There are occasions when a property may remain vacant for a certain length of time – during extended travel, while transitioning between tenants or before sale or lease. This downtime poses various security challenges that can lead to damage, theft, and vandalism.
As a property owner, a vacant property requires special attention and management to ensure it remains an asset safe from harm. Implementing tried and tested best practices to manage your vacant property is crucial to effectively shield it from potential risks and ensure its safety. The key goal here is to maintain the property so it doesn’t look or feel empty.
After the COVID pandemic, real estate agents and entities involved in vacant property management have faced increasing vacancy rates. This has further underscored the need to set in place measures that can protect vacant property and maintain its value. This article outlines those best practices.
Notify Your Insurer
Whether it’s a commercial asset or a residential property, one of your initial steps when a property is set to be uninhabited for a lengthy period is to notify your insurer. It’s important to understand that standard homeowners or landlords’ insurance policies may not cover events that occur when the property is vacant for more than a certain number of consecutive days. In such cases, you may need to consider an unoccupied property insurance policy or a vacant property insurance addendum.
Informing your insurer about the property’s status can enable them to help you take the necessary measures to satisfy the terms of insurance, and also to ensure correct and sufficient coverage in case of any incidents. If your property stays vacant for extended periods, you might have to consider vacant home insurance or add an endorsement to your current policy. The vacant property insurance may cost more, but it’s an essential part of safeguarding your investment and maintaining positive cash flow.
Insurance considerations are not limited to covering potential theft or vandalism; they can also include damage prevention, such as cover against damage from pests or mould and mildew growth from faulty ventilation systems. In case of any such incidents, having appropriate insurance coverage can significantly minimize your out-of-pocket expenses for repairs and maintenance.
An insurer can also guide in making improvements in terms of perimeter security, installing security systems like CCTV and burglar alarms, managing appliances, and secure doors and windows, etc., to further protect the property. Following their advice would enhance your bargaining position when it comes to leasing or selling the property in the future.
Tips to remember:
- Maintain regular documentation of the property condition to show that it’s being well-maintained.
- Consider adding security enhancements recommended by the insurance company.
- Fix small problems before they turn into expensive repair projects.
- Regularly review your insurance policy to ensure adequate coverage.
Regular Security Checks
A key aspect of effective vacant property management includes conducting regular security checks. In the face of potential threats like burglary, breaking and entering, or even unwanted squatters, consistent and detailed inspections are essential to keep your property secure.
Use advanced technology for ongoing monitoring, including automated systems that can check locks, doors, windows or install CCTV cameras for regular surveillance. An additional step could be to alert neighbors about the status of your property and request them to notify you or the local enforcement if they notice anything unusual.
During security checks:
- Inspect the doors and windows to ensure they are secure and not an easy target for intruders.
- Maintain an up-to-date security system, burglar alarm, or CCTV system to deter potential risks.
- Check for signs of forced entry or tampering, and monitor the overall condition of the property.
- Schedule regular property inspections and repairs to fix any maintenance issues immediately.
- Consider hiring professional vacant property protection services for regular inspections.
These regular security checks can help detect and address any security or maintenance issues before they escalate, thus keeping your asset safe.
Ensure the Property is Clean and Clear
Maintaining a clean and clear property goes a long way in effective property management. Any visible signs of an unattended property take a fee on the property value and might invite unwarranted attention from potential trespassers. To avoid this, make a maintenance checklist and ensure regular cleaning and upkeep of indoor and outdoor spaces.
- Remove any waste, debris, or unwanted items and ensure clear walkways to prevent any hazards.
- Clear the garden of overgrown vegetation and dispose of any loose leaves or branches that can pile up over time.
- Schedule regular property maintenance to deal with likely problems like pipes blocking, taps leaking, mold growth, etc.
- Regularly ventilate the property to prevent damp and the spread of mold.
- Manage utilities smartly. For example, consider keeping the heating on at a low level during the colder months to avoid pipes freezing and bursting.
Not only will a clean and well-presented property deter potential trespassers and theft, but it will also promote a positive aesthetic that is useful when listing the property on real estate listing websites or other marketing materials.
Keep in Touch with Your Agent
Open communication and coordination with your agent or property management company is pivotal during periods of property vacancy. They can assist with necessary tasks including property inspections, repairs and maintenance, managing utilities, or implementing security measures.
Stay connected with your agent or property manager:
- Avail regular updates on the property status and any recurring issues.
- Benefit from recommendations to improve the property condition or security measures.
- Be proactive in addressing any concerns or maintenance issues that may arise.
Through regular contact with your agent, you can facilitate successful property management and safeguard your investment.
Managing A Vacant Property
Handling vacant properties calls for attention to detail and proactive measures. By diligently applying the best practices of notifying your insurer, conducting regular checks, maintaining a clean and clear property, and staying in touch with your agent, you can effectively minimize any risks tied with vacant property management.
Remember that the ultimate goal should be to make the property look like someone’s home or workspace. Whether it’s strategically placing lights, maintaining lawn and outdoor elements, diverting mail, or using property guardians, employ practices and proptech solutions that make the building look occupied even when it’s not.
A vacant property isn’t just empty real estate – it’s an investment that holds considerable potential for your rental business. By protecting it and ensuring it’s well cared for, you can retain its value, appeal to prospective tenants, and support its successful leasing or selling in the future.
