Condominiums make great investments. Condo investing can serve as your primary residence if you live independently. Alternatively, you can start a condo rental business to accommodate those who want to live in the neighborhood so they can be near their employment or other important locations.
The real estate industry in the Philippines is on the rise, and you got yourself into buying a condo. You have your unit now, but you are unsure of whether you want to move in right immediately. But you don't want to leave your recently purchased property empty, so what is a wise solution to this problem? Rent out your condo!
Renting out your condo is the best way to earn passive income. It is a smart business move that hits two birds with one stone: you get to make additional money while the renter helps you pay your monthly mortgage. It seems like an excellent deal, right? It isn't as simple as it looks, though, especially if you're asking how to rent a condo without an agent. Well, this article might help you!
7 Tips and Tricks on How to Rent Out Your Condo without an Agent
Since you do not have an agent to help, you rent out your condo, which is unnecessary. As a first-time condo landlord, you must take into account more factors than simply taking attractive pictures of the unit and putting them online. It involves more than just monthly rent collection. Being a landlord requires acquiring abilities you didn't know you possessed and being receptive to learning new things. Because no one can predict when the pipes will leak or when emergencies are supposed to occur, keep in mind that this is not a 9-to-5 job.
There are many considerations on renting out a condo without an agent, but here's a list of the tips and tricks you can do in this venture!
1. Being Mindful of the Competition
Condo rental tip 1 is when you're looking to rent out your condo; you must know what other properties are for rent in your area. If there are a lot of properties on the market and you're competing with them, it will be difficult for you to stand out from the crowd.
So, the first thing to do when you want to rent out your condo is to look at what other people are doing. You'll find many different ways of renting a condo, but most involve an agent and a broker. Your goal should be to get as many people into your unit as possible, so you must approach this process with an open mind.
2. Doing a makeover
Make sure your apartment is in excellent condition and is liveable. Examine everything, from the sink, paint, ceiling, and shower, to the other amenities your condo building offers.
If your condo needs an update, consider taking time out of your schedule to speed things up. If you're unsure how to do this, consider hiring someone who can help renovate your home so that it looks more appealing to potential renters. It can help increase the value of the property.
3. Setting up Proper Rules and Regulations
You are accountable for your tenant's conduct as the landlord. Another condo rental tip is that you must know the legal requirements related to renting out your property to ensure that you have a solid safety net in case your tenant has a problem.
After being aware of your limitations, you need also inform potential renters about the restrictions that come with the rental property to prevent eviction.
4. Finding the Perfect Tenant
When renting a condo, finding the perfect tenant is critical. A good tenant takes care of your property, pays on time, and ensures everything is up to par.
Finding the right and perfect tenant for your condo is probably the most challenging part of this business venture. Think of your target market in making a decision. Will you lease your condo to small families, bachelors, and young professionals? You can narrow your target market by considering where your condo is located. If your condo is near a university, the nearby students are your market. If your condo is in a commercial area, you can rent it out to young professionals, company leaders, or expats who work nearby.
5. Writing the Contract and Setting the Right Price
One condo rental tip once you've found your ideal tenant, it's time to write them up a contract, which outlines everything from how much they will pay per month in rent and when they will pay it, how often they can stay at your place, as well as other stipulations like cleaning requirements, pets, car parking, etc.
As a landlord, you need to write down all the terms of renting out your condo in case there are any disputes between both parties in the future.
6. Managing the Finances
For your passive condo income, consider opening a separate bank account just for your rental business. It will make it easier for you to understand the financial flow, particularly the income and expenses. It will also help you keep track of all the payments that come in from your rental condo.
For instance, the security deposit and two-month advance you demanded may have covered the outstanding rent and repair damage. You must repay the deposit if there aren't any damages after the tenant vacates your condo.
7. Fostering a Healthy Tenant-Landlord Relationship
Fostering a healthy tenant-landlord relationship is an essential factor in finding and keeping tenants. The two parties need to be able to work together and communicate effectively, so you'll want to take steps to ensure that happens before you start renting out your condo.
It's also essential to ensure that all renters understand their responsibilities before signing an agreement with you, so make sure they know their rights and what they should expect from you in return. If there are any issues later on, it will be more accessible than ever before because everyone knows where they stand now!
Although it might be helpful if you have an agent to guide you in your condo investing and rental, especially if you are a first-timer, renting out your condo without one is also feasible. Follow these tips and tricks, and with a lot of dedication, you will be fine!
Although being a landlord may seem simple, it demands commitment, just like any other business. Note that not everyone is qualified to be a landlord. However, abilities may be acquired, and commitment levels rise over time.
For more information on Vista Residences, email info@vistaresidences.com.ph, follow @VistaResidencesOfficial on Facebook, Twitter, Instagram, and YouTube, or call the Marketing Office at 0999 886 4262 / 0917 582 5167.
