I'm just wondering how I decide how much to increase the rent after I have spent $8 000 on my rental property. Any clues would be appreciated. Thanks.
It is not related to how much you spend on your property rather what you need to look at is what do similar properties in similar condition rent for in the location your house is in. This is called market rent a similar process occurs for the actual market prices for houses that are sold.
If you already have a tenant then you have to be careful not to increase the rent massively in one hit as the tenant may complain that the rise is excessive. How would you feel if your rent increased by twenty percent in one hit.increase to market rent.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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