Landlord Frequently Asked Questions

photo of papamoa beach for connect realty property managers blog landlord faq

 

New landlords and property investors come to us on a regular basis, both for advice about investing in Tauranga but also with questions about the services we provide and the fees associated with that service.  As a result of the many enquiries we receive we set up a Frequently Asked Questions page on our website.  Here is a summary of what we have included on our FAQ’s page:

What rent am I likely to achieve and how long does it take to secure a tenant?

We provide a free rent appraisal to determine a ‘market rent’ for your property. The average timeframe to secure tenants is 14-28 days.

How often do you carry out rent reviews and can I be consulted?

The Residential Tenancies Act allows for rents to be increased every 6 months as long as the tenancy agreement provides for an increase. Clients can have input into rent reviews.

Can you take over existing properties with existing tenants currently managed by other individuals or professionals?

Yes.

Renovations, repairs and maintenance — should I spend money?

We use a variety of contractors who are reliable, consistent, and offer value for money. Clients can also stipulate a maintenance spending limit or choose to have no maintenance carried out without their approval.

Interior décor which optimises rent and saves money e.g. paint, curtains, carpet — what materials are best?

Paint: Use the same colour paint on all your properties, both inside and out. We recommend a colour like cream, does not date and it is not offensive to anyone.

Curtains: Choose quality neutral colour curtains also as these won’t clash with a tenant’s possessions, and neutrals tend to set rooms off better. Net curtains are important to tenants for privacy and security reasons, especially in bedrooms.

Carpet: Choose a darker coloured carpet for rental properties, as experience has shown that the pale colours show marks more, and are harder to clean over the long term.

Should I rent my property furnished or unfurnished?

Often furnished properties in the suburbs have less demand than unfurnished. Mount Maunganui apartments generally have stronger demand as furnished properties.

Do you have your own Tenancy Agreement?

Yes. Connect Realty’s Tenancy Agreement is the result of many years research into what works best for the landlord.

What type of tenancies do you offer?

We offer both Periodic and Fixed Term tenancies.

How much bond do you take and what happens to it?

We secure four weeks rent as bond. The bond is receipted by us and lodged with the Department of Building and Housing as soon as it is paid by tenants.

When and how do I get paid my rental income?

All rent is payable weekly, fortnightly by the tenant into our Trust Account. Licensed Agents must hold all monies held on behalf of other people into such a Trust Account (Note: Not all property managers are licensed!).

What do you do if the tenant gets behind in their rent or damages my property?

We have a zero rent arrears policy and rents are checked daily. If tenants miss payments we contact them to request any missed payments are remedied immediately. The appropriate legal written notices are served.

What records do you provide me with?

Monthly statement and interim statements if necessary, including a complete statement with all rents collected together with all disbursements, including any accounts paid on your behalf, (like rates, water, and any authorised repairs) plus the fees deducted.  It will also display the current tenants paid to date, the name of the tenant/s, and the property/ies. We can automatically send your accountant a copy.

Annual Statement: At the close of business for the year we send you an Annual Statement which summarises all the transactions of the financial year.

How frequently do you carry out inspections?

We complete an inspection at the beginning of a tenancy to record the details and condition of the property. When tenants vacate we carry out another called a “vacancy inspection” to again record the details and condition of the property. These inspections included in your management fees. We also complete routine maintenance inspections. We recommend that rental properties are inspected either quarterly (especially newer properties) or at least three monthly.

What do you do when tenants move out and there are damages?

If damages are identified then owners are informed ASAP. Sometimes the bond needs to be retained where the tenant has not left the property in a satisfactory condition or where there is damage which needs remedying.

For our full Frequently Asked Questions and Answers please see our Landlord FAQ page on our website.