Owning an investment property is an exciting achievement that offers financial security, mortgage assistance, tax breaks and deductions, and property appreciation (to name a few). With a steady increase in rental rates in Greater Vancouver and low vacancy rates, investing in Real Estate couldn’t be a better investment.
Although there are many benefits to owning rental property, there are also many factors to consider including: tenant and vendor management, regular maintenance and upkeep, accurate pricing for the current rental market, your investment needs as the owner, marketing fees, knowledge of the Residential Tenancy Act (RTA) of BC, correct forms and procedures, and risk of possible legal litigation or arbitration. Here’s how hiring a rental property manager can help guide investors through the ever-changing Real Estate and rental market in Greater Vancouver.
- Rental Market Expertise
Pricing rentals can be one of the most difficult tasks for investors. While it may seem sensible to go the DIY route and look at similar properties when pricing, it is also important to consider maximizing monthly income and ensure a low vacancy rate. With the help of a rental property manager, investors will gain a thorough market study and be provided with detailed information on vacancy rates, average rental values, and gain advice on property types and property features that will attract ideal tenants. This valuable market research will ensure the owner/investor is making an informed decision.
- Retaining & Managing Tenants
Finding the right tenants can affect an investor’s monthly income. A high vacancy rate may discourage potential renters from renting in the building and may require the investor to lower the rental price due to lack of prospective tenants and interest, which in turn affects the investor’s cash flow and ROI (return on investment). More vacancies means lost income. Another point often overlooked is finding a good tenant that will limit the amount of repairs that need to be done during the term of the tenancy, or you may get lucky and find a tenant that is willing to help out with repairs to reduce your costs! A good rental property manager will know what to look for when it comes to identifying a possible good tenant or bad tenant based on their past experience and expertise.
- Less Involvement
Dealing with tenant requests, paperwork, and showing properties can be time-consuming. From endless calls to requests and complaints, managing an investment property can sometimes feel like a chore. With the help of a rental property manager, an investor can reduce their level of involvement with their tenants, and ensure they have more time to focus on what’s important to them.
- Rental Law (Residential Tenancy Act) Expertise
Conflict resolution is important when dealing with tenants, especially when trying to create a positive relationship. A good rental property manager should have an extensive knowledge of the rental laws in BC (Residential Tenancy Act) and can help an investor avoid potential lawsuits or arbitration hearings. They will not only ensure the rental is in compliance with the laws, but also act on the investor’s behalf to resolve stressful situations like evictions and property damage.
- Access To A Large Network of Trades
Coordinating regular maintenance and inspections can be difficult without a trusted team of professionals. Rental property managers have access to a large network of trustworthy companies, trades, contractors, suppliers, and vendors. They will not only get the job done right, but also ensure a great price.
At CENTURY 21 Prudential Estates (RMD) Ltd., we help guide Real Estate investors to success with the help of our rental property management team. Whether you have one or multiple investment properties, our team of professionals are here to help! Contact us for a free proposal today!
