Owning more than one home can be a scary prospect. You’ll probably have two mortgages to pay, which can be overwhelming regardless of your income level. But owning two or more homes can also be very profitable, if you choose to rent the ones surplus to your personal requirements out.
Rental properties can be a great way to make some extra money, pay off the mortgage on a property that you own but don’t live in, or to give you the ability to own multiple homes that you live in part-time. However, renting out a property isn’t without its challenges. Before you buy or rent a home or condo in Thailand that you plan to rent out, check out these top tips for renting successfully.
1. Find a Trusted Thailand Real Estate Partner
Renting out your home or condo, especially in a city like Bangkok, can be tough. Finding tenants, screening them, and marketing your property in an area that is home to hundreds or thousands of rental properties is a challenge for anyone, and especially for someone with no experience acting as a landlord.
To help you navigate this process, you’ll want to find a real estate agent that you can trust. They’ll help you list and advertise your property, coordinate tours with potential renters, and more. Their services will cost, but it will be well worth the help that they provide!
2. Furnish Your Property With Simple Furniture
If you plan to only rent out your property short-term, you’ll have to furnish it. But even if you are planning for long-term rentals, adding furniture allows you to set a higher monthly or weekly rent, and can be a great way to attract renters who might be moving from around the world, and who won’t want to go through the hassle of shipping their furniture to Thailand or buying new furniture themselves.
If you’re going to add furniture to your rental, keep it simple. Simple, modern furniture is more likely to meet the tastes of your potential tenants. Additionally, it’ll be easier to match if you choose to add decorations to your space. If you don’t have time to shop for and buy furniture, you can also rent it.
3. Make the Space Feel Like Home
Even if you don’t plan to live in your rental, it’s a good idea to make an effort to make the space feel like home. This will go a long way towards making potential renters feel at home. Keeping up with the simple, modern theme of the furniture that you choose, add cozy accents such as paintings, rugs, and pillows in muted tones.
If you are renting the space as a holiday property, consider adding board games, kitchen supplies for cooking, and books about local attractions. This will help your guests explore the area and feel more at home during their stay.
4. Clear the Clutter
One of the biggest challenges of living in a home or condo and renting it out part-time is avoiding clutter. If you want your renters to return to your property or tell their friends about it, it’s important that you provide them with a clean, uncluttered space to relax.
Don’t leave notes or masses of magnets up on the fridge, unless they contain local info that your guests might find useful. Get rid of old magazines that you have lying around. If you choose to leave toiletries in the home or condo for short-term renters to use, keep them organized with bins or stack them neatly on shelves, and throw away any old or empty bottles.
5. Take Professional Photos
Once you’ve added furniture and decorations to your new property or cleaned and decluttered your current home or condo, you’re almost ready to start renting it out. Before you do, you’ll need photos of the space for your realtor to post online.
You could easily snap a few photos on your iPhone. But odds are, unless your property is full of natural light and you’re an expert photographer, they won’t be that great. Many realtors provide a professional property photography service. They will know exactly what shots to take and how to show off your property to the masses.
6. Set A Realistic Price
Even though the point of renting out your property is to make money, asking top dollar for your rental may have the opposite effect. You’ll want to make sure that the price that you ask is reasonable compared to other similar properties in the area.
Start by searching online for other rentals in the same city or region as your home or condo. Then, take into account any amenities that your property may have, such as on-site parking, access to a pool or gym, or a great view. Then, choose whether you will rent out the space by the day, week, month, or year.
7. Leave Room for Negotiation
If you are renting out your space to long-term tenants, be prepared for the fact they may try and haggle a better price for monthly rental in return for their commitment. If your property is in a desirable location you will have more bargaining power and are more likely to achieve the value you have advertised your property at. However, consider the fact that shaving off a small percentage of the rental price to a long-term renter could still earn you more money in comparison to having your property vacant for a month or two due to unrealistic price expectations.
Renting out your home or condo in Thailand isn’t without its challenges and it is worthwhile partnering with a local expert. However, if you follow these tips and do your research, you’ll end up with a great way to make some extra money on that extra property, allowing you to keep your holiday home, buy more properties, or simply fund your adventures!
Want to learn more about renting out your home or condo? Contact Find Thai Property today.