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Pool Fences Not To Be Taken For Granted

Friday, November 25th, 2011

Do you own a property with a spa or a pool that is not compliant with current legislation. Mark Harvey does and with the tragic drowning of his tenants daughter is now finding owing an investment property is not just about receiving the rent.

Click on this link to see the recent Herald Sun Article

http://www.heraldsun.com.au/news/drowned-girls-mum-wanted-mark-harveys-pool-fence-fixed-before-death/story-e6frf7jo-1226198812873

There are legislation requirements for maintaining any property regarding the safety and enjoyment of your tenant and there can be sever consequences for both your tenants and yourself if they are not met. In the case of the Harris family they have suffered the ultimate loss of their daughter. The Harvey’s are also affected along with their Property Manager due to the circumstances that took place.

Smoke detector maintenance is another liability aspect that ultimately is the responsibility of the property owner, although there is a misbelieve in the property industry that it is the tenants responsibility.

Domain Property Advocates clients now have the option to have their smoke detector maintained on an annual basis to make sure we keep the liability of the owner to a minimum in the case of a fire.

If you would like to know more about how to maintain your property to the expected standards, Melanie Dennis, Director of Domain Property Advocates would be happy to speak with you. Having a maintenance program in place helps not only with the budgeting of owing an investment but also keeps your property increasing in value with the market for both renting and capital growth. Preventative maintenance also helps keep reactive and surprise maintenance to a minimum!

Contact Melnaie Dennis on 03 9853 5599 or 0416 218 003

Tags: advocacy, auction results, Auto, Buyer Advocate, Domain, Draft, investment, liability, maintenance, Mark Harvey, Melanie Dennis, minimum, Pool, property prices, smoke detector, vendor advocate
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Rental returns on the rise

Thursday, April 7th, 2011

Rental rates increased across the nation in the March quarter with growing demand for rental properties expected to drive even better rental returns for investors as the year progresses.

Weekly rental rates increased by 1.4 per cent in the 12 months ending March, according to RP Data, while weekly rentals in the capital cities jumped by 2.7 per cent. “With limited purchasing activity based on concerns about affordability, we are likely to see increasing demand for rental property,” commented RP Data senior research analyst Cameron Kusher.

The national median rental price now stands at $355 and $380 for capital cities. According to RP Data, units are offering investors the strongest rental returns with unit rents increasing at an average of 7.9 per cent over the past five years, compared to an average annual rate of 7.1 per cent for houses.

“This result reflects changing lifestyle patterns and the ongoing densification of inner city areas and subsequent increasing demand for rental units in these regions,” said Mr Kusher. Of all capital cities Darwin offers investors the highest rental income, according to the report, with houses and units in the top end bringing in $520 and $430 per week.

Pilbara in Western Australia however currently offers investors the best rental income of all, with the median rent there sitting at a whopping $1,650 per week.

For the best property management advice contact the award winning Property Manager, Melanie Dennis at Domain Property Advocates on 9853 5599.

Tags: advocacy, auction results, Auto, Buyer Advocate, capital, cent, domain property, Draft, inner city areas, lifestyle patterns, nation, property, property advocates, property prices, unit rents, vendor advocate, Weekly
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Melbourne residential vacancy rate: below three per cent since 2005

Tuesday, April 5th, 2011

Melbourne residential vacancy rate: below three per cent since 2005

2-Mar-2011

The vacancy rate for residential properties has now been below three per cent for six years, according to the REIV January vacancy rate release.

REIV CEO Enzo Raimondo said that the vacancy rate in January was two per cent and that the last time the market was in balance was in January 2005, when a vacancy rate of 3.3 per cent was recorded.

“Whilst the vacancy rate remains below three per cent, renters are likely to face higher rents due to supply shortages and higher competition.

“In the past five years, according to the Victorian Government’s Office of Housing, the median rent for a three-bedroom house has increased by 43.5 per cent, compared to 21.1 per cent between 2000 and 2005. The median rent for a two-bedroom unit has increased by 54.5 per cent, compared to 25.7 per cent between 2000 and 2005.

“There is a direct link between the cumulative impacts from low levels of housing construction, increasing population and higher accommodation costs in the form of higher rents and a higher overall cost of housing.

“For the rental market the only solution is to build more homes, which investors can then make available for the rental market.

“Whilst the rate of dwelling commencements has begun to increase, this has only occurred over the last 12 months. The undersupply created between 2005 and 2009 has not been addressed.

“The area with the fewest vacancies in Melbourne during January was the outer suburbs, where the vacancy rate was 1.4 per cent. The inner suburbs – those within 10km of the CBD – recorded 1.9 per cent, with most vacancies found in the suburbs within 4km. The middle suburbs recorded a vacancy rate of 2.3 per cent, down from the 3.1 per cent recorded in December.

“In regional Victoria the vacancy rate remained lower than the metropolitan area at 1.3 per cent. There has been a substantial improvement in the Bendigo area, where the vacancy rate was 0.1 per cent in October and is now 0.9 per cent. In the Ballarat region a vacancy rate of 0.7 per cent was recorded for the second month and the Geelong area recorded an improvement from 1.4 to 1.7 per cent,” Mr Raimondo concluded.

Key rental statistics 2000-2010

Average rental vacancy rate 2000–2005 3.4%

Average rental vacancy rate 2005–2010 1.4%

Increase in median rent for 3-bedroom house 2000–2005 21.1%

Increase in median rent for 3-bedroom house 2005–2010 43.5%

Domain Property Advocates specialise in helping you buy and manage your investment properties. Contact the award winning Property Manager Melanie Dennis on 9853 5599.

Tags: accommodation costs, advocacy, auction results, Auto, Buyer Advocate, cent, Draft, housing, inner suburbs, Mar, middle suburbs, property, property prices, regional victoria, reiv, vacancy rate, vendor advocate
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November REIV rental vacancy rates

Monday, January 24th, 2011

Over the past 12 months, the number of vacant homes available for renting in Victoria has barely changed and there are no signs that it will improve in the next 12 months

At the end of November last year the vacancy rate for Victoria was 1.6 per cent, slightly higher than November 2009, when it was 1.3 per cent. Over the course of the year the rate varied between 1.2 and 1.6 per cent.

In Melbourne, 1.7 per cent of rental homes were vacant compared to 1.5 per cent a year ago. The REIV considers that the market is in balance (when renters can easily find a home to rent and investors are able to secure a reasonable return) when the vacancy rate is at three per cent – a percentage rate not seen since January, 2005

Within the metropolitan area, vacant rental homes were most scarce in the inner suburbs, where the vacancy rate was 1.3 per cent and in the outer suburbs, where it was 1.1 per cent. While it is higher in the middle suburbs – 1.9 per cent – it makes practically no difference when looking for a rental home.

In regional Victoria the availability of rental homes is lower than in the city, which has been the case since the middle of 2009. In November last year the vacancy rate in regional Victoria was 1.3 per cent, slightly better than the 0.8 per cent recorded in November 2009.

Of the three larger regional communities, the vacancy rate remained very low in Bendigo, where it was 0.6 per cent. In Geelong it was 1.6 per cent and in Ballarat, two per cent. Ballarat has had the most significant improvement: 12 months ago the vacancy rate was 0.7 per cent – whether this is the start of a real improvement will not be clear for a few months.

Posted by Warwick Brookes from Domain Property Advocates

Buyer Advocates, Vendor Advocates, Property Managers

www.domainadvocates.com.au

Tags: Ballarat, cent, home, middle suburbs, number, property advocates, reiv, renting in victoria, vacancy rate, vacancy rates
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Three months of little change for renters

Tuesday, December 21st, 2010

The metropolitan rental market continues to be in a state of imbalance, with vacancies more than outweighed by renters.

The rental vacancy rate for Melbourne in September was 1.4 per cent, a minor reduction compared to June when it was 1.5 per cent.

In the inner city the vacancy rate improved from 1.1 to 1.4 per cent; in the middle suburbs it reduced from two per cent to 1.8 per cent; and the outer suburbs retained the tightest rental market, with a 0.7 per cent rental vacancy rate compared to 0.8 per cent in June.

The lack of available rental homes continues to drive increases in rents. According to the Office of Housing, the rent for a three-bedroom home has, depending on the location, increased by between 3.9 and 11 per cent over the last year. The comparative figure for a two-bedroom unit or apartment is a rise of between 3.1 and 8.3 per cent.

There continues to be no improvement possible in the short- to medium-term.

Conditions in the regional Victoria rental market was very similar to the metropolitan one, with a rental vacancy rate of 0.7 per cent in September compared to one per cent in June.

The Bendigo region continues to have the lowest level of available rental homes, with a vacancy rate of 0.2 per cent compared to 0.4 in June. In the Geelong region it dropped from 1.3 per cent in June to 0.9 per cent in September and in the Ballarat region there was a small improvement from one to 1.2 per cent.

Tags: ballarat region, cent, change, geelong region, imbalance, middle suburbs, region, regional victoria, rental vacancy rate, tightest
Posted in Buying Property, Domain Property Advocates, Property Management | No Comments »