Renting out a fully furnished property is a great idea, especially if you have a small apartment or condo. This kind of rent is convenient for people who, regarding their predominant lifestyle, mostly need a home ready to be occupied, so that they don’t have to purchase any house equipment. Nevertheless, first there are a lot of things to think about and decide, before you will be able to earn some extra money by renting your place.
How much will it cost you?
The first step is to find out all the expenses involved in setting everything up beforehand. Check the listings of other fully furnished properties available in your region. The properties should be as close to yours as possible in size, location and furnishing. As soon as you get a more precise idea of the usual rent for a fully furnished property such as yours, prepare a list of all items you would have to purchase so that your apartment will really be able to be called “fully furnished”. These days, a fully furnished place means you will offer not only all the common furniture, but also all of the utilities such as gas, electricity, water, phone, cable, wireless Internet, security, all the kitchen ware, appliances, towels, bed linen and cleaning supplies.
The next step is to make up your mind if you can afford to fully furnish your place to the extent described above. Make a list of all the items you will have to purchase so that your place is fully furnished. Also consider the possibility that there may be multiple tenants over a number of years, with periods of unoccupation between them. If you decide that making your flat fully furnished would be too complicated for you now, there is a possibility to list it as “part-furnished”. That would mean a bit less attractive possibility than fully furnished, but at the same time less effort and an easier life for you.
Next step – equipment documentation, deposit set-up
In case you have lived in the flat for some time, start with removing all your personal private belongings, such as photographs. Then make a list of every single item present in the property. You should go from room to room with the tenant and agree on everything that is offered by you. That should include counting individual items such as the number of spoons, forks, knives towels or linen. It is seen as good practice to have the inventory done in the presence of your rental agent and once agreed, the inventory should be signed by all parties. As soon as the contract expires, you will need to go through the flat again and make a note of everything that is there. Anything that has been damaged or lost will have to be substituted and paid for from the deposit which was agreed at the beginning of the contract.
As the winter Olympics are coming soon, more and more Vancouver citizens are thinking about renting out their fully furnished flats to take advantage of this unique event. While this might be the case if you already have a convenient unit, it could become a nightmare if you have to start from scratch. Try not to think of renting out your properties only as a quick way to get rich, but consider the investment over the long term.
Tags: investment, Real Estate, renting