How to Increase the Yield on Your Investment Property

As has been well reported, residential rents have been going through the roof in Western Australia. So much so that first home buyers are doing their sums and the numbers suggest that it is becoming more viable to buy rather than continue on the rental merry go round.

This assumes, of course, that one has a reasonable deposit and a steady wage with which to service the loan. At some point in time though rental demand is going to peak which may well see rental yields return to long term trend levels.

There are some simple and obvious ways to maintain a good level of rent when things turn around and therefore give you the highest and best return on your investment. I’ve listed a few here for you:

Renovate and Profit

Every property needs a face lift from time to time, even the home you live in. Obvious things such as painting, replacing carpets and window treatments whilst not outrageously expensive will certainly add value to the rent as well as attract a better quality tenant. If you want to spend a bit more, then upgrading the kitchen is a definite plus.

Replace Appliances

If you can’t afford the full kitchen reno, simply replacing the stove, hotplates and maybe installing a dishwasher is a cheaper option and will give the property a boost.

Safe and Sound

We are becoming far more security conscious and at the very least a property should have a quality security door and also security screens on the windows. Security is a big deal, especially for older people and single ladies. It’s just a fact of life.

Secure Car Parking

If your property has a garage or open carport an automatic security door is essential. Car theft from cars parked in driveways and insecure carports is on the increase. Why make it easy for thieves? Give your tenant peace of mind.

These are some relatively simple and inexpensive ways to add value to your rental property.

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