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How to Choose a Good Rental Property

Yiannis Kourtakis
 


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Certainly plunge market investment for a property to rent, is an important and risky step. The risks in a real estate market are more than visible and no one can avoid the pitfalls of risking his income on rough choices. Similarly, the real opportunities are scarce, making it harder to find. There are a lot of data that one should take into account before choosing a good rental property.

Let's look at the term of a Good Rental Property. A residence that will be used for hiring, is obviously expecting to bring an easy and decent income. Depending on the market value of the home, income from renting can vary, but should be commensurate with the value and the benefits it offers. For example, a cottage in a cosmopolitan island, it has a fairly high rental rate, which will really bring a great income to the owner. But at the same time should this residence offers luxury and corresponding services such as pool, responsible for managing the home, garden, etc.

So it is important when we talk about the right choice of a Good Rental Property, be preceded by an extensive and very thorough market research at the area that we want to invest. In this part our main ally is the local real estate market companies that can supply us with important information on various market opportunities in the region. The direct approach to these potential markets with our personal visit will help us to form a more comprehensive view of those assets. Also we can have a first contact with the surrounding neighbors, who will give us extra information on this area.

A remarkable property for investment should be located in an area that offers the maximum of benefits by making possible the stay of everyone there comfortable and flexible. In the surrounding area it is advisable to have easy access to clinics, pharmacies, super market, bakeries, banks or ATM banks, schools, playgrounds, entertainment, etc. The value of a house is affected by the area where it is located and points of interest this area has.

Another point to consider is the amount that should be spent annually for the conservation and maintenance of this residence. As one can easily understand, staying a tenant in a house, it may be damaged. Depending on the age of the dwelling, maintenance costs can vary, but in any case should be determined as accurately as possible. Approximately one should consider that about 10% to 15% of total income from rental will go to the cost of maintenance.

The annual taxes you will give the state from the profit of the lease, should also be reconciled. In various countries are very diverse approaches to this issue and is something that you must know from the outset.

The property protection security is also an important cost that must take into account. If the market has come from a bank loan, it is mandatory to make insurance of the property. In this case do not forget the cost of installment for loan repayment!

When renting a house, you can’t be sure you are renting for 365 days a year. For this reason, the intervals between each rental require to hire staff that cares and cleans the house. And in this case that cost is important and should be taken into account. In some cases to achieve a fast renting of a house you should use advertising promotions that cost enough money.

So in conclusion one Good Rental Property is that after all these potential costs through revenues from the renting, will bring us a good net income.

More information about a good rental property in Mykonos, Greece

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