With the release of the latest census report, it was noticed that there was a considerable increase in the number of empty houses in Australia. This observation is based on the number of houses that did not return a census. This could simply mean the occupant did not participate, and this will certainly be the case in some circumstances, it is also true that some properties are unoccupied.
There are a number of reasons why a home is left unoccupied, but it can be concerning to real estate investors if rental properties are increasingly being left vacant. The residential vacancy rate in Brisbane during census night was 1.3% with 4,732 residential properties being vacant. While this does not seem like much compared to the 1,043,784 dwellings that were left unoccupied nationwide during the 2021 census, it is still a large number.
As many property valuers in Brisbane can tell you, the property market, including vacancy rates, can influence your property values. As such, how many houses in Brisbane is something that should be monitored by homeowners and investors.
Why rental properties are left vacant
A vacant dwelling is the last thing an investor wants. When an investment property is not rented out, it means that there is no regular rental income coming in and therefore its owner is losing money while in between tenants. If your rental has been left vacant for longer than normal, then there are a few things you can do to help in this situation.
First things first, you will have to determine why the residence is vacant. There can be several reasons, but there can sometimes be one dominant factor causing the property to remain unoccupied. Reasons your rental does not have a tenant may include:
- High vacancy rate in the area: If this is the case, there would be more competition as well as other influences that are affecting your investment.
- Rent has been set well above market value: To be sure that this is the reason prospective tenants are uninterested, you can order an independent property valuation. This will report an accurate market value of the property, as well as include a summary of the current rental market.
- Poor advertising or renting strategy: How you advertise that you have a property available for rent matters. If you are simply advertising online, you need to present your property well to prospective tenants. You may also need to open the property more often.
- Poor condition or missing important features: Putting a residential dwelling up for rent is different to selling. Renters will need the property to be of a liveable standard. This means the property needs to be in good condition and functional. In some areas, certain features may be expected, and their exclusion may result in less interest from tenants.
What can I do if my rental property is vacant?
Once you have determined the possible reasons why your investment property has been without a tenant for so long, you can start to plan and take action. This may include doing any of the following:
- Updating your ads and/or posting your rental on social media
- Making some improvements to the property such as painting the walls and changing any outdated fixtures
- Ordering professional photographs of the property for your listing
Once you have made the necessary changes, you may need to have an updated rent review to ensure your advertised rent is competitive and in line with your property’s market value.
For more advice on rental assessments in Brisbane contact our helpful team today.