With the excess of periodic leases within the Victorian rental market, it is important to ensure that your property is achieving the right rent. Your property manager should provide you with a review of this every 12 months around lease renewal or review time
Rent can be increased every 6 months when the tenant is not on a fixed term agreement. Currently, the market is very strong with very low vacancy and climbing median rents – this means that unless an up to date appraisal ore review has been completed for the property that you could be receiving rent below what the market is dictating.
During a review/appraisal, this gives you an in-depth analysis of the current market. This includes median rents, vacancy rates, stock levels and looking at recent comparable lets within the area. This allows you to see how your property would is valued within the current market.
The importance of having the maximum rent for an investment property is vital for your cash flow, future loans/refinancing. If you leave this too long, this can create your property to be receiving rent well below the market average. It can then take years with tenants in the property to get this back to be comparable with the market.
We ensure that this is completed with the end of the fixed term tenancy as well as in line with rent review times as per legislation if the lease is periodic. This ensures that each client is receiving the best outcome for their investments.