In property management, a lease renewal is a critical juncture, demanding a thorough examination of market dynamics regardless of the current rental market climate.
A Comparative Market Analysis (or CMA) serves as the compass guiding this assessment. This strategic analysis provides essential market information and data about recently and presently leased comparable properties within South-East Queensland.
Consider the scenario: two properties, one listed at $1300 per week and vacant for 30 days, while another, listed at $1230, secured a tenant in just 14 days. A discerning property manager understands that the latter may merit more accurate pricing, having demonstrated quicker market absorption.
Senior Property Manager Kyle Grimmond explains this concept below.
Rent Adjustments: A Calculated Approach
Housemark exercises prudence in suggesting rent increases. Our approach involves evaluating a tenant’s income over the past 12 months, mainly if it has not seen a rise since the initiation of the lease.
Affordability is a cornerstone, with calculations based on the conventional 30% of income guideline.
This method ensures a nuanced consideration of economic realities, mitigating potential challenges in explaining tenant rent adjustments. Our commitment to client satisfaction is manifest in our adept negotiation skills.
We navigate the delicate waters of tenant-landlord interactions with finesse, striving to achieve outcomes that align with the interests of both parties.
Market Dynamics: A Proactive Perspective:
As the property market undergoes nuanced shifts, Housemark maintains a vigilant posture. As of December 2023, observations indicate that tenants are transitioning towards properties with lower rental values.
In particular, properties under $600 per week are witnessing heightened demand, while those priced between $600 and $1000 demonstrate stability.
Notably, properties exceeding $1000 per week experience an increased demand for optional property upgrades, signalling a shift in tenant expectations.
Housemark remains steadfast in its commitment to providing strategic insights and precise market analyses, ensuring your investment property thrives amidst dynamic market conditions.
As a specialised property management agency, Housemark distinguishes itself by dedicating 100% of its focus to property management and eschewing sales activities.
Our mission is to ensure optimal returns for your investment, place high-quality tenants and provide cutting-edge property management solutions.