There is a difference between owning a home and making a property investment. In fact, the major difference is the concern about carpet area, open area and utility. This is so because a property investor feels that the tenant will manage few things on his/her own. Hence, he/she being the landlord should not be much concerned about the same. But, remember at the end you are the one who is investing a handsome amount of money and thus it’s your responsibility to look at every aspect.
So, here are the things you must consider to find out correct rent for the property.
Size Matter – The rental amount hugely depends upon the area of a housing unit. The formula is simple that a bigger property will yield higher rental and the smaller one will squeeze the rental income will cut it short. So, give your investment budget a look and calculate the options to repay the homeloan EMIs. Then only step in the real estate market to make a property investment.
Amenities – Today, people focus more on amenities like swimming pool, dedicated sports area, meditation zone, kids play area and more in order to enjoy life to the fullest. However, these features are believed to be irrelevant from the perspective of the landlord sometimes. But, try to think bit like a tenant and then take the decision. This is so because a person willing to pay higher rental would also expect to enjoy the features of the township he/she is planning to reside in.
Fitting and Fixtures – These features play an important role particularly in the kitchen. The availability of a modular cooking junction not only provide ample space to cook and store ingredients but also offers a classy look in a rented apartment. So, try to offer these things in order to yield a high rental income.
Location – Well, a person can scarify any amenity but the location needs to be perfect. Carry out a research about the connectivity, vehicular movement, how safe it is to travel in the dark and also figure out if there is a main shopping arcade. All these things are really important as a home should be at a prime location from where you can access to educational institutions, medical centres, shopping malls and other places easily.
Things to consider for earning higher rental
Now the above-mentioned things can be selected by making a site visit. But, here are the things you must consider before going for the one.
The first thing to remember is budget. You are suggested to assess the financial condition while selecting on type of property like 2BHK or 3 BHK.
Think if you can offer a fully-furnished accommodation on rent or a semi-furnished one. The fully-furnished unit always offers greater return in comparison to a raw or a semi-furnished rental home.
Do think about the maintenance cost. Would you like to pay it directly or plan to include the same in the rental amount on a monthly basis?
The next big thing to consider is a dedicated parking space. Today, almost every person has atleast one vehicle. So, cross check about the parking space and the security as you might also need to park the vehicle in the premises.