Prevention

Staying ahead of the game – why it pays to be proactive

The rental market remains highly competitive, with strong tenant demand across much of the country. While current conditions may appear favourable for landlords, they also bring a shifting set of expectations, risks and responsibilities.

Australia’s national rental vacancy rate tightened to 1.7% last month, according to Cotality, and rents have risen considerably over the past five years, particularly since the early stages of COVID-19. Market dynamics have evolved quickly over that period, reinforcing the value of active, informed property management.

For many landlords, the first and most effective step in staying ahead is engaging an experienced property manager. Proactive oversight, regulatory awareness, tenant management and risk mitigation are core to their role, and in a fast-moving market, that expertise matters.

For those who choose to self-manage, the same principle applies: strong conditions do not eliminate risk, they reshape it. In an environment of sustained demand, regulatory scrutiny, cost pressures and heightened tenant expectations, a proactive approach remains critical to protecting assets and maintaining long-term performance.

Here is why staying ahead continues to matter.

Stay ahead of your legal responsibilities

One of the key reasons to remain proactive is compliance. By law, every rental property must meet minimum standards — it must be functional and fit to live in, particularly when it comes to safety, security, health and hygiene. While these standards vary across states and territories, the expectation is the same everywhere: properties must be properly maintained. Falling behind on repairs or routine maintenance does not just affect tenant satisfaction, it can place you in breach of your legal obligations. Staying on top of issues helps protect both your tenants and your investment.

Maintenance could cost you more

Prevention is better than cure. In the same way that staying healthy is better than trying to recover from illness, having a proactive maintenance regime is better than scrambling to repair when something breaks, bursts, tears or cracks. Do not let what could have been a simple maintenance matter turn into a major repair, or even a liability claim. And never try to do the work yourself – DIY can void your insurance cover.

Optimise rental returns

Sure, rents have skyrocketed over the past five years and, even with legislative changes limiting rent increases, landlords are generally well positioned. Even so, planning ahead and installing and maintaining features that appeal to renters can mean higher rents still. That might be pet friendly flooring, smart energy solutions or wellness-orientated features.

Attract the best possible tenant

No matter the market, landlords always want the best possible tenants. While all tenants have a responsibility to look after the property and report all necessary repairs promptly, the best possible tenants will likely be attracted to well-maintained properties.

Protect your cover

By being proactive, you are not just protecting your property, you are protecting your insurance cover. Staying on top of maintenance, compliance and lease documentation demonstrates that you have met your obligations under the policy. Insurers expect landlords and property managers to take reasonable care of their properties, and a well-managed property is far less likely to result in disagreements at claim time. Regular inspections, prompt repairs, updated sums insured and clear communication with your insurer all help ensure there are no surprises if you need to lodge a claim.

How to be proactive

Here is how landlords can be proactive:

• Plan: Schedule regular inspections and maintenance.

• Pre-empt: Invest in pre-emptive maintenance. It will save money in the long-run and help you sleep better at night.

• Prepare: Make sure the investment property budget provides for planned and unexpected work on the property.

• Communicate: Landlords should be clear from the start that they want to take a proactive approach to all aspects of property management.

Finally, while a proactive approach to property management delivers clear long-term benefits, there will still be times when you need to act… and quickly.

Landlords are legally required to respond to urgent repairs within specific timeframes (which vary slightly across states and territories) and to take reasonable steps to prevent further damage. Addressing issues promptly not only keeps you compliant, but it can also significantly reduce the extent (and cost) of the problem. For example, a small leak can quickly escalate into major water damage if left unattended.

Proactive management protects your tenants, investment and insurance. If you need support, we are here to help. For guidance or questions about cover, call 1800 661 662.

*While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you need us we are there, contact 1800 661 662 if you have any questions.

About the author

Sharon Fox-Slater

Managing Director, EBM RentCover

Adv Dip Fin Serv (Genl) GPIB FNIBA FAIM ANZIIF (Snr Assoc) CIP

Sharon joined EBM in 1993 and was part of the core team that helped launch one of Australia's first landlord insurance policies. She has transformed EBM RentCover from a small start-up into a national operation, protecting approximately 155,000 policyholders.

Sharon is passionate about the role insurance plays in providing certainty for people, in times of uncertainty. It is at the heart of everything she does. Sharon and her team of specialists strive to educate and empower property partners and landlords, helping them understand the true value of protecting investment properties.