Regardless of if you are new to the investment property game or a veteran, one thing will never change, and that is that you will worry about your property. You have taken the time choosing an appropriate project, decorated and furnished it to a high standard, and you feel that demand will be high once you make it available. However, after all the trouble, time and expense, you want to make sure that you not only find a tenant but that you find the right tenant.
In Bangkok, a company called Smart Service have more than a decade’s experience in finding quality individuals and families to move into properties. Having this experience combined with knowledge and the right contacts means that they are the perfect solution when it comes to matching your property with the right tenants. The property managers provide a comprehensive service, that takes away the stress and lets you relax and appreciate the returns that are generated from your investment. Need more convincing? Here are just eight reasons why you should give it some serious thought.
1. Quality tenants
It can’t be stressed how important or challenging finding the right lessees can be. Screening tenants is not only complex, but it is also subjective. If you make the wrong choice, your beautifully furnished property can soon resemble something more akin to a war zone. It is a problem that can raise issues with the juristic office if you are in a condo as well as making you unpopular with your neighbours.
Of course, finding tenants who won’t destroy your property is only one aspect of finding a quality lessee, you also need people who will pay their rent on time and, ideally, stay for the long-term. A professional property management company will vet potential tenants on your behalf to increase the likelihood of getting the right people living in your property.
2. Legally sound contracts
Drawing up a contract on the face of it may seem quite straightforward. However, it can be anything but as merely having a few details on a piece of paper definitely doesn’t make it legally binding. In most cases, contracts are just a bit of paper that no one refers to again; the problem is that when you DO need it, it is usually because there is a problem. Now is the time when it needs to be watertight and legally binding. Using experts can undoubtedly save you a lot of heartache, and stress should things turn sour.
3. Higher occupancy rates
It doesn’t matter how well you have furnished your property if it is spending long periods vacant. If your property is empty, it is potentially costing you money and defeating the object of being an investment. One of the main reasons for low occupancy rates is that the asset isn’t marketed in the right places. You may have the best property in the world, but if no one knows it exists, it is entirely pointless. A specialist real estate company can help you to overcome this problem and gets your property known about, thus giving you higher occupancy rates.
4. Target long-term tenants
In an age where Airbnb is taking over, short-term rentals may be ideal in resorts but are not the solution for those seeking long-term rentals. Once again, this comes down to where your unit is advertised. In a city such as Bangkok, there is a high demand for both long-term and short-term rentals, so you need to be targeting the right groups. Business professionals are ideal, and a professional property management company will know how to attract these people. Long-term tenants will, by their very nature, increase your occupancy rates as well being generally less problematic.
5. Ensure payments are made on time
As well as ensuring that rent is paid on time, into the right bank account and addressing any other problems that may be associated with rent collection, a property management company will also be able to manage your payments. For many people, this is an additional service that is not required. However, if you live overseas, as many investors do, this is an invaluable service that can reduce problems as well as ensuring you don’t receive any penalties for late payment. Of course, this is something that would be determined on an individual basis.
6. Reduce maintenance and repair costs
There will inevitably be some wear and tear costs. These are obviously reduced by carrying out routine maintenance, but when repairs are needed, you want to be paying a fair price for quality workmanship. Something that often surprises people about management companies is that they often get these routine maintenance and repair works done cheaper as they have regular contractors who they use. Not only does it save you the hassle of having to find someone and comparing quotes, but you get the work done cheaper and to a high standard – a win-win scenario.
7. Maintain or increase the value of your property
By conducting regular maintenance and carrying out repairs as and when required will save you from larger, more expensive problems in the long-term. Moreover, they will also increase the value of your property, meaning that you are making capital as well as revenue gains on your investment. Experience property managers will be able to advise you on what works should be carried out and can even prepare a written maintenance schedule to ensure everything is conducted on time. All of these factors, in conjunction with quality tenants, will help you maintain your holding.
8. The personal benefits
Of course, the purpose of owning an investment property is to improve your quality of life, not only financially. However, if all that you get is stress and heartache, you will inevitably start to question whether the investment was worthwhile. A professional management company can relieve you of any potential burden giving you more freedom and more time. You won’t have to worry about late-night phone calls, problem tenants or anything else, you can sit back, relax and harvest the benefits all for just a small monthly fee.