Jan 17, 2015
Ways to Increase yourInvestment Profits
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Topics covered in todays session:• Ways in which to increase your investment profits
• Long Term Investing
• Your tenant
• Short Term Investor
• Software Process Automation
• Erin Jones – Former Rawson Sales • Capital Growth
• Rental Income Growth
• Tips to buying an investment property
• Marc Thomas – GrindRod • Key factors of local and global listed Property
Agenda
Long Term InvestingSimilar to any non-physical stock - investigate and know the market
Study the area and the market over time
Long Term Investing
Long Term Investing
Long Term InvestingInvest in a good accountant
(knowledgeable accountant – an investor him/herself)
Invest in a good conveyancing attorney
Research your bond originator
not just the bank
There are other options
Raising the capital- Its not impossible to overcome
barrier to entry
• REIT
• Formulate and plead a good case
with a bond originator – don’t leave
it up to anyone
Raising the capital
http://www.reits.co.za/
Raising the capital- Its not impossible to overcome barrier to
entry
REIT
Formulate and plead a good case
with a bond originator – don’t leave
it up to anyone
Hard money loan (Riskier but possible)
Crowdsource the required funds
Raising the capital
Income Generation- Fill your property ASAP
- Luxury - Residential - Commercial - Industrial
- Look to place quality tenants within your property
Listing and proliferating your rental is KEY
List your properties availability
Is Social Media important?
- Definitely• Only 30% of SA Real Estate Agents use social media to some extent.
• Allows you to get you and your property details out there• Market to your contacts and friends at no cost• Immediately raise awareness• They know you … they know your property quality• Proliferates your portfolio immediately
More Sociable – More Noticeable!
Social Media - and the investor
• List and rent your property ASAP
•Control your tenant
•Continuous invoicing and statements
•Know your tenant
•Develop a relationship with your tenant
Your Tenant
Tenant Request - Approval
Reject
i
iApprove
ExecRentals Automates this process
ExecRentals Tenant Request - Service
Reject
i
iApprove
Over 10000 Listed Providers
• Do as many checks on them as possible (or get your agent to do so)
• With the approval of the tenant be sure to run the following 5 checks:• - Bank Verification check
• - Transunion check
• - Experian Check
• - Tenant Profile check (previous letting history)
• - Landlord reference check
Maximize rental income by renting out your property fully furnished
Maintain the property
Your Tenant
Know your tenant
• Online Property Management System• Automated Tenant Management System (Workflows,
automated invoicing, credit checks) • Financial Management• Property Booking Facility• Property Searching Facility
What is ExecRentals - Rent Management Software
So why automate your processes• Leaves less time for manually capturing data• Gives you more time to market and manage your
investments
Sell More – Manage Less!
Automation is Key
So why manage your property portfolio online?• Easily accessible (Phone, tablets, internet connected computer)• Backed Up• Able to easily share details • Feature Rich (Reviews, Photos )• Reporting (Views, Bookings)• Information is able to processed (execute more features than usual,
macros)• Fresh Content = Continued Income Revenue
It just makes sense!
Reason for managing Property online
RMS User Dashboard – Greater perspective allows more control
Online portfolio financial management
When a property increases in value over time, it is known as 'capital growth‘
Capital growth, also known as capital appreciation, has been strong in recent times
local conditions surrounding your property have a big effect
CAPITAL GROWTH
Rental income is what the tenant pays you
you will also need to budget for a number of necessary costs
ultimately you are responsible for these costs whether the property is occupied or not
RENTAL INCOME GROWTH
What seems to be the trend of investment properties? 1-2 Bedroom Units
What the average rental value? Between 4-6000 per month
What the average value of the property? 600 000- 1 million
Who is the average tenant? Young professionals generally aged between 20- 29 years old
RENTAL INCOME GROWTH
Pick an area where it’s fruitful in opportunities
Find agents that are area dominate
Do your research make sure if you find the property is correctly price
Research rental value
Look at different avenues of marketed properties
Tips to buying an investment property:
• Key factors of local and global listed Property
• Grindrod Asset Management currently manages institutional assets on behalf of large multi-managers, pension funds and provident funds across a number of different investment strategies including:
• Payers and Growers™• Listed property• eRAFI (both local and offshore)
Marc Thomas – GrindRod
• 3 Ways your property should be working for you
• Mastering mobile productivity from offer to close
• Diversify your real estate lead sources • Identify Leads with Email Campaigns
Future Event Topics
Connect with us to learn more!
https://twitter.com/execrentals
http://www.facebook.com/ExecRentals
http://www.linkedin.com/company/execrentals
http://www.execrentals.co.za/Blog/
?Questions / Discussion