Rental Ready

Diversifying Your Investment Portfolio

/ Khalid Keshavjee / Leave a comment

Recently, Saadat and I were at a seminar on economic trends in the global economy, and how that impacts investment strategies. One of our key takeaways was the value of alternative investments.

What is an alternative investment? An alternative investment is anything that is not a stock or a bond, can make you money, and does not tie directly to the investment market. Having alternative investments in your portfolio helps you to manage in turbulent economic times. While they may not necessarily provide you as great a return as investing in stocks, they provide a safe, steady and stable return. These can include currencies, pair trading , or even roulette! However, many of our clients have found success in owning investment properties.

When bought and managed well, rental properties provide stable cashflow to the owner in the form of rent, and strong appreciation upon sale. In most market conditions, having a good rental property should cover your operating costs, and leave you with some money in your pocket at the end of the day. If managed well, they can be used to fund your retirement down the road, as they become incredibly profitable once the no longer have a mortgage.

The biggest risk with buying an investment property is buying the wrong one. So often, clients have come to us with investment properties that they have bought and are disappointed when they do not see the yield they had expected. Often they expect a higher rent than what the market can bear. In these cases, an owner may be covering some of the costs of renting the property out. Buying the right property with the right advise can minimize this risk.

Whether buying a single investment property or making a larger investment in an apartment building or a commercial space, having the right advice is of prime importance.

Looking to diversity your investment portfolio, or have an investment property that needs managing? Contact us today

Photo Credits: Rob Berger: Dough Roller

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HOW DOES A LANDLORD MAKE A PROPERTY “RENTAL READY” ?

/ amhurst12 / Leave a comment

rental ready, Amhurst Property Management, Calgary Property

When you have a tenant that moves out of your rental property, it is imperative that the property is made ready to be re-rented. Landlords often think a property will rent as it is but this is not the case in general markets and certainly not the case in soft markets.

Here are five ways to make your property rental ready:

  1. Clear the house of unwanted items, from both inside and outside the unit. Remember, a clean curb appeal is important when you are trying to rent a house. Thorough cleaning of the unit is vital. This includes walls, floors, light fixtures, doors, frames, baseboards, walls and trim. Give special attention to bathrooms and kitchens, which are the main selling feature in any home.

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  1. Freshen the paint if required. Painting is an area owners often leave unattended, but it is a very important deciding factor for tenants. If the walls look tired, blemished, and marked, the tenant will go elsewhere. Refreshing the walls (and trim if required) can make the difference between renting the place and having it vacant. Coloured walls are typically less appealing than neutral colours. Most tenants tend to prefer neutral colours such as taupes, creams, and greys.

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  1. Attention to detail in such items as light fixtures, plug and switch plates, door knobs, and other details is imperative. If prospective tenants come to see your rental property and notice that it is missing items such as curtain rods, blinds or other items, they may pass judgment on your standard of care as a landlord. This will detract them from renting your home. Little things like a rusted shower curtain rod, a dowdy looking drape, a plug outlet with a broken cover, a stained toilet or toilet seat, can make the difference between them renting your property and going elsewhere. Think seriously about these matters as renting a house is an emotional exercise; the little things turn people away.

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  1. In cold weather, do NOT turn the temperature down in your vacant suite, just to save on heating bills. A cold house has a negative impact on potential tenants, as it does not have the homey feel. Keep the temperature above  18 degrees, so as to ensure the property feels inviting.

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  1. Finally, if something appears like it needs a renovation or replacement, such as dowdy counter tops, or cabinets or blinds, just DO IT! Tenants do not want to live in a place that feels older or poorly taken care of. It is worth putting in the time and money to keep your rental property up to date so as to maintain a steady cash flow. Sometimes, your delay in this area can leave you with a vacancy for longer than you know.

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Amhurst specializes in making your rental property rental ready! Do not hesitate to contact us for more information.

Amhurst Property Management