Book Review > Managing your Investment Property

Rachel Barnes and Geoff Doidge are both successful property investors. Together they own over 130 residential properties, and they have chosen to share their expertise in this field with readers setting out on a similar path. The authors point out the advantages (largely financial) and the pitfalls of being a DIY (do it yourself) owner, as opposed to engaging a property manager. These two major alternatives, which the potential property owner needs to weigh up, are illustrated and emphasised throughout the book.

The book is divided into three parts. The first deals with preparing for property ownership and covers such topics as acquiring a property, appointing a property manager (if appropriate) and selecting a good tenant. Part two covers the step-by-step management of the property. It deals with such issues as advertising the property, vetting applicants, maintaining excellent records, and managing evictions.

Part three gives advice on how to get the most from one’s property investment.

Each chapter is self-contained. The reader has the option of selecting those areas of particular interest if he/she is already an experienced investor, or of reading the book from cover to cover to get an overview of the whole process and its potential pitfalls!

While the sequence of topics is logical for anyone reading the book from beginning to end, it can also be used as a reference work, the reader cherry picking those topics in which they are particularly interested. I like the approach that the authors have taken of previewing the next chapter’s topic in the last paragraph of each chapter.

The authors are both experienced property investors who have distilled their extensive knowledge base for the benefit of newcomers to the field. They write in a style that is easy to follow and without the use of complicated jargon which can be both confusing and demotivating.

Excellent appendices at the end of the book contain links to helpful websites as well as sample pro formas covering topics such as tenancy application forms, pet owner agreements, and letters for increasing the rent.

The main emphasis is on residential properties for rent. Since the thrust of the book is investment, mention could also be made of commercial properties and their pros and cons. This, of course, opens up a whole new series of issues, and may form the topic for a future companion volume.

The book is easy to read, and replete with helpful tips and references to other authoritative sources for those who wish to delve more deeply into the many facets of property investment. It is highly recommended for anyone with limited knowledge who is thinking of residential rental property as an investment vehicle.

Peter Schiff is a member of the AIA.