Property Management Market Wrap
Spring is in the air and with it, traditionally, comes a time of transition and movement in the rental market space. Having experienced a tougher market in the first half of the financial year, which saw days on market climb from normally sitting around 15-18 days on market to a surprising 29 days in some instances, we have seen prospective tenant activity on the rise in the first two months of this financial year. This is a welcome and pleasing outcome after previous months of uncertainty. Interestingly, whilst higher days on market was experienced, our vacancy rates at hockingstuart Armadale remained low - well under 1% when the Real Estate Institute of Victoria (REIV) was reporting vacancy rates of 2% in the same area.
It is expected that as the weather continues to improve this month, with the last of Winter behind us, so too will our market. We have had record months set in leasing targets for both July and August, with a personal best achieved in the number of properties leased by our Leasing Consultant, Donna Talbot, last month. Leasing in the apartment sector was particularly strong In August with excellent inquiry and rent increases being achieved. In comparison, the housing market experienced longer times on market and contributed more to the increase in time on market. Whereas apartments were still achieving increases, houses needed to be more competitive in price points to attract tenants and have them commit to occupation.
Marketing, now more than ever, is playing a vital role in generating interest into rental properties. Marketing to appeal to prospective tenants needs a more sophisticated approach, and has moved well beyond professional photography now. It is surprising to us that some agents are still using old dated photos when we find that floorplans (both 2D & 3D), virtual furniture staging, panoramic photography, and social media marketing are getting the results needed in today’s market. Incorporating a marketing strategy to include some, or all, of these methods will attract more prospective tenants to your property, which in turn will encourage a sense of urgency and competitiveness around applicants and results in minimal vacancy time for a landlord.
Our experienced team can share with you further strategies on what is working well for us at present so we can help you to achieve the best possible price in today’s market.
Manager – Property Management
0499 499 690