Case Study

How we helped a property investor maximise his rental income by $3,600 per year

 

In the property industry, field expertise is half the battle. The other half is data analytics. The following case illustrates how we match the two to deliver superior returns to our clients. 

Right timing.

Our client Vincent had a two-bedroom apartment in Box Hill approaching lease renewal, and the previous renter was looking to move out. To determine the optimal rent, our team did not just analyse macro trends such as vacancy rates and average prices in that suburb. Our property experts also monitored similar listings in the building to define the right timing and the right price to advertise the property.

 

Right pricing.

We estimated Vincent’s apartment to be valued at $525 per week; however, just before commencing the marketing campaign, two comparable properties were advertised in the same building at $450. Our assessment indicated that our competitors were undervalued as they simply replicated the suburb averages. We were confident that the other apartments would be quickly out of the market, so we advised Vincent to wait one week.  

Right strategy.

Although initially inclined to go along with the herd, our client decided to follow our recommendation. The strategy paid off: Vincent’s apartment was leased for $520 per week in a matter of days, delivering an additional income of $3,600 per year. Not only did our team maximise the property value, but we also reduced the odds of future vacancy by starting with a realistic market price. As the property is unlikely to need significant rate increases in the following rent review, renters will be incentivised to stay longer. 

 

Right timing. Right pricing. Right strategy. That was our recipe for outstanding results.