How a Property Manager Can Facilitate Seamless Overseas Property Management

Owning an investment property can be a lucrative investment - it provides opportunities to diversify your investment portfolio, have an appreciating asset, add some additional income, and have a property to potentially live in later down the track. 

However, if you reside internationally, managing a property yourself can be challenging and time consuming, particularly when you are unable to be easily physically present to oversee inspections, tenant selection or repairs. 

It is in these situations where enlisting the services of a local professional property management team can be invaluable. They play a crucial role in facilitating the seamless management of your investment property and can help ensure your property is being looked after when you can’t.  

Whether you are planning on renting out your home while living overseas, or looking to invest in Perth and surrounds for the future, choosing an experienced property management team certainly has its benefits.  

Local Expertise and Knowledge  

There’s one thing that cannot be discounted when it comes to real estate and that’s local expertise and knowledge. One of the advantages of choosing a local property manager is their comprehensive understanding of the local real estate market, rental trends and of course, legal regulations and requirements around rental property ownership and management. They stay on top of any changes to the rental legislation, which ensures you, as the property owner, get the right information to make informed decisions surrounding your investment.  

Tenant Management 

When you own an investment property you want to know that any tenant related matters are being handled efficiently. A property management team looks after all tenant matters, from organising open inspections and screening new tenants, through to lease agreements, rent collection, enquiries, complaints, and tribunal matters. Your property manager acts as a liaison between yourself and your tenants, looking after the day-to-day management, ensuring a smooth rental experience for tenants and a smooth investment experience for owners.  

Your chosen property management team should have a general understanding of various cultures to ensure they can communicate with prospective tenants from diverse backgrounds.  

Property Maintenance and Inspections  

Maintaining and inspecting a property when you are based overseas can be challenging. Of course, there is the opportunity to do virtual inspections, and to organise your own tradespeople, but there is nothing like having a local foot on the ground looking after your property in person.  

A good property management team will look after your Perth property with their network of trusted and experienced local contractors, ensuring that the necessary repairs and upkeep are addressed promptly, minimising any major repair work. They will also conduct regular property inspections which can help identify potential issues early on, preventing costly repairs in the future.  

While undertaking inspections, your property manager will also assess whether your tenant is keeping the property maintained and cleaned, and that any repairs have been reported.  

Financial Management  

When you own an investment property there are a lot of financial aspects that come into play, including rent collection, expenses, and tax obligations. Your property management team has the experience and staff to handle these financial transactions efficiently, ensuring that rent is paid and receipts, and disbursed to the owner as required (usually monthly, however may be fortnightly).  

Additionally, when you live internationally, it may be easier to have your property manager pay any expenses from the rent income - this may include insurance, council rates, and water rates.  

At the end of each month, you will receive a detailed financial statement, while at the end of the financial year, you will receive an overall statement of the income and expenses related to your investment property. These statements simplify the process of tracking income and expenses related to the property, allowing you to complete your tax return more efficiently.  

Compliance and Legal Matters 

Navigating local rental legislation can be difficult, whether you live locally or internationally, but it is something that needs to be kept on top of. When legislation changes, you don’t want to be left on the back foot trying to catch up.  

Property managers are across any rental legislation and compliance requirements that you need to meet when renting out a property, ensuring that the property meets all legal obligations in terms of repairs, maintenance, and safety standards.  

A quality property management team is also knowledgeable in Western Australian tenancy legislation, and can handle enquiries and disputes that may arise, ensuring they are dealt with as outlined in the legislation.  

Emergency Response and 24/7 Support  

Emergencies can happen at any time, and they often require immediate attention. A good property management team will have 24/7 support to address emergencies, such as plumbing, security, electrical or natural disasters, promptly. A property manager can also often give simple directions to a tenant over the phone, which can help to minimise damage until a tradesperson arrives.  

This emergency response ensures that your Perth investment property remains protected and attempts to minimise damage from emergencies.  

The Benefits of Owning a Rental Property in a Different Country  

Whether you are moving internationally for work, or simply looking to diversify your investments, having a rental property in a different country to where you live can make a lot of sense. Owning a rental property in a different country presents a unique opportunity for investors seeking to diversify their portfolio and capitalise on the many advantages that come with international real estate ownership. 

There are four main reasons to look to invest in property internationally - diversification of investment portfolio, the potential for higher returns, access to lower priced properties and lifestyle and retirement options.  

If you’ve been considering investing in a property in Perth while you live overseas, we’ve taken a deeper look at these four reasons.  

Diversification of Investment Portfolio 

Diversification is a fundamental strategy in investing. Owning a rental property in a different country allows you to spread your risk across multiple markets, protecting you from localised economic fluctuations and uncertainties. A well-chosen international property can act as a hedge against economic downturns in your home or adopted country, providing stability and steady income during challenging times. 

Potential for Higher Returns 

Certain international markets may offer more favourable rental yields compared to domestic ones. In some regions, rental income can be considerably higher relative to the property's purchase price, leading to attractive cash flow opportunities for investors. The potential for higher returns is particularly appealing for those willing to undertake thorough research and identify promising real estate markets.  

Access to Lower Priced Properties  

Getting into the real estate market in some countries can be difficult, particularly those countries where property prices are high. By investing internationally, you may have the opportunity to buy a property with cash, or with a minimal mortgage, compared to buying one in your home country. This can then set you up to buy further properties down the line.  

Lifestyle and Retirement Options 

Owning a rental property in a different country can offer lifestyle benefits, especially for individuals planning their retirement or seeking an international holiday home. It provides an opportunity to spend time in a favourite destination while generating rental income during periods of non-use. This dual-purpose investment can lead to a better quality of life and a sense of personal fulfilment. 

Choosing a Property Manager in Perth for Your Investment Property  

One of the most critical decisions you'll make as a property owner is choosing the right property manager. A competent and reliable property manager can save you time, stress, and money while ensuring your investment thrives. 

Before you start searching for a property manager, it's essential to clarify your needs and expectations. Create a list of the services you require from the property manager, such as rent collection, tenant screening, maintenance and repairs, and property inspections. When you are living overseas, being clear with your expectations will help you find a manager who aligns with your goals. 

Experience in property management is a crucial factor to consider, and property management teams come in all shapes and sizes, from large companies to small family businesses. When discussing your needs with a potential property manager, enquire how long they have been in the industry, the types of properties they manage, and how they foster good working relationships with both tenants and owners.  

One of the most important roles of a property manager is finding reliable and responsible tenants. Enquire about their tenant screening process to ensure they thoroughly vet applicants, checking their rental history, and background. A property manager with a stringent screening process is more likely to secure high-quality tenants for your property. 

Finally, when residing overseas, effective communication between you and your property manager is more vital than normal. Ensure that the manager is responsive to your enquiries and provides regular updates on the property's status. Prompt communication will help address any issues promptly and prevent them from escalating. A key to ensuring prompt communication is setting up a way you can be easily contacted via, whether that be email, phone, or a messaging service like What’s App.  

Overseas property management presents unique challenges, but with the assistance of a professional property manager, these challenges can become opportunities for success. From handling tenant matters and property maintenance to navigating legal complexities and financial management, property managers play a vital role in ensuring seamless and profitable overseas property management. By entrusting your property to a competent and experienced property manager, you can enjoy the benefits of international real estate ownership while leaving the day-to-day management in capable hands. 

Have you recently purchased an investment property in Perth or surrounds? Our experienced property management team are ready to manage your property when you can’t. Find out what services we can offer.