In this edition: How long will it take for your prop-erty to rent? Be storm ready Christina’s Top 5 tips for staying profitable in a competitive market What You Should Know About Your Air-conditioning Units…

November 2015

Latest Lending Figures Show a Steady Housing Market A Selection of Properties Recently Leased Quote Calendar of Events

Dear Landlord,

As the storm season commences we

recom m end p repar ing you r

properties (if houses) with gutter

cleaning and we have included an

article around this to help you be

ready.

We held our first investment seminar

for a long time this week and it was

well received by tenants and

landlords alike. The speakers

covered how to save money on your

home loans (call Josh to arrange a

home loan check on 0432 989 866 if

you missed it) and Safety Watch

Australia explained all the latest

Tips to staying profitable in a competitive market and how to be storm ready

legislation for blinds and curtains,

smoke alarms and electrical safety

switches to make sure we are all

clear and can assist you in

minimising the risk for your

properties. Christina's top 5 tips for

staying profitable in a competitive

market included a reminder to have

a system to remind you to pay your

insurances and make sure your

landlords insurance policies are the

best on the market. Talk to your

property manager to make sure your

policy is extensive enough when you

next chat.

We are focused on renting any

vacant properties at the moment as

the days vacant continues to push

out due to the cheap interest rates

and new units flooding the inner city

market. We have started letting from

7.30am to 7.30pm to make sure we

make the most of every chance we

get to show good tenants our

properties.

As always we love to hear from you

if we can help. It was wonderful to

meet more of our owners in person

at the seminar this week.

Your Property Management Team,

Christina, Jodi, Helen, Iszabel, Alex

and Kobe

Our finance specialist

Joshua Vecchio can help with;

Interest in Advance, Home Loan Health Check,

Depreciation Reports and much more.

Call him now on 0432 989 866

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

How long will it take for your property to rent?

That of course depends on the time of the year so here are the latest statistics for October.

BRISBANE STATISTICS The Market

Source: rentfind.com.au

Brisbane, QLD October 2015 Annual Change

Median Weekly Rent - House $420 2.4% increase

Median Weekly Rent - Unit/Apartment $385 0.0%

Days on Market (Avg) 30.4 1.0 increase

Days Vacant (Avg) 18.3 0.7 increase

Be storm ready

The RTA is urging property

owners to ensure their rental

properties are prepared for the

possibility of wild weather this

storm season.

"Severe storms can strike at any

time and cause major damage to

property so it is important to be

well prepared," RTA CEO David

Eades said.

Landlords or their agents are

responsible for keeping the

property in good order and in a

safe condition. This generally

includes trimming trees and

clearing gutters.

Tenants need to ensure they

secure outs ide furniture,

children‟s play equipment and

toys or anything that could cause

damage. Larger items that are

potentially dangerous should be

a particular focus.

"Owners and agents also need to

consider asset protection, liability

issues and insurance coverage,"

he said.

Mr Eades said while this type of

maintenance should be done

routinely, the onset of storm

season, which typically occurs

between October and March,

should act as a timely reminder

for people to ensure their rental

property is storm and fire ready.

What Queenslanders can

expect this storm season

This storm season weather

watchers are predicting an

elevated risk of heatwaves and

fires, while predicting „average‟

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

storm activity.

“There is an elevated risk of

heatwaves and fires, and tropical

cyclones are always part of living

in Queensland – even in El Niño

years – and should not be

underestimated," a Bureau of

Meteorology spokesperson said.

“The background climatic

conditions leading into our

summer show the Pacific as

leaning towards El Niño, but not

quite there.

“Normal 'get-ready' precautions

should always be observed, but

these climatic conditions usually

i m p l y a n e a r a v e r a g e

t hunders to rm season i s

expected, and floods are always

possible."

E m e r g e n c y Ma n a g em e n t

Queensland have a detailed list

of helpful hints and emergency

contact details about preparing

for storm season.

All weather warnings appear on

the Bureau of Meteorology

website.

Source: www.rta.qld.gov.au

Christina’s Top 5 tips for

staying profitable in a

competitive market

1.Insure For The Worst

2.Be Competitive

3.Look Good

4.Longer Leases

5.Maximise Your Tax Deductions

& Lease Repayments

#1 Insure For The Worst

Be sure to have all the

appropriate insurances and a

system so you never forget to

pay them.

Insurances required:

L a n d l o r d p r o t e c t i o n

insurance

Building and contents

insurance for houses

Contents insurance for

units and townhouses

Public liability insurance

#2 Be Competitive

With reduced interest rates

we have seen the rental

market soften

Break leases are becoming

more common as people

are buying

C h e c k t h e m a r k e t

comparisons carefully and

talk to your property

manager before advertising

for rent or asking for rental

increase for lease renewals

Let's do the math!

Comparison 1.

$500 per week 49 weeks

$24,500 less let fee

$24,000

$480 per week 51 weeks

$24,480 less let fee

$24,000

Comparison 2.

$800 per week 48 weeks

$38,400 less let fee

$37,700

$750 per week 51 weeks

$38,250 less let fee

$37,500

Vacancy matters!

#3 Look Good

If going to the market

Professional photos are

critical to attract a good

tenant

Consider a floor plan (for

larger homes)

Budget for improvements/

maintenance prior to lease

end

If practical visit the property

annually

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

C o n s i d e r a d d i n g

air-conditioning or free

s tand ing war d r obes ,

dishwasher or other items

in demand

Consider pets (if possible,

may not be in units)

it increases the market

#4 Longer Leases

Consider 12 month, 18

month or 2 year leases

where ever possible

particularly on renewals

(rent increases).

Consistency of tenant

usually equals less wear

and tear, no time without

rent and less expenses so

c ons ide r t h i s when

renewing leases.

Try to keep good tenants

happy.

#5 Maximise Your Tax

D e d u c t i o n s & L e a s e

Repayments

Maximise your depreciation

Review your loans annually

to make sure have the best

deals. (Whether you just

keep your current bank

honest or refinance either

way is a win.)

Track all your expenses

(we can pay for rates etc

for you so all together on

our financial statements)

Use Online agent for copies

or to import figures into

your accounting program

Please feel free to call us at 07

3510 5222 if you have any

questions.

Source: Christina Penrose, Principal

RE/MAX Profile Real Estate

Property Investors Information Night

2015

mounted split system, a

cassette mounted split

system or a ducted system.

A split system consists of

two parts an indoor and an

outdoor part, as opposed to

the box type which is a

s ingle unit , general ly

mounted through a wall or a

window. Split systems are

generally more user-friendly

with regards to installation

i.e. the location of the unit.

One part would mount to a

wall in the property and the

second part can be placed

anywhere on the outside of

the property. The box type is

restricted to a hole in the wall

or a window; these are

general ly instal led as

t empor a ry un i t s and

therefore not always installed

correctly. The most common

issue with box type system is

leakage from the system into

the property. On the flip side

the split system usually

becomes a fixture in the

property and is easy to

maintain, easy to service and

generally has a longer life.

Q - What are the most

common issues with air

conditioning units?

What You Should Know

About Your

Air-conditioning Units…

Q - W h a t L i c e n c i n g

Requirements apply to

a i r - c o n d i t i o n i n g

technicians?

A - A refrigerant handling licence

also known as an artic

licence which is issued by

the government authority

Q - What is the most effective

air-conditioning unit to

install?

A - There are two types of

systems: the box and the

split system. The split

system can be a wall

www.propertyrentalsbrisbane.com FREE Information Guide For Landlords & Tenants

“In trend terms, the number of

new dwel l ings purchase

commitments increased by 0.6

per cent while new dwelling

construction decreased by 0.5

per cent and the purchase of

established dwellings increased

by 0.6 per cent”.

“The value of investment housing

commitments decreased by 0.2

per cent showing that the macro

prudential measures introduced

are having an impact on investor

activity.”

“The proportion of first home

buyers, as part of the total

owner-occupied housing finance

c o m m i t m e n t s , i n c r e a s e d

marginally to 15.7 per cent

compared to 15.4 per cent in

July.

“The lending figures indicate a

market that is steady. With

investor activity abating any

concerns of an overheating

property market should be laid to

rest,” concluded Mr Sanders.

Source: REIA Media Release 9

October 2015

Latest Lending Figures

Show a Steady Housing

Market

The latest housing finance

figures released on 9th October

2015 by the Australian Bureau of

Statistics (ABS) reflect stable

lending activity.

The Real Estate Institute of

Australia (REIA) says the figures

for August 2015 show, in trend

terms that the number of

o w n e r - o c c u p i e d f i n a n c e

commitments increased by 0.5

per cent. This increase is slightly

down on the increase of the

previous month of 0.6 per cent. If

refinancing is excluded, in trend

terms for August, the number of

o w n e r - o c c u p i e d f i n a n c e

commitments increased by 1.0

per cent.

REIA President, Neville Sanders

says, “Increases were recorded

in New South Wales, Victoria,

South Australia and Tasmania

with New South Wales having the

largest increase 1.6 per cent. The

largest decrease was recorded in

the Northern Territory – down 3.7

per cent.”

A - The most common issue is

lack of maintenance and this

is mostly with regards to the

consumable items within the

unit or the items within the

unit that require regular

cleaning. If these areas of

the unit are not maintained

this can create problems with

airflow and also lead to

reduced performance.

Q - Do systems need to be

re-gassed?

A - The short answer is no! If the

system has been installed

correctly from day one they

should never lose gas. There

are environmental standards

for air conditioners and

everything must be sealed. If

the unit has been poorly

installed or moved during a

renovation process and the

air conditioner has been

disturbed vibration can occur

from equipment being loose,

this can cause cracked pipes

and cracked seals and

cracked joints which in turn

causes the unit to lose gas

and fail.

Source: Tony Allatt, Advanced Air

Conditioning

16th November Mid Month Accounting 1st December End of Month Accounting

A Selection of Properties Recently Leased

Sinnamon Park House $1,200 p.w.

5 bed, 4 bath 2 car accommodation

Quote

“Only those who dare to fail greatly can ever achieve greatly.”

—Robert F. Kennedy

Kenmore Hills House $710 p.w.

4 bed, 2 bath, 2 car accommodation

RE/MAX Profile Real Estate 141 Boundary Road TEL 07 3510 5222 FAX 07 3876 5544

www.profilerealestate.com.au Bardon QLD 4065 Jodi profilemanager@remax.com.au

www.propertyrentalsbrisbane.com PO Box 388, Paddington, 4064 Helen helenbryan@remax.com.au

Iszabel profilerentalsteam@remax.com.au

Alex profilerentals@remax.com.au

Errors & Omissions: These details have been prepared by us on information we have obtained and while we trust it to be correct, is not guaranteed by us and you should rely on your own enquiries.

Bardon House $810 p.w.

4 bed, 2 bath, 3 car accommodation

Calendar of Events