Best Ways to Maximise your Rental's ROI
Updated: Mar 24
If you’ve taken the leap into owning a buy-to-let flat, chances are that your main goal is to make a profit. While investing in rental property can be profitable for many landlords, to make it successful you need to use smart strategies to ensure that you’re getting the best return possible.
The good news is that there are steps you can take now to maximise your property’s return on investment. Here are a few of R.A.D Property Management’s top tips!
1. Proactive Maintenance
To get the best return on your rental property, it’s important to always keep your property in move-in condition, whether you have a tenant or not. The quickest way to lose money on a rental investment is to let the condition of your property deteriorate or assume that your tenant will be handling all the necessary maintenance and repairs themselves. Therefore, it’s important to set up and carry out a proactive property maintenance schedule.
A property maintenance schedule ensure that all the small problems are taken care of before they develop into larger, much more expensive ones. This begins with regular, detailed property inspections, then includes both preventive maintenance and making small repairs and improvements as they are deemed necessary. Over time proactive maintenance tends to cost less than dealing with expensive emergency repairs and ensure a positive return.
2. Upgrade Screening Process
Another important way to keep your returns high and expenses low is to screen potential tenants more effectively. Your ability to profit from your investment depends on finding a quality tenant who will not only keep the property in good condition, but who will also pay their rent every month, on time and in full.
Finding a quality tenant depends on a thorough and efficient screening process. It’s important to collect information and check an applicant’s criminal and financial background. It is also vital to reach out to their references and prior landlords. The more carefully you screen beforehand, the more likely your tenant will be the responsible renter you’ve been looking for.
3. Cultivate Positive Tenant Relations
Finding a good tenant is just the first step; to really maximise your returns, it’s important to encourage your tenant to stay long-term. Reducing tenant turnover and vacancies is a key part of maintaining positive cash flows. R.A.D Property Management prides itself on ensuring that landlords never miss days rent while using our services, even if there is tenant turn over.
So, how do you encourage a tenant to stay? An effective approach is through a property management company who can cultivate positive, professional relationship with the tenants. Some of the key elements of good tenant relations include:
• frequent, positive communication.
• offering different ways to stay in touch.
• setting clear expectations.
• treating your tenants – and their time – with respect.
• being available and responsive to their concerns; and
• offering convenient ways to pay their rent.
In these and other ways, you can foster good relations with your tenant and, at the same time, maximise your investment’s return.
4. Professional Property Management
Ensuring that your investment rental property will pay off takes both time and work. Owning and effectively managing one or more rental properties is a job that takes a range of know-how and skills. For this reason, a great way to maximise your return is to hire a professional property management company like R.A.D Property Management.
R.A.D Property Management ensures your properties or proactively maintain through regular property inspections as well and setting clear expectations with a comprehensive inventory and condition report. We also conduct thorough tenant reference checks and credit checks to ensure we match the right tenant with the right property. Finally, we are a 24/7 point of contact with your tenants building positive relationships and trust.
Get in contact to find out more about how R.A.D Management can help you maximise your rental’s return on investment.