Property Investment should be a fruitful and meaningful investment.

It should go a long way toward securing your financial security. Estimating a realistic budget for your rental property will make sure you have a sound performing investment property.

Over the years I have noticed seven often forgotten or under budgeted expenses that property investors regularly make. Here they are…

• 1. Accounting fees, which increase when you own an investment property
• 2. Strata levies, which might be set at a particular rate when you buy into a new development, but a few years later levies can sky rocket because the building is no longer covered by warranties. This is particularly the case in apartment complexes
• 3. If you invest in a property with facilities like gyms, pools, saunas and landscaped gardens, you need to expect your levies to go up over time as these things are expensive to maintain
• 4. You need to have a yearly pest inspection or treatment, particularly in older properties
• 5. Land tax (a state tax) doesn’t apply to every investor but don’t get caught out – search online for your state laws to see if it applies to you
• 6. In addition to property management fees, don’t forget advertising costs and re-letting fees. (Also ask your property manager about any other costs you’ll be charged).
• 7. Periods of vacancy