Tamworth rental market in high demandPOLL

TAMWORTH is a renter’s paradisewith local real estate agents urging investors to adjust their prices to match the competition.
Nanjing Night Net

With an influx of homes on the market, senior real estate experts say education for investorsis the key to filling vacant homes in the city.

First National Real Estate principal MargoTaggart saidthe Tamworth area is inviting for investors, which would also mean an increase in homes for rent in the city.

“People come to Tamworth because we are a conservative and safe bed to invest in,” she said.

“Most investors are happy with a five or six per cent return, where as in Sydney it’s probably three or four per cent.

“They’re using the equity on their homes in Sydney to buy in regional areas.”

Mrs Taggart has been in the property game for more than two-decades and described the last six-to-eight months as the “most patchy up and down real estate market,” she’s encountered.

She’s noticed a trend of locals moving in to newer rental properties and said it was important to engage with investors onwhat market conditions they could expect.

She said they should also factor in possible extended vacancy periods when purchasing an investment property.

“I always say to an investor to be a little bit conservative and allow for fluctuation in the rental market.

“When you go to buy a rental property you always allow for some vacancy because something could change easily in that market”

Burke and Smyth property management supervisor Natalie Graham agreed with Mrs Taggart and said lower interest rates made for a prosperous rental environment.

“We’re definitely seeing the same thing here,” she said.

“With interest rates so low at the moment it’s helping investors with the bigger, newer homes.

“However, (demand for) the older houses is still very busy at the moment and we’re getting lots of inquiries and they’re leased quite quickly.”

Miss Graham said it was important that agents spoke to investors about the market and how they could get the best return.

“When investors are still in the floor plan kind of stages we talk to them about what the incentives are for potential renters and what return they’re going to get.

“Even with the older homes we touch base up to exchange about what kind of tenants they will find.”

This story Administrator ready to work first appeared on Nanjing Night Net.