How to save money on your investment in the long run

Property maintenance

Keeping on top of maintenance and repairs is one of the most effective ways to save money in the long term. Deferring maintenance only leads to bigger and more costly repairs down the track, leaving you more out of pocket than you need to be.

At Barfoot & Thompson, we conduct regular inspections to ensure your property is being well cared for. Following the inspection, your property manager will advise you if there is any maintenance needed. We also actively encourage tenants to notify us as soon as damage has been caused or repairs are required.

Here are some general tips for maintaining your rental:

• Work with your property manager to develop an annual maintenance schedule which covers all of the important aspects of owning a property such as cleaning gutters, having fireplaces cleaned and getting heat pumps and ventilation systems serviced. Keep your property manager informed of your schedule so they can make the arrangements for you
• Use reputable and trusted tradespeople. Their expertise can save you time and money.  Your property manager will have a list of reliable people whose services they can arrange on your behalf
• Act quickly when maintenance issues come up. They may seem small at the time, but they can soon grow into larger and more costly problems.

Money matters

When it comes to property investment, it is recommended you review your finances from time to time. Refinancing at a better mortgage rate or reviewing your loan structure could save you a lot of money over the life of your loan.

In New Zealand, there are also several tax benefits available to those investing in residential property. For example, expenses like rates and insurance can be deducted from your rental income. It’s a good idea to speak to an accountant or tax specialist to see if you qualify for any (or further) tax benefits.

Minimise downtimes

There’s little chance of saving money if your property is untenanted and you’re required to pay all loans and expenses on the property.

Your property manager understands this better than anyone and will work promptly to place new tenants in the property as it becomes available. Your property manager is also well informed of your rights and obligations when it comes to accessing a property to show prospective tenants, and will handle the matter with professionalism and efficiency.

When you've got great tenants, keeping them happy can ensure they stick around for the long term. Read our top 4 tips for keeping tenants happy.

Act quickly when a tenant becomes in arrears

It's crucial to act quickly when a rent payment is missed. Allowing tenants to become in arrears not only has short term financial implications, it could also result in a costly legal process down the track.

At Barfoot & Thompson, rent collection is computer monitored so that your property manager can act as soon as a rent payment is missed and begin the debt recovery process. If your property manager is unable to resolve the matter, they'll represent you through the mediation process or at the Tenancy Tribunal for free.