Nowadays, with the development of economy, urban areas and the limited land fund, there are more and more apartment buildings, apartments, … The apartment real estate market is increasingly bustling. This type of investment increasingly attracts the real estate business. However, before investing in this type of investment, it is necessary to learn about the experiences when renting an apartment to avoid unnecessary risks.
The status of the apartment rental market
It can be said that the current form of investment in apartments for rent is increasingly developing and diversifying, which is a lucrative bait for real estate investors.
Stemming from the fact that Hanoi and Ho Chi Minh City are two big cities, with a lot of economic and technical activities, many domestic and foreign immigrants come here to live and establish a career, leading to the population in the two cities. This rapidly increases the demand for accommodation. From newlyweds, students studying at Universities and Colleges, … young people who love independent life all need to rent apartments.
Compared to owning or renting a house, an apartment building offers many convenience for users. Not only favorable in terms of living environment, facilities, and living conditions to convenient traffic, the apartment fully meets the needs of users. Not to mention that the apartments are stretched from high-end to low-end segment, diversified in accordance with economic conditions of tenants.
Real estate investors gradually turned to the apartment rental market. In addition to the increasing demand for renting, other investment channels such as bank savings, securities, … because low profitability hides many risks, investing in apartments for rent is the reasonable choice.
In terms of initial capital, apartments are cheaper than other real estate such as villas, townhouses or beautiful land plots with high capital recovery and profitability. It can be said that apartment rental is a form of long-term investment.
Experience in apartment rental to avoid risks
This is a new form of investment that has high return on capital and high profitability, but it does not mean that there are no potential risks when renting an apartment.
The risks when investing in apartments for rent
Investing in a rental apartment may face risks from both the project owner and the tenant.
Legal issue of the apartment building is always an issue that many people are concerned about. Real reputable investor, true business is not much in the house-builder period, people bought this apartment. Investor cheating, not complying with legal regulations, construction violations, legal issues leading to disputes, …
Besides, many projects are advertised too much, causing many people to misunderstand. The virtual fever was created to raise the selling price, causing investors to fall in the trap.
The supply is increasing, diversifying and plentiful, which means that customers have many opportunities to choose from. If the apartment you invest in is not in a good location, beautiful design or has a price problem, there are many potential risks.
Alpha Housing Company is a joint stock company which was launched in 2010. They have been in business for over seven years and started life as a small real estate office. Our head office is located in Tay Ho District – which is mostly occupied by expats who come from all over the world. We also have some main offices located at Tay Ho District, Tu Liem District and Times City, which makes a triangle that can cover the whole Hanoi area.
Not to mention that after renting out, the owner of the apartment cannot avoid the risks brought by the tenant. Apartments are usually rented out for a long term, at least 3-6 months. However, not all tenants are polite, clean and have a good attitude to live. A landlord does not control the tenant, resulting in a variety of risks. Some tenants are too dirty, often quarrel with neighbors, violate the regulations of the apartment, even turn the apartment into a place to eat and drink, harbor prostitutes, smoke, … turn the apartment into a crime France. Accordingly, the landlord is more or less affected, in trouble with the police when supporting the investigation.
Experiences when renting an apartment to avoid risks
In order to limit the common risks and help the investment for your apartment to rent a stable profit, investors should note:
Design, purchase new furniture for the apartment
Before deciding to rent an apartment, form always plays an important role. No one will want to rent a furnished room that is not available or they are in poor condition. Because they have lost their rent, they do not want to have to buy too much.
Therefore, it is necessary to renovate and repair the interior of the apartment. An apartment in good condition always makes the first impression people come to see the room. At the same time, this is also a factor that helps you have the basis to set a high price when renting.
Analyze, compare, offer a reasonable price
Price is the important factor that determines whether a rental is performed or not. To determine the rental price of the apartment, it can be based on factors such as location, view, area, interior, house orientation, … After determining the value of the apartment, you should also Refer to the prices of similar units in the market. Estimating the level of wear and tear of the apartment, the fee for inspection, repair and maintenance of equipment, then gives a reasonable rent.
With the rental market more competitive, it is advisable to offer a slightly softer price than the general level or advantages and advantages to attract customers.
Get the help of a third party to rent out an apartment
In order to find tenants to rent an apartment, you can ask for the help of friends, relatives, neighbors, … In the era of technological development, in addition to the traditional help channels as above, you can search the posting pages. reputable real estate news. This will help you reach more customers, reach the right customers, help you soon find a good tenant.
Since the year 2018, Rentapartment Agency has become one of the most real estate agent company to provide comprehensive renting services in Ho Chi Minh City. At Rentapartment Agency you can easily to find apartment, villa, house, office for rent in Ho Chi Minh city – Saigon with resonable price and free service
Choose the right tenant
In order to minimize and limit risks, it is necessary to choose the right tenant. Need to find out information about the tenant as well as their personality, behavior, attitude, ….
Note when signing the contract
Contract is a legal basis, is a binding relationship between the owner and the tenant. All terms, regulations, information, rights and obligations of both parties should be clear and transparent. The contract should note the deposit, the lease term, the rental price, who is the taxpayer, the apartment’s status, … Along with that, verbal agreements, regulations on time, use of items The number of tenants also need to be included in the contract to have a basis for settlement when there is a dispute.
Create good relationships with customers
When showing the home, try to be attentive to the attitudes of the customers or ask them if they feel comfortable with the current home conditions or if there are any inconveniences in their life so that they can be promptly handled. As such, it is possible to get sympathy from customers and sign a longer term contract. In this case, if the tenant moves away but thanks to building a good relationship with them, they will introduce friends and co-workers to your apartment. Then you will also quickly find new customers without spending much more on advertising and real estate brokerage.
In addition, the landlord can also request the apartment management board to monitor and notify the tenant when the tenant violates the regulations of the apartment, the law.