Landlord Information

Not all tenants are bad, but you do need to make sure you are covered should something go wrong. While most tenants take good care of the proper they are leasing, those that don’t may intentionally cause extensive damage. Intentional damage is not covered by many standard home insurance policies nor is the failure to pay rent.

The valuable common features of a Landlord Insurance policy include:

• Malicious or intentional damage to the property by the tenant or their guests
• Theft by the tenant or their guests
• Loss of rent if the tenant defaults on their payments
• Liability, including for a claim against you by the tenant, and
• Legal expenses incurred in taking action against a tenant.

It’s important to remember that not all landlord protection policies are the same. Some, for instance, are designed to be used in addition to a typical home and contents or strata title policy while others are more comprehensive.

Some policies allow cover for the contents of the property. This is particularly important if you rent a partially or fully furnished property. Speak to your First National Property Manager and they will be able to help you find the right policy.

How good is your property manager? No really… have you ever taken a closer look at who’s managing your investment?

First National Real Estate property managers participate in professional development programs to ensure they are always up-to-date with the latest legislative changes, risk management techniques and yield maximisation methods.

We reward their excellence with an awards programme that recognises achievement and promotes ongoing improvement. This encourages growth and assures we have the most committed property managers in the profession.

So, next time your investment property is vacant, talk to a First National Real Estate property manager and let us explain how ‘We put you first’.

Finding a pet friendly rental property can be challenging however, some of the best tenants are in fact those with pets.

They understand the value of good references and an exemplary record because a single bad reference can make life extremely difficult when they next need to move. Also, tenants with pets move less frequently and a stable tenancy produces higher long-term returns.

Approximately two thirds of households have pets but a significant percentage of those same households do not own their own home. Therefore, it’s clear that ruling out tenants with pets cuts out a large section of potential customers when it comes to renting your investment.

Talk to our Property Managers about their past experiences and consider having us flag your property ‘Pet Friendly’ when you next lease.

As with every lease, you make the final choice about who will live in your property because ‘We put you first’.

The decision to rent or buy is always a big one. The traditional strategy of buying a first house and then moving up to the ideal home as your income and equity grows can be challenging. However, the alternative of renting indefinitely while you save to buy is becoming equally difficult because of escalating rents and increasing demands in New Zealand's larger cities; namely Auckland, Wellington and Christchurch.

If you’ve wondered whether you’re ahead by renting or better off buying, consider these statistics.

• The median net wealth of a renting household is generally much lower than a comparable household that owns their own home.
• Renters comprise over a third of the nation’s households but hold only a small percentage of the nation's wealth.
• New Zealanders who own their home are worth significantly more than renters.

So how do you take the step from renting to buying your first home?

1. Approach the market with a sound five-year plan. Get into the market, pay down the mortgage, and establish equity in the home as a basis for long-term financial security and flexibility.
2. Budget for extras. As well as a solid deposit, have money set aside to cover insurance, routine maintenance costs and to meet mortgage payments for several months if something goes wrong.
3. Don’t worry about the market. Your focus should be on building a deposit while looking for the property that matches your lifestyle and budget.
4. Compromise. Your perfect home is likely to be out of reach for now, so focus on hunting down a property that has solid real estate attributes - good location, off-street parking, security, quality finishes and proximity to restaurants and transport. Choose something that will suit your needs for the next five years or so while you build up equity and prepare for the next phase of home ownership.

Choosing the right estate agency to manage your investment property is one of the most difficult tasks you’ll face as a landlord. We appreciate you have a choice, assume you’ll talk to several agencies and want to win your business!

On a daily basis, we demonstrate to our existing landlords that we offer the ideal combination of professionalism, experience and commitment. Property management is much more than just collecting rent or striking a deal on fees.

While we’re commercially competitive, we don’t compromise on training, systems, equipment or standards that enable us to assure selection of quality tenants, timely rental payments and minimal vacancies.

New Zealanders love real estate and property investment is a proven path to financial independance.

However, as a landlord or property investor how do you best manage your property?

Do you look after it yourself and try to…

• Save money on management fees?
• Deal with your tenants’ calls, whether they are late at night or on weekends?
• Invest your spare time arranging maintenance and solving problems?
• Learn about New Zealand's legislation, laws, landlord rights and responsibilities?
• Keep your asset maintained and up to date?

Or do you consider engaging a property management expert?
The wise choice is to engage a qualified and professionally trained Property Manager to save you time and money by managing your asset through all stages of the marketing and letting process.

Your First National Property Manager does so much more than just collect rent. He or she offers a comprehensive range of Property Management services and is equipped to deal with any challenges that may arise.

First National Property Management services include:

• Consulting you to ascertain your objectives and requirements
• Establishing the best possible rent return
• All ingoing and outgoing tenancy reports, with internal and external photos
• Marketing the property, which may include, a signboard, window display, newspaper advertisement or internet display
• Showing prospective tenants through the property
• Screening tenants who apply to rent
• Completion of all relevant documents required by New Zealand legislation
• Ongoing management of rental income
• Management of maintenance where applicable
• Disbursement of accounts, whether to landlord, trades or creditors
• Regular inspections
• Receiving and disbursement of bond monies to relevant authorities
• Collation of documents and representation at tribunal hearings, where necessary

As a landlord, you have an obligation to maintain your rental property in a condition that is safe for occupation. Plumbing, carpentry or electrical repairs done by unlicensed handymen could increase the risk of an accident and should never be permitted.

Your First National property manager will ensure that all repairs are carried out by properly licensed tradesmen so both you and your tenant can rest assured of a safe environment.

If you do not choose to have your investment managed by a professional property manager, make sure you keep records of all repair work as well as copies of each tradesman’s license.

End of financial year provides important opportunities for investors.

To make sure you’re maximising the return on your investment, speak to your property manager about any repairs or renovations that he or she would recommend you make to improve the rental return on your property.

Then, discuss this list with your financial advisor and decide whether it’s best for you to invest any disposable income in some improvements.