Top 10 Common Landlord Traps
For the past few years, we’ve seen the decline of investors in the real estate market. The rising interest rates together with tenants from hell made it a double whammy for some property investors.However, the current interest rate climate is now more favorable for investors. The downward trend of interest rates can give landlords more cash flow from their investment property. Meanwhile, you can manage to steer clear of tenants from hell if you avoid these 10 landlord traps discussed in this article from news.com.au :1. Not screening prospective tenants carefully2. Delaying to take action with late payments or sometimes even non-payment of rents3. No landlord insurance4. Over committing with no spare cash for other expenses such as council rates, land tax, water rates, maintenance costs and management fees.5. Not responding immediately to maintenance and repair issues6. Having friends as tenants7. No regular inspections8. Self-managing your property9. Investing in the wrong location10. Being too greedyIn the last landlord trap, there is an interesting note about why some tenants are willing to offer more than the normal rental rate…it could be because they’ve been bad tenants in the past.Property is still a good investment choice. There are some pitfalls, but most of them can be avoided if you do it right. If you want more information about investing in properties, please give RK Realty Group a call 1300 738 074.
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