Renting out an apartment can be one of the main sources of income for its owner. In addition to long-term rentals, the apartment can be rented by the day, for example, to tourists or people who came to the city for a few days for work and prefer home comfort to hotels.
How to rent an apartment with the help of an agency?
If you have decided to rent an apartment with the help of an agency, it is important to choose a reliable agency. You can do it by the recommendation of people you trust, or by reading the reviews and talking to the representatives of the company.
You can check hostyapp.com. This service has everything a landlord needs. Not only will you be able to connect two accounts, but you will also be able to increase your productivity much more.
Once the choice is made, you need to sign an agreement, which needs to include all the nuances of the business: rates, conditions of apartment rent, conditions and terms of profit transfer to the owner of the apartment, the responsibility towards the owner for preservation of the appearance and condition of the apartment.
Trust management of the apartment means that you do not participate in the process, but you make a profit, a part of which you pay to the agency for services. This option is ideal for those who live abroad.
For your own peace of mind and for the security of your property you can insure the property. A small regular fee will allow you to get compensation from the insurance company if necessary.
What should be in an apartment for short-term rentals?
If you intend to rent an apartment, try to stock it with everything you need for a traveler or someone on a business trip. Take into account all the details, it will favorably distinguish your proposal among others, and at the same time will allow you to collect excellent reviews. As a rule, apartments with good reviews are rented more often, and the price can be raised over time (while apartments without reviews are rented at a price 10-20% lower than similar options).
Take care to have the following in the apartment:
- bed linen;
- a hairdryer (write about its availability in the apartment description, so that people do not bring extra weight);
- toilet paper, soap, shampoo and shower gel;
- a kettle (a few kinds of tea or coffee, along with a packet of cookies);
- a refrigerator (at least a small one);
- microwave or small electric stove (if you rent a tiny studio without a stove, put at least an electric stove so you can heat up food);
- a minimal set of dishes (often people rent apartments instead of hotels to be able to cook or heat food on their own, saving money on restaurants);
- fast wireless Internet.
In addition to the necessary things, your guests will surely appreciate the welcome drinks in the fridge, fruit in the basket, a map of the city or a set of good books on the shelf. it will be great if you buy basic products (salt, sugar, oil, a few cereals, spices). In general, the apartment should have everything that you have in your home for a comfortable life, but without the unnecessary things.
What are the risks when renting an apartment?
The main risks when renting an apartment are related to the damage of property and theft of things – hairdryers, dishes, towels, and household appliances. To at least insure yourself a little bit, it is recommended to take the full amount of the rent when tenants move in.
A properly drawn contract will also protect you in court, if the tenants tear down your apartment and have to make serious repairs. You should add to the contract an acceptance report of the apartment, the property in it, photographs before and after moving in, as well as an act of the condition of the apartment after the tenants moved out, signed by the concierge. In this case, increase the chances that the court will oblige the tenants to pay you compensation for damages. But in the absence of a contract to win the court will be difficult.
Important points when renting an apartment
What should be the repair
In the daily rent the repair and appearance of the accommodation is put on the foreground – it will be problematic to find tenants in an apartment with a long-renovated repair. On vacation or business trips a person wants to get more or at least the same comfort to which he is used to. The guest makes the decision in seconds, looking at several photos. And either choose the most comfortable apartment or put up with some inconveniences for the sake of a better price. That is why before renting out the apartment for rent, in some cases you will have to make some repairs.
The apartment should be interesting
It should be different in design, decor and stand out among the many other options. Nowadays there are a lot of identical apartments, which at a certain point begin to compete only in price. The guest does not cling to them. The apartment may have furniture from IKEA, but in a thoughtful combination, interestingly combined. Those apartments that are tasteful and look homely are always more popular.
Work with reviews
The first thing guests pay attention to when choosing an apartment for rent is a photo. They should attract attention and arouse interest, stand out. Therefore, hosts give advice to use bright details in the textile and decor, and sometimes hire a professional interior stylist and photographer. But out of equally attractive apartments, the choice is usually made by reviews. The rating is bad if the photos do not match the description. The photos should be of high quality, but they should correspond to reality. Otherwise, you may win the first clients, but then you will get negative feedback. So, the picture must match.
Problems with neighbors: how to rent an apartment officially
Now there is no question if it is legal to rent an apartment. Yes, you should discuss your plans with the neighbors beforehand, but if your tenants will behave quietly and you will not forget to pay taxes, then there are no real arguments “against” the neighbors: renting out apartments is not forbidden.
In fact, it all depends on the behavior of the guests. If they do not violate the rules of renting, the neighbors might be only displeased with the meetings of strangers with suitcases in the staircase and the elevator. And there is no prosecution for that.
The worst thing that can happen: in an apartment building because of the noise neighbors call the police. You will have to go to the apartment and get a warning, but they will not be able to give you a ban on renting the apartment anyway.
Advantages of short-term rentals:
- Yields tend to be higher. While a long-term rental apartment will bring a fixed amount per month, a daily rental can double or even triple that amount.
- The apartment is under control. When renting an apartment for a long time, they check the property once a month or less often. If you rent an apartment for a long period, the apartment is inspected every 3-5 days.
- Prepayment. Tenants will not ask to wait a week to pay because they do not have money right now.
- At any time, the lease can be switched to a long-term scheme.
- If you reinvest the funds, the business will begin to scale and grow faster with each new property.