Perth currently has a vacancy rate of 0.7 per cent with regional areas also experiencing a low rate.
For those looking to invest in WA, it is vital that they understand the states legislation, to ensure their investment runs smoothly.
The Real Estate Institute of Western Australia (REIWA) said that WA has some of the highest levels of legislative requirements in the country, further exemplifying the need for informed guidance from a local Realmark property investment expert.
As a result, the number of inspections may differ to what is required in the east and the level of property condition reporting may vary.
Comparatively higher fee structures are also common.
Gabe Hagen from Realmark Urban said investors may face extra costs to begin with to ensure their property complies with the rental standards. While sometimes avoidable, these costs can be mitigated through careful consideration and planning when beginning your property investment search.
“Consulting with a property manager specialised in the area prior to purchasing may reduce the initial costs and increase yield in the long run. Leveraging the knowledge and experience of those operating in the local market is imperative to maximising your return on investment,” said Mr Hagen.
“We recommend investors request an electrical safety certificate when submitting an offer to ensure the smoke alarms and RCDs are compliant and meets the tenancy standards.”
Landlords within WA are required to respond to urgent requests within a specific timeframe otherwise the tenants can arrange for the repairs to be completed and landlords may be required to reimburse them.
“To complete repairs and maintenance promptly investors may want to consider providing their property manager with a pre-approved budget, in line with their expectations for the property,” he said.
“Another way to minimise the risk of financial loss is to insure the property. This is of paramount importance for our interstate investors looking to reduce tenant-related risks. Landlord insurance protects the owner in the event of damage or destruction to the property while tenanted and from liability claims arising from injuries occurred on the property.”
Investing out of state can be overwhelming, but with the guidance of our local investment experts and the backing of reputable WA owned company like Realmark you can ensure your investment property will be well looked after.
For more information on investment properties and property management options contact Realmark on 08 9328 0999.