One of the basic needs of every human being in the world is having a roof on top of their heads for shelter, whether it is a average sized house or a bare condo unit.
Looking at the trend that condos are becoming more affordable in the general Metro Manila area and Filipinos having better income, chances are most working Filipinos are more in the market for these condo units than getting the basic house and lot. There are a lot of first time condo investors asking themselves one basic question: “Once I get the keys to my new condo unit, what should i do next to make this investment thrive and bloom?”
Most successful businessmen will say that investments are all about taking risks but not most people know these businessmen take time to study what kind of risks are involved and if that risk is all worth it in the end. Just like in every business endeavor, doing your homework is very important. Before you advertise your unit, here are the best 5 tips i can recommend so that you will have an easier time finding a tenant to rent your condo unit.
TIP #1 Study your neighborhood– One should first look at the location of the condo unit and check if there are certain establishments such as offices, schools, malls, etc. One of the most appealing reason for anyone to rent a condo is due to the fact that the unit might be near the possible tenants’ workplace or if the area is a family-friendly place wherein there is a school for the children to go to that is near or a recreational establishment that you can just walk up to to refresh yourself from the rigors of a busy day at work. Always put into mind that your immediate market will be the people around the general vicinity of your condo unit.
TIP #2 Carefully consider your market – In any kind of investment, an investor should always realize who is the target for the products or services that you are offering. Is your target tenant a student from the province; or a young single middle manager who wants to live independently from their parents; Or maybe a family with 2 kids? It is very important that you have an idea of who your condo will appeal to the most.
TIP #3 Know your product – Before you go looking for possible tenants you should be very familiar with the specifications of your condo unit. Ask yourself this, what makes your condo unique and interesting? Is it the only condo few steps from a university ? Does it have a large infinity pool and a well equipped gym? Is your condo unit the newest in the area ? If your condo is old, is it well maintained and has big room area sizes? Once you have identified the unique features of your condo unit, it will greatly help you make a good sales pitch for your possible tenants.
TIP #4 Research the going rates– One should identify how much the going rate for your condo size. Check the average price ranges, from a low bare unit to a fully furnish condo unit. You need to make sure you are not overpricing or underpricing your condo unit. And this can be done by inquiring through your building admin, looking at classified ads and websites like sulit.com.ph.
TIP #5 Recognize the accessibility of public transport – If your potential market is not walking distance from your condo unit, the next best thing you can check is the public transport routes that intersects with the area of your condo unit. Its is not a well known fact that there are many willing tenants who will be happy to rent a condo that is just one jeep away , one MRT away or one FX ride away from their workplace or school. Many possible tenants will eventually realize and feel the convenience of having a condo unit that is one ride away from the place they usually go to in any given day of the week.
You should always bare in mind that investing on condo units is not an automatic income generating investment. One has to be patient and give it a little time and effort to behold the best outcome for your investment. Just like any other business, an investor has to be familiar with the product that he wants to sell, perceive his target market, and then make his product desirable to wow his identified market.
If you have done your homework already and you are excited to move on to the next step, I will gladly teach you renovation tips that can make your condo unit to be easily rented out at a high price in my next article.
Carl Dy, is a property investor and Director for Sales at one of the Philippines leading developers.
He has 10 years of experience in the property business, and is continually building up his property portfolio with an ultimate goal of living on passive income from property.
He believes that property investment, just like business is not an automatic money generating product. One must have a passion for it, create and execute a strategy plus give time and effort for the investment to flourish.
For tips and advice, feel free to contact him at firstname.lastname@example.org