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Investment tip: Ask a property manager for rental valuation—not the sales agent
Aside from constant education and mentorship, Lisa Indge credits a huge part of her success in property investment to her knowledge and experiences as a business owner and a property manager.
Spending years helping investors lease their properties out and make sure that they get good results out of it has made Lisa appreciate the value of property managers in her own financial team. She says that establishing a good relationship with a local agent can ultimately help a property investor achieve his goals.
Her advice to budding property investors: Seek the advice of a property manager before making any purchase.
"Ask your current property manager to look at that property before you purchase it. Don't take a sales agent's rental valuation because they're often incorrect," she told Smart Property Investment.
"Talk to local property managers, they are the ones renting properties out on a daily basis. Surely, they have some valuable information for you about what rents well and where the sectors in that market place are particularly short on supply."
Property managers like herself are often happy to offer their services to potential clients.
"Establish a relationship with a local agent like myself. I love going out and looking at properties, I never get sick of it. We always offer that service free to any potential client. If they want us to go and look at a property, give them a rental valuation, we're very happy to do that in the interest of picking up business," she said.
Keeping in touch with the property manager will make way for a more "comfortable purchase" for the investor, according to Lisa. Aside from making sure that the investor will not overspend on the property, they can also gauge the rental value of the property investment.
She concluded: "That's a really important factor for investors—you need to feel really comfortable with the rent you're going to achieve and, obviously, you need to factor some fat into that as well. But make sure you do your market research on the rental side as well as the purchase side. It's not [only about] one side of the equation."
Tune in to Lisa Indge's episode in The Smart Property Investment Show to find out how she negotiates rent increases and what she looks for in investments—both within and outside of her self-managed super fund.
