As we head into 2025, after an impressive run of rental growth and low vacancy rates, we’re now shifting toward a more balanced rental market. 

This state of affairs means that landlords can still make decent returns, but tenants can choose from a slighter larger pool of rental properties. With more choice for tenants, landlords must proactively keep their investment properties in demand.

The key to securing long-term returns is ensuring your tenants are happy and comfortable. A satisfied tenant is less likely to move, but with more choices available, staying on top of any maintenance issues is crucial. 

Regular property inspections with your Raine & Horne Property Manager are essential to spot potential problems early—whether it’s a faulty door lock or a leaking tap.

Then, after the visit, if you and your Raine & Horne Property Manager identify any repairs or outstanding maintenance issues, be sure to address them immediately. 

At Raine & Horne, we prioritise ongoing training for our Property Managers to ensure they remain responsive, respectful, and attentive to tenants’ needs. 

Building a positive relationship between your Property Manager and tenant is essential for a smooth, long-term rental experience.

If a lease renewal is around the corner, it’s time to get savvy about the rental market where your property is located. Knowing the local market will help when it’s time to negotiate that next lease.

During negotiations, be open to the tenant’s request for a specific lease term. If you have a long-term tenant, they may favour a longer lease for security. This option might also suit you as it could provide you with a more stable income stream. On the other hand, if the tenant is planning to buy in the next six months, they might request a shorter lease. In the current rental market cycle, the best advice is to be flexible when negotiating lease terms. 

Also, if there is some wriggle room in your budget, some enhancements could encourage your tenant to stay longer. Maybe it’s a new air conditioner, a dishwasher, a fresh coat of paint, or new flooring. These small gestures show that you value your tenant’s comfort and well-being, which should be a priority.

Wishing you a successful and hassle-free year as a rental property investor, with well-maintained properties and happy tenants all year long!

Would you like to know more about buying an investment property in 2025? Speak with your local Raine & Horne team for expert insights.