Becoming a landlord can be financially and personally rewarding, but making money from Bangkok Real Estate is a difficult venture thanks to other landlords competing for tenants, and record high real estate prices. In addition, there are several factors which influence the amount of rental income generated from your rental properties in Bangkok. To help you compete and make the most money from your unit, we’ve put together aguide for first time landlords to learn how to stand out amidst all the competition.
Making money from Bangkok property often starts with the property agent. As the rental market increasingly moves online, it’s important to know how to best market your property. Your rental listing is the first thing tenants see, and leaving a great first impression is critical to compete with other landlords. Here are four main things we include in your property listing:
- Photos — At least 1-2 high quality photos per room.
- Amenities — Additional parking? Maid room? Unblocked views? Tell us all the features and details and we will list them all. The more details the better!
- Location — We give your future tenants a clear indication of where your property is located on an interactive map that also allows the user to explore the neighborhood at street level.
- Personality — Provide photos that show off any unique features that represent the character of your property.
A high quality property listing will draw the most attention and attract the most applications. Your property listing will be competing with hundreds, if not thousands, of other properties.
Determining pricing is the biggest struggle for first time landlords. While there are no right or wrong answers when it comes to pricing your property, it is the most frequently asked question by landlords with few answers. To start, conduct market research to determine the average rent in your building or area.
Landlords who don’t research the local market risk overpricing their unit and increasing vacancy, or under pricing their unit and receiving less enquiries than they deserve. Make sure you understand your market to set accurate and fair prices.
Maintenance and Renovations
As important as it is to provide your tenants with an aesthetically pleasing property, it is perhaps more important to learn how to prioritize maintenance over renovations. In other words, do not invest money in lavish and unnecessary renovations. Instead, focus on addressing tenant needs over your wants and wishes.
Although the payoff isn’t immediate, proper maintenance is the easiest way to maximize returns. A new high efficiency water heater is a better investment for yourself and your tenants than handcrafted designer furniture imported from Italy.
Though it may take a few tries to perfect your business, we hope this guide for first time landlords will help you start making money from real estate. For more detailed advice, be sure to contact us and speak with an expert with years of experience in Bangkok real estate.