Increasing return on investment, or ROI, is the goal of every investor. When you buy investment properties in Austin, you expect to earn a regular cash flow as well as long-term returns that will create some impressive financial wealth.
As long as you make good choices, achieving a great ROI is possible. Today, we’re sharing a few of the important things you can do to earn more on your real estate investment.
Provide an Outstanding Rental Home
You need to offer a home that good tenants will want to rent. You’re not going to increase your earnings when your property is falling apart and deteriorating. Before you put it on the market, make sure it’s clean, functional, and attractive. Make a few upgrades and updates to make the property modern and appealing. Pay attention to the curb appeal and landscaping. Put fresh paint on the walls and make sure the carpet is clean or replaced.
When you’re buying an investment property, buy with your ROI in mind. Look for a home that’s in a desirable neighborhood and in excellent condition. When your home is priced competitively and looks great, you’ll increase your ROI by renting it quickly to the best tenants for the highest price. Remember that nothing kills ROI faster than vacancy. Don’t let your property sit unoccupied for weeks or months.
Attract and Retain Great Tenant
Good tenants will help you earn more ROI. When you place the right residents, they will pay rent on time, follow the requirements of the lease, and help you maintain the property. Make sure your screening process is set up to qualify only the best tenants. Talk to former landlords and find out what their experiences were like renting to these applicants. You’re looking for a tenant who is easy to work with and communicate with. You want someone who will renew their lease year after year, saving you money on turnover and vacancy costs.
Don’t settle for bad tenants. Not only will you run the risk of property damage, unpaid rent, and dozens of other headaches; you’ll also watch your ROI suffer as you struggle through evictions and repairs and unnecessary expenses.
Focus on Preventative Maintenance
With a rental property, you’ll need to respond to routine and emergency maintenance issues. When your goal is to increase your ROI, you’ll want to focus on preventative maintenance as well. Schedule annual and routine inspections of your HVAC unit, your roof, your landscaping, and other property functions. This will provide you with peace of mind as well as long-term savings. Having a qualified technician inspecting and cleaning your heating and cooling unit once a year will extend its lifespan and protect you from expensive emergencies. When your gutters are cleaned every year you won’t have to worry about water seeping into the home and causing further damage. Preventative maintenance saves you money.
Work with Professional Austin Property Managers
Finally, a great way to increase your ROI is by working with professional property managers. The resources and expertise you can access with the right property management company is impossible to measure when it comes to value and service. Your property manager will protect your asset, save you money, and increase the returns you earn on your investment.
We have more ideas we’d love to share with you. Contact us at AustinVestors Property Management to discuss your ROI and any questions you have about Austin property management.