Buying Properties to Rent Out
As time has shown many times over, real estate is an area that, when done right, can have great financial benefits. This holds especially true when it comes to renting out property. One of the most notable examples would be the overnight rage known as "Airbnb" which is the renting out of your own home if desired, to tourists looking for a place to stay when hotels and the like are booked. This new form of renting has spread like wildfire not only in the US but across other countries as well!
It has been surmised that the allure to the Airbnb over renting a hotel room is the nice "home" atmosphere along with the increased privacy. Knowing these reasons, you too can turn a property, whether it be your own home or a property specifically for renting out, into a great financial boon on top of your regular income.
WHAT YOU NEED TO THINK ABOUT BEFORE RENTING OUT
Before you can just post your ad online for your Airbnb property, its important to understand what your aiming for first.
First and foremost you need to understand your market. This means you need to understand your properties current location and the surrounding events, to understand what kinds of people will be staying in the property, and what they may want as amenities and the like. For example, if you were located in the thick of New York you would have a large market for business types, which would mean that if your properties style resembled modernized spaces and was located close to businesses, your chances of interested parties would rise significantly.
Another example could be if the property is located next to a popular tourist attraction, you would want to advertise what was near the property, the convenience available to those who would be staying in the property and so on.
By identifying your market you can begin to transform the property into something that would better fit the people staying there, and increasing the popularity of your location for reviews and further renting.
Purchasing a Property for Others
If your on the real estate market for a property that will be used specifically for renting, you will need to constantly keep that in mind when searching through the options. The property is not meant for you, so the sentimental attachment usually involved when purchasing properties should be locked away and your personal preferences will not count here.
What you need to ask yourself is the questions that will lead to a stronger property for the purpose of renting. "What is near this location that will help me rent out the property?" are the types of questions that you should be mindful of when looking at properties. Don't assume your tastes apply to everyone or anyone else, cater to the strengths of the area and the most popular demographic.
The inclusion or suspension of your subjectivity will be a major deciding factor in whether or not people show an interest in your property.
Someone to Manage
Generally there will be a lot of questions and some problems that arise in any business, and Airbnb is no exception. To help keep yourself from becoming overwhelmed, it would be wise to hire a manager for each property. The manager will become the person that is contacted by those staying in the property and will be the one who takes notes of problems and addresses them when needed. The manager will also be in charge of background checks, cleanliness of the property and anything else that is involved with the clients and Airbnb.
While searching for a property, search for potential managers in the area that will have an easy time reaching the property at all times, ensuring your investment holds up to the test of time and tourists. Managers become an investment themselves as they can also become a great way of saving money and sanity.
Renting out property with the currently popular Airbnb is a potentially great investment if done correctly. If done poorly however, the attempt can become a nightmare quickly. Be vigilant in your searches for properties, managers and clients and you will certainly succeed!
Kontor Realty Group
Give us a call at Kontor Realty, we will keep you ahead of the curve so that the property you find is done in a timely manner, at a reasonable price, and of great potential!
Give us a call or send us an email and let us use our extensive knowledge to find the property for your Airbnb renting needs!