Real estate investment is a lucrative field. You can profit a lot from it. One of these investments is in the form of rental property. It is not easy to choose a rental property that can give you the best returns in the form of high profits. You need to follow certain steps in order to choose the best rental property for yourself. You can have a look at the recommended property rental in the central of Singapore.
Start Your Search
It is better if you search your property by your self instead of taking help from a real estate agent. Estate agents could put on unnecessary pressure on you to make purchases even though you haven’t found a suitable property for yourself. Finding a good investment requires some time and skills which you can do better when you are alone. Your range will vary depending on whom you are looking to manage your property. IF you are looking to do it yourself, you would want your property to be close to your home.
Get all types of information about the place. You can contact official sources or take the help of neighbors. You are likely to get honest opinions from the renters as they do not have any investment and their opinions are likely to be unbiased. You can also visit the area at different times of the day so that you can have a look at the actions of your future neighbors.
Choose a Property
IF you are new to investment, the best option for you is to go for a condominium or a single-family dwelling. Condos are easy to maintain because there are condo associations that look after the external repairs. You only have to take care of the interior repair work. Condos have lower rents andtheir rate of appreciation is lower than that of single-family homes. Long term renters are likely to be attracted to single-family homes. Mostly families or couples are the common renters and are better tenants as there are generally financially stable and pay the rent on time.
Set the Rent
To start off, you need to make an informed guess about the rent of your property. DO not set your rent too high or else you will find it, difficult tofind tenants. You might even end up empty-handed for few months. You can set your rent based on the average rent of your neighborhood. You can increase or decrease your rent based on the worth of your place. You need to consider the repair and maintenance charges which your house would be needing. The cost is dependent on your property’s age and how much you plan to spend on it. A building that is fairly new would require less amount than those of an older house. Consider all these charges and add them accordingly to the final result of your house. Again, setting too high rents would keep your property vacant while setting too less rent will be loss to you in the long run.
When you are renting your property, you need to know that you cannot expect to make profits immediately. You need to be patient and follow the rules carefully.