Wednesday, January 25, 2017

Knowledge is power… the latest trend to hit investors.

We are now in 2017 and a new trend is emerging in the property management space. Landlords across the country are starting to see a new wave of tenant - the savvy Gen-Y! These tenants are well-versed in the tenancy legislation and are becoming more so by the day. They are not afraid to question or challenge their rights if they feel they have been imposed upon.

As a Gen Y myself, this trend is not surprising. We have grown up with the internet, Google and smart phones. Seeking knowledge through the 'world wide web' has been available and at our fingertips since we can remember. Whilst the dial-up modem has been replaced with Wi-Fi, the availability of information has only increased... 10-fold.

It is becoming increasingly difficult for investors around Australia to bury their head in the sand about the rights and responsibilities imposed by tenancy legislation.

What does this mean for investors? It means knowledge is power, and understanding the lay of the land is extremely essential. Why? Because chances are you will be challenged 
on it... by your tenant.

At Toop&Toop, we see a large part of our role is to advise our clients on any situation at hand and to provide them with options and recommendations. We believe that we wouldn't be doing our part if we didn't do so. After all, that's what we get paid for.

That's not to be confused with the fact that as a landlord, you are the boss. We act on your instructions and in your best interest at all times. It is ensuring you have the right knowledge to make an informed decision that is critical - often that is the missing link.

So what are we doing about this trend? Our property management team are trained regularly throughout the year by the Real Estate Institute of South Australia's Head Trainer, 
to ensure we are well-versed on the law and how to best advise our clients.

As we head into 2017 we can see two distinct camps forming - those property management businesses that tell clients 'what they want to hear' and those who advise. Despite the former being a larger bunch of agencies, we are proud to be in the latter. The era of just telling consumers what they want to hear is behind us, and we are seeing this in all industries from professions such as accounting and legal to the retail sector.

We believe those investors who recognise the importance of knowledge will see the benefit of improved returns as this trend grows. With affordability as our biggest strength, coupled with strong demand for rental properties, we see an exciting 12 months ahead for property investment in South Australia.



Regards,
Suzannah Toop

Thursday, January 19, 2017

Riding Adelaide’s real estate market…


It's a busy time in Adelaide right now as this week marks the start of Australia's premier cycling event, The Santos Tour Down Under. 

The Santos Tour Down Under is the largest and most prestigious cycling event in the southern hemisphere. Bringing tens of thousands of visitors to South Australia each year, it strengthens the State's international profile through media coverage and makes a major contribution to the local economy. Last year, the event attracted more than 795,000 spectators, with more than 39,000 visiting the state specifically to attend the event.

But what has this got to do with real estate? It means that for one week our state is on show 
to the world! The Tour passes through more than 55 of our State's metropolitan suburbs and rural towns including Norwood, Unley, Lyndoch, Norton Summit, Stirling, Aldinga and Victor Harbor. 

Watching The Tour from various locations around South Australia or riding the streets themselves, interstate and international investors are able to see first-hand the type of lifestyle that is on offer in Adelaide, which quickly translates into the value of our local property market. 

As real estate agents, we often hear conversations start off as hypothetical 'what ifs' and then turn into a serious search for property in Adelaide. Events such as The Tour Down Under and our upcoming Mad March season see an influx of guests from our eastern states, and the natural conversations during these events lead to comparing what you can buy here for the same money in Melbourne or Sydney. 

The value for dollar, metre for metre and location for location we experience in Adelaide 
is incomparable to other cities. This coupled with the event buzz, street parties and a New Year, it can often be the catalyst for many to take action to start, or add, to their investment portfolio. 

Adelaide's stable property returns and consistent growth makes our city an attractive market for those investors that may be daunted by high risk. Adelaide has a strong track record of steady growth and property experts are reporting our city as one of the best buys right now. 

In 2016, the average Adelaide home sold for $18,000 more than the previous year, and this growth is expected to strengthen in 2017. With our State's huge investment into the Royal Adelaide Hospital, transport systems and fantastic international events such as The Tour Down Under there has never been a better time to start building your property investment portfolio or to put your home on the market. 

If you would like to know more about the next property hot spots, what areas are currently in demand with local, national and international investors and what this could mean for you and your property, Team Toop would love to help!

Thursday, January 12, 2017

Is your property at the top of the 2017 wish list?

What a festive season it has been! From 40 degrees on Christmas Day to extreme storms only days later, our Property Management team have certainly been busy over this time ensuring our clients' properties are secure and our tenants are safe.

The December/January period is also a peak time in Leasing, as many tenants start to look for a new property in the new year. Currently, our team are seeing the market activity lift with an increasing number of properties becoming available each week. 

For investors, what does this mean? It means making sure your property is attractive to tenants and ensuring it is at the top of their 'wish list'. 

This is particularly important as the number of available rental properties increases this time of year, and therefore it is even more crucial for your property to stand out! 

So how can you make sure your property stands out? From a tenant's point of view the following items are essential and appealing when looking for a new home... 

Air conditioning.

This is seen as an absolute must, especially in the main living area and main bedroom. Interestingly, from speaking to Property Managers in NSW, we've 
learned that air conditioning is now seen by the 
Tribunal as a basic need across the eastern states.

Wardrobes.

If a tenant has overlooked this once in their renting life, it is guaranteed they won't do it again. By either installing built-in robes or providing wardrobes from IKEA, it is necessary 
for tenants to have the extra storage space. 

Car parking.

Having at least one off-street or secure car park is particularly important to tenants. Even if it's something they need to share, this will go a long way with prospective tenants.

Other items that are seen favourably by tenants include a gas stove, an ensuite bathroom and an open plan living area. A fresh coat of paint, or perhaps replacing tired looking carpet can even give a home a completely different look which tenants will notice.

With eight Property Management teams across six different office locations, our team are hearing first hand what tenants are looking for in the current market place. 

If you want to know more about what we're finding this peak season, give our team a call today. We're here to help ensure your investment property is at the top of the wish 
list this New Year! 



Thursday, January 05, 2017

Goodbye 2016... Hello 2017!

We have launched into 2017 and it's looking to be an exciting time for real estate. In 2016 our capital city property values surged 10.9% and this growth trend is showing great signs for the year ahead.

A new year always sparks some of the big real estate questions... What are the predictions for our property market? How will Adelaide perform compared to the rest of Australia? Where are the hot spots going to be? And, has the market peaked?

The great news for South Australia is that the research experts have predicted a very healthy start to the real estate season. It is expected that Adelaide will continue to compete on a national scale, as buyers are attracted to the consistency of our marketplace and the stable growth it is providing.

CoreLogic RP Data reported that in 2016 Adelaide house prices increased 4.2%. Our rental market also performed solidly with the average rental yield for 2016 sitting at 4% for houses and 4.7% for units.

Last year Adelaide received significant media attention and was recognised nationally for our excellent investment conditions. Suburbs such as Norwood, Prospect, Walkerville, Mile End, Thebarton and Brompton were mentioned as hot spots for national investors, and are tipped to rise to another level again this year. We expect to see an even larger number of interstate investors looking to our city in 2017. This is fantastic news for Adelaide sellers and provides assurance when making such important decisions.

On the ground Team Toop are seeing continual signs of confident buyers. The momentum we experienced in November and December has seamlessly flowed into the new year, with our buyer enquiry staying strong over the holiday period. We have been receiving enquiry from new buyers entering the market, as well as existing buyers who are keen to resume their property search. They have experienced the lack of stock currently available in Adelaide, and how this has made purchasing a property very competitive, and are eager to secure a property as soon as possible. Local developers and interstate investors are still showing strong interest, and we are also seeing an influx of interstate executives relocating to Adelaide entering both the sale and rental markets. 

This week our team has been busy meeting home owners who are either looking to take advantage of this current buyer demand, or who would like more information about their particular suburb, and insights into exactly what this spotlight on Adelaide means for their home, and its potential value.

We love real estate, we love our city and we are excited about Adelaide property in 2017. January is a fantastic time for real estate. Buying conditions are great, and people have more time to explore and search for homes during the holiday break. While many are still in holiday mode, Team Toop are well and truly back into it, and we look forward to meeting you at our open inspections this weekend!