A Guide to Preparing a Rural Property for Rental
With the median Australian farmland value growing 7% nationally, it makes sense to invest in rural property. As more and more investors and homeowners flock to farms in order to purchase properties that will attract eager renters moving away from the cities, the market is expected to continue to increase, with a particular interest in farmland that can be profitable in terms of property and the assets it provides. When investing in a rural Australian property, however, there are a few things to keep in mind while getting it rental-ready.
Consider Your Market
When renting out any property, it’s a smart idea to consider the market of renters you’re trying to target. Because Australia is urging more and more people to head to rural parts of the country, those looking to rent a rural home might not be the typical demographic that you would see. Work to understand their needs, interests and preferences in a home and take all of that into consideration when preparing the property. This means including their preferences in interior design as well as other features such as safety devices, general layout and overall accessibility.
Integrate Technology to Enhance Security
While rural properties provide more space for renters and their families to enjoy the great outdoors, these types of homes often present certain risks for children. If you’re trying to attract families to your property, it’s a good idea to invest time and money in ensuring its safe for anybody, especially children. While this includes accessibility features, it also includes things such as installing safety fencing, mesh lids on water tanks, and proper storage of any machinery that might be used on the property. Smart technology can also work great for this, as devices such as smart locks and security camera doorbells allow you to increase safety while also enhancing accessibility for tenants of all ages.
Factor in Fees and Taxes
If you’re the owner of a rural property in Australia, you might be required to pay land tax depending on the state your property is in. In New South Wales, for example, you don’t have to pay land tax on a farm as long as it’s used as a primary production land. While you’ll likely still be required to pay tax as long as you’re collecting rent from the property, there might be possible exemptions you are eligible for and should factor in those exemptions or fees before setting a price for the rental. Once you have a good idea of your own costs as a landlord and property owner, you’ll then be able to take a look at rental prices in similar properties and areas to establish a fair monthly price.
Put the Tenant First
When preparing any property for leasing, it’s important to remember that you won’t be living there. Focus on investing in impactful changes that are attractive to high-quality tenants while also increasing the value of the property. Because of the nature of being a rural property, try to always make safety an important aspect of your landlord duties and craft a fair rental price around those features and the market trends in the state of the property.