You don’t hear the phrase “I want to be a landlord when I grow up” very often. Yet all manner of people find their way into landlording, often via an indirect route. Maybe they’ve invested in real estate, inherited a property, or moved from their own home but decided to rent it out because it’s hard to sell. If you’re thinking of becoming a landlord for the first time, there’s much more to consider than how much rent you can charge. Let’s look at some of the pluses and minuses to owning and managing rental property.

Property Management Gold Coast..Great Things About Being a Landlord

Owning rental property on the Gold Coast offers these financial and lifestyle benefits:

• Appreciation and wealth building. If you hold onto your Gold Coast property long enough, it will almost certainly go up (“appreciate”) in value — eventually.  Since World War II, real estate prices in Australia have risen an average of 5%-10% a year (with some nerve-wracking ups and downs in between). It’s a great way to increase your net worth.
• Income. A well-managed Gold Coast investment property, with tenants who pay the rent on time and monthly expenses that are less than the rent, can bring you a steady stream of income.
• Diversification of income. If you’re laid off from your job, or your health takes a turn for the worse, your primary source of income — presumably your salary — could be jeopardised. Owning an investment property on the Gold Coast  diversifies your income stream, and can give you a cushion.

• Low-risk investment. Unlike more volatile investments, the returns on Gold Coast real estate are fairly steady. While stock values can fall or even disintegrate entirely, land and property won’t disappear on you.
• Investment diversification. Owning Gold Coast property also diversifies your investment portfolio, a cardinal rule of investing. As you approach retirement, it’s good to start shifting into lower-risk investments, to ensure that the cash you need doesn’t disappear when you’re relying on it.
• Leverage. Unlike other investments, a little bit of cash will buy a lot of real estate: A down payment of 20% of the value of the property is usually enough to get you started. Leveraging your investment allows you to trade up to more profitable Gold Coast properties.
• Short-term tax advantages. While the rental income from your property is taxable, you can also deduct most of the expenses related to owning and maintaining the property. Among these are mortgage interest, insurance, repairs, and upkeep. They also include your business expenses, such as phone calls, office supplies, accountant and lawyer fees, and more. Another major tax-advantage is the ability to “depreciate” your property — to take an annual deduction that reflects the decreased value of the property caused by wear and tear.

• Long-term tax advantages. Even if your property skyrockets in value on paper, the tax man won’t expect you to pay taxes on that increase until you sell. And when you do sell, there are various strategies you can use to decrease your tax liability.
• Professional development. Being a landlord and owning property can give you a sense of accomplishment (and some stories to tell at parties). It shows that you’ve broken out of the mold of the average working stiff, and are willing to take risks and accept major responsibilities. You’re learning new skills involving finances, dealing with people, and maybe even home repair, which may help you in other areas of life.

With a rental property management service, you save valuable time and energy. You won’t have to deal with rent collection and the cumbersome maintenance of property. Even with property management software, being a landlord can be a painful chore. You’ll have to deal with tenants, running credit checks, rent collection, and being “on call” every time something goes wrong with the rental.

Using our Gold Coast Property Management team, you don’t have to worry about any of these things. We will do your property inspections, maintain the landscaping, screen tenants, collect rent, and even provide you with your financial statements for your accounting purposes.

Gold Coast Property Management is a comprehensive resource for home owners, property investors   and companies seeking  to find Property Managers  to manage their Gold Coast  properties.

Melissa & John Bradstreet are very active Licensed Professionals servicing property owners on the Gold Coast. They provide cost-efficient and effective management specialising in residential properties. “We can customize our services to achieve our client’s specific goals.

You can contact Melissa or John on 0416243629 or email PropertyManagementGoldCoast@gmail.com for more information  or to arrange a no obligation appraisal on your property today.