impact a property and its tenants.
Remote or ‘away’ investors are at no disadvantage when it comes to owning and managing property in a different region. Local property managers offer valuable expertise, not only in understanding their local region but through their active engagement within the community.
Your local property manager knows, better than most, how the market is sitting and is best suited when it comes to preparing the property for rent, finding the right tenants, and ensuring the success of your investment.