Get the knowledge, get the keys.

Get the knowledge, get the keys.

Pros and Cons of Renting Your Property Privately

Little house with paperwork
Share on facebook
Facebook
Share on pinterest
Pinterest
Share on twitter
Twitter
Share on linkedin
LinkedIn

Managing a rental property may appear simple on the surface – all you have to do is find a tenant and sit back and collect the rent – however there is much more to the process which is why more than 75% percent of investment property owners engage agents to manage their asset.  

Managing your own rental property does offer some benefits, and with research you can avoid many of the pitfalls that working with a trained agent protects you against.  

Property managers take on a number of responsibilities outside of just finding a tenant, such as collecting rent, carrying out property inspections, booking trusted tradespeople to make repairs, and helping you claim damages in the case of a bad tenant.  

Most agents charge between 7% and 10% for their services, as well as a set up fee when they find your first tenant.  

Those who choose to self manage usually do so for the following positives, and we have also listed the potential negatives of taking on the responsibility yourself.  

Positives 

Save Money 

Instead of paying up to 10% of your weekly rental payments to an agent, you can keep the amount, which for some rentals, adds up at the end of the year.  

Your Property, Your Standards 

An agent will assess all tenant applications based on income, employment, and rental history, however if you like to know the person renting your property this is the best option. Meeting with your tenants also allows you to ask questions an agent may not.  

Cons 

Time 

Managing a property can take up a lot of time between booking and holding inspections, interviewing tenants, and dealing with maintenance and repairs. Imagine being woken in the middle of the night to an emergency such as a burst pipe, lost keys, or similar.  

Legal and Legislation 

How confident do you feel knowing where you stand as a landlord in regards to late rent payments, bond deposits, evictions and property damage.  

Being Too Attached 

Sometimes it is hard to let go of things you have worked hard for, especially in the case of an investment property. Tenants are afforded a number of rights under Australian law and it is easy to overstep what is allowed as an owner/landlord.  

5/5 (1 Review)

Share this post

Share on facebook
Facebook
Share on pinterest
Pinterest
Share on twitter
Twitter
Share on linkedin
LinkedIn

Latest Articles

Leave a Comment

Your email address will not be published. Required fields are marked *

Continue Reading

Topics

Stay Informed

Subscribe to our mailing list for the latest updates and breaking news in Australian property.

Scroll to Top

Subscribe

Subscribe for the latest updates and breaking news in Australian Property