How to Keep Your Home Warm for Less this Winter

Posted on June 14, 2018 by Quinovic Parnell

Did you notice the drop in temperature late last month? We’re almost halfway through June; winter is here well and truly.

Are you struggling to keep warm? Are you looking to reduce your heating costs? Today we pen some tips which we hope help you keep your home warm this winter, and reduce your heating bills.

Close Blinds and Curtains
As soon as it begins to get dark at night – close your blinds and draw your curtains. This will help keep warmth in from the day, and stop heat escaping through windows.

Use Draught Stops
Under doors can be a source for draughts, and can reduce the temperature of rooms. Draught stops can be quite cheap to buy, or you could make your own and fill with rice or sand as part of a craft project.

Reduce the Heat
Turn your heating down and keep it a lower, more even level. This can be more effective than having short bursts of intense heat. By turning your thermostat down – it can be a way to save on your heating bills.

Keep Doors Closed
If you leave doors open, or don’t close them behind you when leaving a room – the heat will escape. Keep doors closed and warm only the doors you are in, to help keep yourself toasty.

Use Rugs on Timber Floors
If your home has timber flooring you could put down rugs to keep the heat. This particularly applies in bedrooms and living areas.

Do you have any comments or suggestions about our tips? Please leave a comment below, or follow our blog.

Will Kiwis Lose their Love Affair with being a Landlord?

Posted on June 1, 2018 by Quinovic Parnell

The government has changed. There has been a dramatic change in attitude to landlords also.

Once being a landlord was something to aspire to and be proud of. You worked hard and had enough equity in the family home to buy a rental property. You spent your precious spare time preparing your rental property. You could have refurbished it, so it would be a place you would be proud to call your home.

You took on the risk of vetting tenants and checked their credentials and background. You met your legal obligations to the government, insurance company, tenant and bank.

The return on this investment (which you put your entire life savings into) you were lucky if you broke even, and didn’t top up the bank loan. There were no major repairs, damage, or insurance claims. Tenants would always pay the rent, would never abandon your rental property, and it would be passed back in the same condition you rented it.

The fairytale is over. Today, the being a landlord is increasingly a tough business to be in. Yet with the right bank, accountant, lawyer and property management company – you will do well.

Remember the Positives:

Auckland has a short supply of quality rental properties. A property marketed at the right price will get a quality tenant.
Banks are still interested in lending to those who have shown they are disciplined in saving and repaying debts/loans.
Capital gain may have slowed. Yet, over a 10-year period – property is still one of the best investments you can make.
Changes to the bright-line test from two to five years has meant some small investors have exited. So competition is less for the serious investor.
You have the ability to improve your investment property. You could subdivide your property to gain another rental unit.
You are in control of your investment. You make the decisions on how to improve it, manage it, and grow your portfolio over time.

Get in touch with Kerry Kirwan about us managing your Auckland rental property, or portfolio of properties:

Talk to Kerry about Quinovic Parnell Managing Your Auckland Rental Property

Stunning Auckland Home for Rent, Arney Road, Remuera

Posted on May 9, 2018 by Quinovic Parnell

Today we share with you a stunning Auckland home available for rent on prestigious Arney Road, Remuera. Perfect for a family seeking a furnished place to live until January 2019. Two minutes to Remuera and Newmarket, and in the sought after Double Grammar Zone.

This outstanding character home, built at the beginning of last century has been lovingly maintained and has modern touches. If you love space – this unique home will appeal.

There are 3 bedrooms, 3 bathrooms, secure gated access, and a huge separate wing which could be used as an office, and it includes an ensuite. You’ll love the spaciousness of this very unique property.

Includes an inground swimming pool, spa and large decks off the spacious kitchen with living and dining room.

To view, get in touch with Kerry from Quinovic Property Management Parnell:

M: 0220 108 005
E: kerry@quinovic-parnell.co.nz

Are You Thinking of Buying an Investment Property?

Posted on May 9, 2018 by Quinovic Parnell

Even if you are a seasoned property investor, but especially if you are relatively new to property investment, our advice is to “get advice”.

There’s much to consider:

Is it a good investment for me? Do the numbers work?
Do I know all I need to know about the property from a legal perspective?
What sort of rental return can I expect?
What improvements can I make to increase the value of the investment?
What type of features appeal to tenants; what are they looking for?

Here are a few tips that might help your decision making.

Bedrooms

The number of bedrooms is generally the first factor in determining how much a property will rent for. The bedrooms, the greater the rental income potential. Bedroom size is also important – they should all be big enough to accommodate a double or queen-sized bed.

Living Areas

The number of living rooms should be in proportion to the number of bedrooms. Usually, if there are four or more bedrooms, there should be more than one living area. Living areas are areas used for general living, ie – a space that can fit a couch, coffee table and TV. They also need to be far enough apart so that noise isn’t an issue. For instance, a house that has a combined lounge/dining upstairs and a rumpus room downstairs is considered to have two living areas.

Kitchens and Bathrooms

New or renovated kitchens and bathrooms are more appealing to tenants and “sell” rental properties. They also help maximise the sales price of properties when sold. Like bedrooms, the number of bathrooms can also influence the rental return.

Outdoor Living Area

Properties with an outdoor living area are easier to rent than those without any outside options. Ideally, there should be enough space for a barbecue and seating for 4 to 8 people. Yet anything is usually better than nothing.

Grounds should be low-maintenance and well maintained in the front and back. Consider the cost of lawn and garden maintenance and who you think should be responsible – you or your tenants.

Presentation:

Properties that need repairs and maintenance aren’t appealing to tenants. Property presentation is also a very important consideration. As the property owner, home maintenance inside and outside is your responsibility, not your tenants. It makes economic sense to ensure your property is presented in the best possible way.

At Quinovic Property Management over the past 30 years we’ve learned a lot about rental properties. We’ve helped residential property investors maximise the potential of their rental assets.

Are you looking for independent, honest advice based on experience and knowledge?

Get in touch with Quinovic Property Management Parnell by clicking on the link below:

Quinovic Property Management Parnell

Why Looking for an Auckland Rental Property NOW Makes Perfect Cents

Posted on April 24, 2018 by Quinovic Parnell

Were you one of the unlucky ones who missed out on their dream rental property last summer? We discuss why moving in Autumn or Winter could be your best move yet.

The Auckland rental property market can be mad. The competition can be fierce in Spring and Summer. In the warmer months more rental properties come onto the Auckland market. But there are more tenants looking for rental properties as well.

Tenants often need to be more innovative in their approach at viewings. Those that don’t stand out from the crowd can miss out on their ideal place to call home. At worst, they could have to settle for a place which has many drawbacks.

This busy period can often push prices up too. More people move during Spring and Summer because:

The weather is better and it’s warmer
There are more daylight hours to shift furniture and organise things
It fits in with school terms
There are more properties available

If your circumstances allowed – what if you could put off moving? Have you ever considered shifting in Autumn and Winter?

Moving in Autumn and Winter is impossible for some tenants. Yet there are advantages to looking for an Auckland rental property during this period.

You could be on a periodic tenancy, or your lease might be coming to an end. Do you renew, or take a look at what Auckland rental properties are available? What is out there could surprise you – it could be your next dream property. Due to changes in circumstances – tenants often need to break their tenancies. The ideal place you saw 6 months ago and missed out on – could be up for rent.

The cooler months mean there are less Auckland properties available for rent. There’s also fewer tenants looking to move, and less competition. Property management companies often advertise “no letting fee”.

Are you or someone you know looking to rent an Auckland rental property?

Get in touch with Quinovic Parnell today. We’ll regularly email our list of available properties:

Get in Touch with Quinovic Parnell

Residential Property Owners Need Protecting Too

Posted on April 12, 2018 by Quinovic Parnell

How protected are you as an owner of a rental property?

The government has signalled we are about to see changes in residential tenancy legislation. This includes banning letting fees paid by tenants. There is still very little legislative protection for owners of rental properties.

This lack of protection was evident recently. The NZ Herald reported the company owned and run by Auckland property manager David Sharma, operating under Ray White Henderson, owed 67 landlords more than $350,000 in unpaid rents. The number of landlords owed money by Sharma has since increased and is now confirmed as being 72 and growing.

The liquidators reported that most rental payments owed to rental property owners dated to January and February of this year. There were no company assets available for immediate recovery. The company’s bank accounts were overdrawn. The chances of any of these property owners seeing their overdue rental monies anytime soon is pretty non-existent.

So how was this allowed to happen? Aren’t there legislation and rules to prevent these sorts of things from occurring?

Unfortunately, the answer is ‘no’. Up until 2008, property management was an activity for which a real estate licence was required and overseen by the Real Estate Institute. Yet when the Real Estate Agents Act came into effect, a real estate licence was no longer required. This very low barrier for entry meant a lot of new people entered the industry, cutting corners and service delivery.

Why aren’t the rental monies at least deposited into a trust account? Again, because it’s not mandatory for property managers to operate one.

It is a question every rental property owner should ask their property managers. It’s not only the smaller players who don’t run trust acounts for rental monies. Sharma is a good example of this. Although his business traded as Property Management Out West Ltd, it was under the branding of Ray White Henderson.

At Quinovic Property Management, we view a trust account as imperative. It protects our owners’ money and the integrity of our property management services. All our rental monies come into a centralised trust account. Then they get disbursed directly and automatically to our rental property owners. This system means no rental monies are received or controlled by our individual branches.

At Quinovic Property Management Parnell, we ensure investment properties are professionally managed to the highest standard. We can also give you peace of mind, knowing your rental income is protected. We assist Auckland rental property owners put plans and strategies in place.

Have your Auckland rental property managed by Parnell’s property management experts. Discover how much your rental property could be earning with a rental appraisal. Follow the link below to complete our online form:

Appraisal on Your Auckland Rental Property

Some Facts About Meth Testing of Rental Properties

Posted on March 13, 2018 by Quinovic Parnell

Methamphetamine and other drugs are becoming an increasing problem for rental properties. Alarmed? We explain why you shouldn’t be.

Quinovic Property Management Parnell has a policy in place to help manage this threat on behalf of rental property owners.

We test 2 to 4 days before a tenancy starts. This creates a baseline for future tests.
It is the landlord’s responsibility to provide a clean, tidy and safe home for their tenants. Completing the test meets tenancy law requirements.
If you fail to test before a tenancy, you could find it difficult to prove contamination was due to the current tenant.
The rental property becomes uninhabitable if contamination is found during a tenancy. The tenancy must end immediately.
As a landlord, you are not responsible to supply alternative accommodation. It’s always good to help if you can.
If a tenant can prove the rental property was contaminated before their arrival, they may apply to the Tenancy Tribunal for a refund of all rent paid. This has occurred more than once in New Zealand.

We don’t wish to frighten anyone off from being a landlord. Engage the professional services of Quinovic Property Management Parnell today. We will ensure you meet your legal responsibilities.

Follow the link below and get in touch with Kerry Kirwan to discuss us managing your Auckland rental property:

Gen touch with Kerry Kirwan from Quinovic Parnell

Tips for Renting Your Property

Posted on February 2, 2018 by Quinovic Parnell

That Will Save You from Disaster

We’ve put together some tips when you’re renting your property to tenants.

Reference Check

Always ask prospective tenants for references and always call their referees. If you rely on your own assessment of prospective tenants, this can lead to problems down the track.

Credit Check

Referees may be reluctant to make negative comments about a colleague or friend. It is vital that you also carry out a credit check on prospective tenants. Most debt collecting agencies can conduct credit checks. You need to ensure you get the tenant’s permission first.

Tenant Check

To name a few, the following should be undertaken:

Background checks
Social media
Police
Credit
Verification of ID

A professional property management company will undertake these and more on your behalf. Remember to get written permission from tenants first.

Outline Expectations in the Tenancy Agreement

The tenancy agreement is the place to outline what you expect from your tenants. It must clearly state if there are to be no pets, parties or smoking, the maximum number of occupants, and so on. Failure to make specific conditions clear can lead to dispute. If the matter goes to the Tenancy Tribunal, an unclear agreement puts you in a precarious position. Neither party can sign away their rights under the Residential Tenancies Act. Even if both parties agree to a clause at the time of signing a tenancy agreement, this clause may not be upheld if a dispute is taken to the Tenancy Tribunal.

Opt for a Fixed-Term Tenancy Over a Periodic Tenancy

You may find a good tenant who is going to pay the rent and look after your property. If you sign them up for a periodic tenancy instead of a fixed term tenancy, they could give 21 days’ notice and leave. This gives you very little time to find a new tenant, and it could cost you in lost rent.

A fixed term tenancy enables you to find new tenants before the current tenants move out. This could potentially save you thousands of dollars. It also enables you to protect against the property becoming vacant at a time of year when tenanting could be difficult, ie – November/December or mid-winter.

Take the Maximum Possible Bond

Many private landlords feel that no bond, or only two weeks bond is necessary. It’s very easy for a property to be damaged, which could leave the owner out of pocket. Tenants are given the right to live in an asset worth hundreds of thousands of dollars. It is advisable to insist on taking the maximum bond possible of four weeks.

Lodge the Bond with the Department of Building and Housing

Always lodge the bond. Not lodging the bond with the Department of Building and Housing is illegal. If a tenant takes you to the Tenancy Tribunal, could be a fine for you of up to $1,000. The actual amount is at the discretion of the adjudicator. You could lose many hours dealing with the tenants and attending the hearing.

Talk to Kerry Kirwan about Quinovic Parnell managing your rental property:

Quinovic Property Management Parnell

How to Get Noticed when Applying for a Rental Property

Posted on January 19, 2018 by Quinovic Parnell

In Auckland’s competitive rental property market – being turned down can be discouraging. You could be competing against a number of other potential tenants for the same place. Is it time for you to think outside the square?

You need to make a good impression on who is doing the viewing if you are to secure the rental property you want. It could be a private landlord, a letting agent or a property manager that you will deal with.

There are many advantages to a property owner using a property management company. So you could be dealing with a property manager from a property management company, rather than with the landlord.

The property manager does the reference, credit and background checks, and in due course provides the owner with their opinion.

At each viewing you attend, there may be a number of potential tenants there. You should make yourself known to the agent by introducing yourself. This is irrespective of how busy the viewing is.

Before the Viewing:

Make use of systems such as Viewing Tracker on Trade Me.
Familiarise yourself with the location of the property, and pre-plan which route you intend to take. To ensure you arrive on time, take traffic into account.
Pay attention to what to wear at the open home and the first impression you will create.
If dealing with an agent – obtain a tenancy application form beforehand if possible. You may be able to download one from the company’s website.
Fill out the application form before the viewing, and ensure you have a copy of your photo ID.
Put together a tenancy resume or similar, and include a photo.

The open home is usually the first time the property manager will have seen or dealt with any potential tenants. It is vital you make a good first impression.

At the Open Home:

Be on time, and if you can turn up a little early. If you are running a little late – it is courteous to let the property manager know. Call or send a quick SMS if you are running behind time.
Introduce yourself to the property manager. This is really important if there is a lot of interest in the property, or if it is in a sought after location.
Be sincere and honest, and communicate well.
If you could see yourself living at the property – let the property manager know you will put in an application. Do what you say by following through.
If there is a viewing sheet at the property – fill it out. You could be added to their office database and contacted about other available properties. If unsuccessful for this property, you could be considered for another.
Resist the urge to openly criticise the property. If it really doesn’t suit then you shouldn’t apply. If the agent asks for your honest feedback – you should give your view without being overly critical.
If you pre-completed the application form – hand it to the property manager at the viewing together with a copy of your photo ID. If you are from overseas you could use your passport as ID, and include a copy of your visa conditions.

After the Open Home:

If you emailed your application – follow up with the property manager by calling to confirm they received it. Sometimes emails can go straight into junk mail, particularly those with attachments. It is good practice to double check your tenancy application has been received.
Refrain from calling the property manager every few hours for an update. Property managers can be incredibly busy, and it can be very off-putting if a potential tenant is overzealous.

Get in touch with Quinovic Property Management Parnell

Auckland’s New Property Millionaires

Posted on December 13, 2017 by Quinovic Parnell

The residential rental housing market is seldom dull. What an eventful few weeks we have had!

Did you check the new Auckland property revaluations recently? On the first day of online access 120,000 people checked 10.3 million Auckland Council property revaluations.

Auckland Council pre-empted a lot of increases. They announced the average house price rose 46% to $1.076 million since the previous revaluation three years ago.

In June 2018 Auckland Council sets its new rate level. It will be clear then how these increases translate into rent increases. It is likely we will see upward pressure on residential rents. Property owners and investors will attempt to maintain equilibrium in their rental returns.

Those new revaluations may already be out of date

Most property owners are aware the Auckland housing market has been cooling. It also means it is likely some properties may be worth less than their new revaluation.

Real Estate Institute of New Zealand (REINZ) figures released for year ending October 2017 state the Auckland median property sales price fell 3.2% year-on-year to $850,000. This is the biggest fall since December 2010, and the lowest median price in the last 16 months. Yet it might not be as grim as it first seems.

There has been a glut of apartment sales in what was the old Auckland City Council area. This brought down the median value for the whole Super City region. And it depends on how you measure “price”. REINZ also do another calculation using a House Price Index (HPI) formula. For the Auckland City legacy area, this only resulted in a decrease of 0.8% year-on-year. HPI looks at the mix and value of the properties sold, not sales price alone. This makes an allowance for all those apartments. Feeling better?

Hold Don’t Sell

The slowing down of Auckland residential property sales has seen a lot more properties which didn’t achieve an acceptable sales price, convert to rental properties. Depending on property equity, many reluctant landlords with a well-managed rental were surprised at the achievable returns.

Quinovic Property Management Parnell offers free residential rental appraisals. You might be surprised at what you can achieve. Get in touch with Kerry Kirwan to discuss your circumstances by clicking on the link below:

Contact Kerry Kirwan at Quinovic Parnell for a Free Rental Appraisal

It’s not always smooth sailing being a residential property landlord. In November 2017 the Dunedin District Court overturned a ruling known as the Vic Inglis Tenancy Tribunal decision. The Tribunal ordered Vic Inglis, the rental property owner, to refund his former tenant over $10,000 in rent. This was due to having non-compliant alterations in his rental property. Common sense prevailed. The District Court ruled that although the technical breach was “unlawful”, as the tenant had not suffered from the breach, she must pay back the sum she had received.

Where a rental property has no full Code of Compliance sign-off, Tenancy Tribunal adjudicators will be able to base their rulings on the degree of unlawfulness and harm caused to tenants. This should help ensure that resolutions are fair to all parties.

We say landlords should ensure their rental property complies with all building regulations and not knowingly take risks.

On a Positive Note for Tenants

Housing Minister, Phil Twyford, announced Government plans to pass the Healthy Homes Guarantee Bill by Christmas. Insulation requirements will be compulsory from 2019. At Quinovic Parnell we have been talking to our rental property owners about insulation requirements for some time.

The Labour Government has indicated there will also be minimum standards for heating which is likely to be in the form of heat pumps. Confirmation of insulation and heating requirements will be within six months of the Bill enacted.

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