We are proud to present our quarterly newsletter which covers important information for all our amazing clients.
Please see our highlights for each story. Click on the links to read more about the stories that interest you.
1. Tips on buying an investment property – What risks are there? How do we minimize them?
2. What has been happening in property management and in the overall rental market?
Read more about our vacancy rate, rent reviews etc.
Check out our executive rental property of the month.
Large family home 4x2 with a pool in South Hedland
Read more: https://propshop.com.au/listings/residential_rental-2380022-south-hedland/
3. How is the sales market going in Hedland?
Read more about what our sales team has been up to, and their views about the current sales market along with relevant figures
Check out our sales property of the month
Have a look at the shed! 3x1 brick home in Cooke Point
4. End of financial year 2019/2020!
Read more about the end of financial year.
5. Question and answer with our incredible Senior Property Manager Jemma!
Wonder what Jemma is most passionate about and where she originates from? Read all about in our little interview with Jemma Lions
6. Tips & hits for tenants/owners/investors!
Sign up to property tree & do you have a copy of our most recent edition of Tenancy Handbook.
7. Check out some relevant articles we found interesting about the current market and Port Hedland!
9 News – Home Builder Scheme
REIWA – Residential Tenancies Act – COVID-19 Response
Town of Port Hedland – Portside pop-ups project
Town of Port Hedland – 2020/2021 Annual Budget
ABC News – Port Hedland buyback
https://www.abc.net.au/news/2020-06-12/port-hedland-house-buyback-to-go-ahead/12344866
Reiwa- Settlement for moving in and out of regional areas
Australian Mining – Port Hedland expansion set up WA job opportunities
Australian Mining – Pilbara Minerals well – prepared for post-coronavirus recovery
The West Australian - Eastern state-based FIFO workers offered incentives to move to WA
Australian Mining – BHP investigates raising Port Hedland export capacity
https://www.australianmining.com.au/news/bhp-investigates-raising-port-hedland-export-capacity/
Australian Government The Treasury – Home Builder Grant
WA Gov – Apply for the first home owner grant
8. Contractor of the month – Unicorn Services!
Read more about our chosen contractor, and hear about what special offers they have on for Hedland Property Shop clients
9. Any specials being offered to our tenants/owners/investors?
Read more to found out what Winter special Hedland Air-conditioning & Refrigeration is offering our managed rental properties
10. Send us your reviews and testimonials!
Feedback is always wanted. Read more to find out how to send us your feedback and follow us on Facebook.
1. Tips on buying and investment property - What risks are there? How do we minimize them?
By Jim Henneberry – Director
What happens if:
- I lose my job?
Ask yourself, if I did lose my job how long would it take me to find another? One week, one month, or three months? Then organise for your bank account to always have a float, balance of buffer to cover this period. You will enjoy great peace of mind knowing that there are 2, 3, or 6 months’ worth of shortfalls sitting in your bank account. If unemployment looks like being long term then you could look at refinancing your property portfolio to release more funds or allow us to assist you to sell one of your properties.
- No tenant is found and the property remains vacant?
You can minimize this risk by putting yourself in the tenant’s shoes when buying a property. What tenants want is a well maintained, easy care property within a convenient distance to schools, shops, public transport and other facilities. A property 80 km from Perth will not enjoy the low vacancy factor that Perth enjoys. This is less than 4%. This means for every two years (104 weeks) that you hold the property you can expect to receive 100 weeks rent.
- The tenant stops paying rent, or trashes the house?
Bad news seems to travel fast and of course it is only the horror stories of the tenants from hell that we hear about. The real facts are that 97%, 98% or 99% of properties under management have very few problems which, cannot be sorted out by a good property manager. However, to minimize the risk in the 1%, 2% or 3% of properties where problems do occur, as well as a skilled property manager we recommend investing in a Landlords Protection Insurance Policy. At around $350 pa the peace of mind you receive is immeasurable. If you do suffer damage will become an insurance claim, which of course your property manager will expediently handle for you.
What are the five basic rules for new investors?
- Buy Residential Only. Everyone needs a home to live in, but not everyone needs a butcher shop or fast food outlet. If commercial property becomes vacant you could be looking at an extended vacancy period with a rate much higher than the 4% vacancy factor experienced in the residential market.
- Obtain Interest Only Loans for your investments. By all means have your family home on a principle and interest loan and pay off your family home as quickly as possible. However, with investment properties you should look at only paying the interest component and use the $100 or so, which have reduced the principle to invest in another property.
- Remember, you don’t have to love it! Buy with your head not your heart, is the best advice we can give when investing in real estate. Put yourself in the tenant’s shoes. What do they want? What’s important to them? The colour of the kitchen tiles may not be a major issue.
- You should be able to drive past it. If your investments are close enough you can from time to time drive past, this can be a great source of personal satisfaction. The other advantage is that over the long years ahead it can keep you focused and committed Time is your greatest ally, your silent partner.
- Use an informed real estate agent. This may surprise you, but most real estate agents are only too willing to sell you a property. Unfortunately the properties on their books at that time may not be the best investment property. You need to be guided by an agent who has been trained in this specialised area, an agent who will remain with you over the next 10, 15 or 20 years. View it as a long term partnership, that’s what we do, take a long term perspective.
Take Action
We know that the opportunity that presents today will never be repeated, spring fades into summer, summer into autumn, and then its winter again. We awake with a start to realise that another year has passed. Still we procrastinate; there is plenty of time we tell ourselves. That however, is the greatest fallacy as because…The Clock of Life is wound only once. Surveys revealed that investors think that investing in real estate is too difficult. First you have to source suitable properties, thereby getting involved with lots of salespeople and if you do find suitable property and have negotiated on the price you then have to go somewhere for finance, somewhere else for your insurance, find a good settlement agent, select and appoint a property manager to look after the ongoing finance, tenants, repairs and maintenance. It’s all too hard.
Not at all, the Real Estate Property Shop Network may have these problems solved for you. Over the past years our company has become: The One Stop Shop for all your Real Estate Needs. Take advantage of the convenience offered by us in sourcing property through our intranet and the Real Estate Institute database; have your capacity to borrow analysed and the most suitable financial package arrange by our loan partners; have the investment analysed by our financial software; have our Settlement companies handle all the conveyancing details; and then pass the management issues over to our Asset Management Team, who will manage everything from finding tenants to paying bills, looking after insurance to maintenance.
The choice is yours, use all our services or just one or two, it’s up to you. You are in control all the way through.
What is next?
Take Action. Thoughts without action are really dreams.
Don’t put off until tomorrow what you can do today! Phone us now on 08 9173 5555 or are you going to be one of the 80% that choose to live on less than $300 per week?
2. What has been happening in property management and in the overall rental market?
By Jemma Lions - Senior Property Manager
What has been happening in Port Hedland?
The vacancy rate throughout Port and South Hedland has dropped recently which is great; we are seeing more enquiries through the agency on our listings which is resulting in more viewings.
We are still seeing Port Hedland sit a little stronger than South Hedland however we are still getting a fair amount of enquiries and viewings for our South properties.
What has been happening at Hedland Property Shop in Property Management?
We have seen the vacancy rate stay low this quarter which has been great. We were a little unsure what to expect with the COVID-19 pandemic however it has shown to not have affected us too much, if anything we were busier having some FIFO workers relocate their families to Port Hedland. We are seeing rents stay strong in both South and Port Hedland, we are still doing rent reviews and finding majority of our properties have been able to have a rent increase applied which has been great. We have been working hard this last quarter and it has shown with the statistics, our leasing department has been conducting lots of viewings and leasing lots of properties (27 in total this quarter) which have seen our vacancy rate drop to a flat 5% as of 23/06/2020. We have also adjusted some of our procedures which include rent arrears and this has seen the number of tenants in rent arrears at the lowest we have seen in a little while, down to 7.14% with 252 active tenancies on our portfolio. With the rent increases we have been putting across we have seen our average weekly rent increase too which is great. Myself, Tanya and Lilly are very excited to see how the next quarter goes, hoping for stronger numbers again.
Residential rental property of the month – 1 Greene Place, South Hedland WA 6722
LARGE FAMILY HOME WITH POOL
$800 per week
This beautiful property has everything you could want in a home and IT is available NOW!
It has a large area for your entertainment at the back with a spacious yard including a sparkling in-ground pool!
FEATURES:
- 4 Bedrooms, 2 Bathrooms
- Garage Space
- Modern through-out
- In-ground Pool
- Large undercover entertainment area
- Plenty of car space
- Split air-cons through-out
Pets considered on application
Be quick and call our Leasing Officer Lilly today on 0438 200 846 for more information or to secure a viewing of this beautiful home.
ANYTHING ELSE
Tanya has started her registration course which we are excited about, over time Tanya will have some more contact with majority of our owners as she is able to handle a bit more in her work load.
Lilly has proved to be a great asset in her role as Leasing Officer with our vacancy rate staying low and having leased 27 properties this last quarter.
We are still trying to have our owners and tenants create their own Property Tree portal login which will allow you to access information without waiting for it to be sent to you, invites will be sent out and possibly may go to your junk folder, please be sure to check this and if you have any questions contact either myself, Tanya or Lilly for assistance.
3. How is the sales market going in Hedland?
By Victoria Thoegersen – Residential Sales Consultant
This last quarter has been super busy, and we have seen a lot of buyer enquiries. We have actually been so busy selling properties that we have almost run out of properties to sell. There are still plenty of buyers that have missed out so if you have been considering selling please get in touch with me. I would also like to take this opportunity to remind all of our lovely owners that we provide FREE sales appraisals, so even if you are not thinking of selling, but may be curious to see what the market value for your property would be then please do not hesitate to give me a call on 0400 993 200.
As with the rental market, we are also seeing the sales market follow suit with less properties on the market, and properties going under offer in record time. As the supply decreases and the demand increases we are seeing an opportunity for the prices to slowly increase. 43 of the 96 properties listed on https://www.realestate.com.au for South Hedland are under offer. For Port Hedland it 12 out of 43 listed properties that are advertised as under offer.
While we are seeing a strengthening in the market it does take time to see this in the statistics, so the median prices have not changed since the last quarter. The median price for South Hedland is sitting around $200,000, and for Port Hedland it is $395,000. (Statistics from https://www.realestate.com.au)
We have seen a lot of interesting news from the Government with the home improvement/ new building grants. The mining industry have also been very busy in the last quarter and we are seeing a lot more people staying in town, rather than being Fly in – Fly out workers due to the current travel restrictions. It is great to see the town getting busier, and hopefully we will see current market trends continue through the last part of the year.
Residential Sales Property Of the Month – 11 Craig Street, Port Hedland
ROOM FOR ALL OF THE TOYS
$530,000
3 bedrooms, 1 bathroom
With the MASSIVE workshop at the rear of the property this is not one to miss!
Next to the shed and along the brick house you have a big open space waiting for YOU to utilise it – maybe you would like to put a pool in or have a big grassed area for the kids to play? This block measures a total of 722 sqm.
This is an absolute ripper location with ocean views only a few doors down, and the sports oval, primary school and day cares within walking distance as well. Spend your weekends relaxing under the shade, or enjoy walking along the beach after a long day’s work!
Internally this property has the typical 1970’s Cooke Point layout, with 3 bedrooms and 1 bathroom. There is plenty of space to lounge and dine, and a good spacious kitchen.
The ducted air-con is running well, and was just replaced 5 years ago.
No need to worry about expensive roof repairs or replacements as the roof is only 10 years old, and the shed was added just 3 years ago!!
If you are looking to buy or sell, or have any questions about residential sales please do not hesitate to call me on 0400 993 200 or alternatively you can email me on Victoria@propshop.com.au
4. End of financial year 2019/2020!
By Leah Taylor Accounts/Commercial sales & leasing
Can you believe we are already half way through the year!!!
With the end of the financial year being closed off all owners should have received an EOFY Summary sent to your nominated email account if it was marked on your managing authority. This will show all income and expenses for the year to give to your accountant. If at all you have any questions about your summary please feel free to email be at invoices@propshop.com.au and I will book you in for a phone consultation to run you through your report. As you can appreciate I do have a lot of owners that like to do this so please give me plenty of notice to book you in ????
At the end of every financial year I also lodge a report with the Department of Treasury for any funds that we can’t identify that are over 2 years old. This year I will be lodging $4,388.88 that are funds more than 2 years old. If you believe any of these to be yours please either email myself or click on the link to see what funds could potentially be yours not just from Hedland Property Shop.
https://unclaimedmonies.treasury.wa.gov.au/ums/
A quick reminder to our contractors – Please remember to send me a statement at the end of every month so that we keep our service quick and efficient on all ends.
I also just wanted to say thank you to our patient owners, tenants and contractors in working together with us in this crazy time, you are all much appreciated.
5. Meet lovely Jemma!
-What is your position with Hedland Property Shop?
Senior Property Manager
-How long have you worked with the real estate business for?
Since March 2018
-Where are you from?
Central Coast NSW
-What is your biggest hope for our town?
To see it continue to grow, especially for the rents to continue to increase.
-What is your favourite part about your career?
Forming relationships with my owners.
-What inspire you to succeed?
Being a role model for my son, showing that working hard will allow him to have the things he wants in life.
-What are you most passionate about?
My son, Jaxon.
-What is your favourite thing about the Pilbara?
It would have to be the sunsets.
-What makes you smile?
Being with family and friends.
-Tell us 3 things you cannot live without?
I cannot live without my son, pasta and the beach.
6. Quarter 2 tips & hints for tenants/owners/investors
- Sign up to Property tree as an owner to keep up to date with your property, call us for more information!
- Sign up to Property Tree if you are a tenant to get all of your information today. You will get access to; payments records, rent due dates and notification of any outstanding bills. For more information contact us today.
- We have recently published our newest edition of our Tenancy Hand Booklet. If you have
recently started renting with us in the last few months, you will have this copy in your Hedland Property Shop new tenancy folder. This is your tenancy bible. Please refer to it when you are unsure, alternatively contact the office. If you don’t have a copy of our newest Tenancy Handbook and would like a copy, pop by the office to collect a copy
7. Port Hedland & Real Estate market articles for April-June 2020
9 News – New home buyer scheme
Reiwa – Residential Tenancies Act 2020 COVID-19 Response
Town of Port Hedland – Portside pop-ups projects
Town of Port Hedland – 2020/2021 Annual Budget
ABC News – Buyback scheme
https://www.abc.net.au/news/2020-06-12/port-hedland-house-buyback-to-go-ahead/12344866
Reiwa- Settlement for moving in and out of regional areas
Australian Mining – Port Hedland expansion set up WA job opportunities
Australian Mining – Pilbara Minerals well – prepared for post-coronavirus recovery
The West Australian - Eastern state-based FIFO workers offered incentives to move to WA
Australian Mining – BHP investigates raising Port Hedland export capacity
https://www.australianmining.com.au/news/bhp-investigates-raising-port-hedland-export-capacity/
Australian Government The Treasury – Home Builder Grant
Gov – Apply for the first home owner grant
8. Contractor of the month – Unicorn Services
Unicorn Cleaning & Gardening is our Contractor of the month. Charlie always goes above and beyond to ensure all our work orders are completed promptly and professionally, which we are extremely grateful for. We would also like to thank the Unicorn team for offering us a complementary yard clean up the other week. Our properties always look clean and tidy after using their services. Listed below are some of their services which we highly recommend…
- Final bond cleaning
- Re-occupancy cleaning
- Carpet cleaning
- Furniture removal
- Pressure cleaning
- Yard clean ups - Lawn mowing, tree/hedge trimming, weeding & general garden maintenance
Contact them to have a chat about what else they can do for you.
Charlie: 0418 930 224
9. Any specials being offered?
For winter 2020 one of our contractors Hedland Air Conditioning & Refrigeration has advised us of a special they are offering for Air Conditioning Servicing. They are offering to carry out FREE Inspections and servicing of air cons units at a DISCOUNTED price.
If you would like to have this special utilised please let your Property Manager Jemma know; 0429 200 452 or jemma@propshop.com.au, so we can schedule in the inspection & servicing.
If you have any questions about this special please contact the office on (08) 9713 5555
10. Send us your reviews and testimonials
We love your feedback on any of the services we provide; send your review and testimonials to reception@propshop.com.au today!
Find us on Facebook! Like us! Follow us! We will keep up to date with our properties, office and the Port Hedland community!
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We are proud to present our quarterly newsletter which covers important information for all our amazing clients. Please see our highlights for each story. Click on the links to read more about the st